Syngene International Shares Jump 12% on Stronger Q2 Profit

Shares of Syngene International jumped 12% in Wednesday's trade on October 28 to close at ₹411 apiece. This marked the highest level for the stock in two months and its biggest single-day gain in six years.

Financial Results

The contract research and manufacturing services firm posted a consolidated net profit of ₹32.2 crore in the September quarter, which is Q2FY27. This is a sharp turnaround from a net loss of ₹9 crore in the first quarter of FY27. However, the profit was lower than ₹67.1 crore recorded in the September 2025 quarter. Revenue from operations stood at ₹832.7 crore compared to ₹910.6 crore a year earlier. On a quarterly basis, revenue improved by 13%.

Operating Performance

Operating EBITDA reached ₹147 crore, which is up from ₹91 crore in the June quarter but down from ₹200 crore in the year-ago period. The EBITDA margin stood at 18%, dropping from 22% in Q2 FY26 while improving from 12% in the June-ending quarter. Executive Chairperson Kiran Mazumdar-Shaw stated that the company remains focused on strengthening its role as an integrated partner for the global life sciences industry. Managing Director and CEO Siddharth Mittal noted that the year-on-year revenue decline of 9% and the 18% EBITDA margin were in line with expectations, reflecting lower Zoetis revenues and forex hedge losses.

Context

Stock prices often react strongly to quarterly financial turnarounds even if year-on-year figures show a decline, as investors look for signs of sequential operational recovery. Contract research and manufacturing organizations provide specialized services to pharmaceutical and biotech companies worldwide.