Syngene International reported a muted financial performance for the third quarter of FY26, with consolidated revenue declining three percent year on year to INR nine hundred thirty two crore, compared with INR nine hundred sixty two crore in the same quarter last year. Profit after tax, before exceptional items, stood at INR seventy three crore, reflecting a forty four percent decline. The company attributed the drop largely to a one-time increase in gratuity provision amounting to INR fifty eight crore, net of tax, following changes in labour codes notified by the Government of India.

For the first nine months of FY26, the Bengaluru-based contract research and manufacturing services company reported revenue growth of three percent year on year to INR two thousand seven hundred fifty one crore, compared with INR two thousand six hundred seventy seven crore in the corresponding period last year. Profit after tax, before exceptional items, declined twenty two percent year on year to INR two hundred twenty seven crore, versus INR two hundred ninety two crore a year ago. The company noted that the previous year’s numbers included an exceptional item of INR twenty one crore, net of tax, recorded in the first quarter of FY25 related to a final insurance claim settlement.

Commenting on the performance, Peter Bains, Managing Director and Chief Executive Officer of Syngene International, said the quarterly results reflected the continued impact of a single product from one large-molecule biologics client. He added that excluding this factor, the underlying business showed steady progress, with research services securing new programmes and delivering growth. Bains highlighted the extension of Syngene’s strategic collaboration with Bristol Myers Squibb until 2035 as a key milestone, providing a ten-year horizon to further strengthen the long-standing partnership.

Deepak Jain, Chief Financial Officer, noted that despite the impact from one customer, revenue remained flat quarter on quarter, underlining the positive underlying trend of the business. He added that Syngene’s strong balance sheet offers flexibility to continue investing in capacity expansion and capability enhancement.

During the quarter, Syngene extended its partnership with Bristol Myers Squibb through to 2035 and continued investments in new technologies, artificial intelligence, novel modalities, and advanced manufacturing processes. The company commissioned a new commercial-scale facility for liquid-filled hard gelatin capsules, strengthening its oral solid dosage platform for complex formulations. It also expanded advanced chemistry capabilities at its Hyderabad site with new catalytic screening and flow chemistry laboratories, enabling faster synthesis and parallel reaction testing. Additionally, Syngene’s Translational and Clinical Research unit received 5S Certification from the Union of Japanese Scientists and Engineers and the Quality Circle Forum of India, reinforcing its global standing as a leading pharma and biotech services provider.