Syngene International Ltd (SYNGENE)
🎯 Key Takeaways
- Syngene International is in a turnaround phase marked by declining profitability and negative sentiment, despite stable promoter holding and governance confidence. The company recently declared a final dividend and completed its AGM with broad shareholder approval, signaling governance stability, but financial performance has deteriorated sharply, with consecutive quarterly losses and shrinking margins.
- Revenue declined 29% QoQ to ₹736 in Q1FY27.
- ⚠️ Persistent quarterly losses and negative operating margins, with no clear recovery path disclosed.
- Market Cap
- ₹15,168
- P/E Ratio
- 68.3
- P/B Ratio
- 3.13
- ROE
- 4.6%
- ROCE
- 7.0%
- Debt/Equity
- 0.00
- Div Yield
- 0.33%
- Promoter
- 52.6%
📖 The Story
Syngene International is in a turnaround phase marked by declining profitability and negative sentiment, despite stable promoter holding and governance confidence. The company recently declared a final dividend and completed its AGM with broad shareholder approval, signaling governance stability, but financial performance has deteriorated sharply, with consecutive quarterly losses and shrinking margins. Management has not provided forward guidance, and investor sentiment remains subdued, reflected in a 35.5% one-year return decline and a high P/E of 73.3 relative to low ROE and ROCE.
📰 What's Happening
In July 2026, Syngene held its 33rd AGM, where shareholders approved all resolutions, including the adoption of FY2025-26 audited financials and the reappointment of Executive Chairperson Kiran Mazumdar-Shaw, alongside the appointment of Vinita Bali as a Non-Executive Director. A final dividend of ₹1.25 per share was declared, underscoring a shareholder-friendly stance. Additionally, the company scheduled a conference call for July 30, 2026, to discuss Q1 FY2027 results, indicating efforts to maintain investor engagement despite weak financials.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|
| Revenue | 911 | 917 | 1,037 | 736 |
| Operating Profit | 83 | 96 | 192 | -21 |
| OPM % | 9.1% | 10.4% | 18.5% | -2.9% |
| Net Profit | 67 | 15 | 148 | -9 |
| EPS | ₹1.67 | ₹0.37 | ₹3.68 | ₹-0.22 |
The company's financial trajectory shows a clear inflection point: after reporting healthy profits and margins in December 2025 and March 2026 (OPM of 18.5%), profitability collapsed in June 2026 with a negative operating profit of ₹-21 crore and a -2.9% OPM. This sharp reversal suggests ongoing operational headwinds, possibly due to cost pressures or margin compression, despite stable top-line performance in prior quarters. The decline in net profit from ₹15 crore in December 2025 to a loss of ₹9 crore in June 2026 indicates deteriorating earnings quality, which is not yet fully explained by management.
🔮 Management Outlook & What's Next
Management has not provided explicit forward guidance in the available filing content. While a conference call is scheduled to discuss Q1 FY2027 results, no details on future expectations, revenue targets, or margin improvement plans were included in the disclosed summaries. The absence of updated outlook raises concerns about visibility into the company’s recovery path, especially amid persistent losses and margin pressure.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 403 | 403 | 403 | 403 |
| Reserves | 4,324 | 3,993 | 4,436 | 4,332 |
| Borrowings | 578 | 637 | 9 | 582 |
| Total Liabilities | 6,796 | 6,136 | 7,055 | 6,542 |
| Fixed Assets | 2,776 | 2,831 | 2,974 | 3,012 |
| Investments | 647 | 539 | 773 | 547 |
| Total Assets | 6,796 | 6,136 | 7,055 | 6,542 |
The balance sheet shows a stable capital structure with minimal debt (Borrowings of ₹9 crore as of March 2026) and strong equity reserves, indicating no aggressive capital restructuring or deleveraging. Total assets have slightly declined from ₹6,796 crore to ₹6,542 crore year-on-year, suggesting modest asset reduction, possibly from lower cash balances or investments. There is no evidence of large-scale capital expenditure or strategic divestment, implying a conservative capital allocation approach amid operational challenges.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2026 |
|---|---|
| Operating | +915 |
| Investing | -860 |
| Financing | -215 |
| Net Cash Flow | -160 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 52.7% | 52.7% | 52.7% | 52.6% |
| FII | 16.3% | 15.0% | 13.9% | 11.8% |
| DII | 24.6% | 25.8% | 26.4% | 28.0% |
| Public | 5.3% | 5.4% | 5.5% | 6.1% |
| # Shareholders | 1,36,061 | 1,31,750 | 1,35,605 | 1,42,277 |
Promoter holding remains stable at approximately 52.6% over the past year, indicating long-term confidence. However, Foreign Institutional Investors (FII) have significantly reduced their stake from 16.31% in Q2FY26 to 11.82% in Q1FY27, while Domestic Institutional Investors (DII) have increased slightly. The growing number of shareholders (1,42,277) may reflect retail interest or passive fund inflows, but the FII exit could signal foreign portfolio outflows or valuation concerns.
⚖️ Peer Comparison — Healthcare
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| APOLLOHOSP | 1.27 L Cr | 61.0 | 22.1% | — | 0.60 |
| MAXHEALTH | 97,412 | 66.8 | 14.4% | — | 0.27 |
| MANIPALHOS | 94,970 | — | — | — | 1.25 |
| ASTERDM | 65,184 | 121.0 | 12.9% | — | 0.17 |
| FORTIS | 62,782 | 59.9 | 13.3% | — | 0.29 |
| MEDANTA | 38,551 | 69.3 | 21.9% | — | 0.10 |
| NH | 37,160 | 45.3 | 13.7% | — | 1.07 |
| LALPATHLAB | 32,549 | 46.8 | 29.6% | — | 0.00 |
| KIMS | 32,181 | 150.2 | 9.7% | — | 1.44 |
| POLYMED | 16,587 | 52.6 | 15.1% | — | 0.06 |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. Persistent quarterly losses and negative operating margins, with no clear recovery path disclosed. 2. High P/E ratio (73.3) relative to low ROE (4.6%) and ROCE (7.0%), suggesting overvaluation relative to profitability. 3. Declining FII stake may reflect waning foreign investor confidence. 4. Lack of management guidance or strategic clarity on how to address operational headwinds. 5. Dividend declaration amid losses may pressure liquidity if not sustainable.
📋 Recent Filings
- Announcement2026-09-25Syngene International announced that its trading window will close on October 1, 2026, for 48 hours following the release of un-audited quarterly resu…
- Announcement2026-09-24Syngene International cancelled its scheduled meeting with Bajaj AMC on September 24, 2026, as communicated to stock exchanges. The company confirmed …
- 🔴 Announcement2026-09-21Syngene International announced the resignation of Head of Corporate Affairs and Communications Pramuch Goel effective September 21, 2026, to pursue e…
- 🔴 Announcement2026-09-21Syngene International Ltd announced a scheduled one-on-one meeting with Bajaj AMC on September 24, 2026, conducted online from Bengaluru at 12:00 PM I…
- 🔴 Announcement2026-09-12Syngene International announced a scheduled analyst meeting on September 17, 2026, in Mumbai with Healthcare Forum 2026 organized by Kotak, featuring …
- 🔴 Announcement2026-09-11Syngene International Ltd announced a virtual one-on-one analyst meeting scheduled for September 17, 2026 at 12:00 PM IST with True Beacon PMS, confir…
- 🔴 Corporate Action2026-09-10Syngene International announced final dividend remittance for FY 2025-26 at 12.50% (Rs 1.25 per share) approved at the July 29, 2026 AGM, with electro…
- Announcement2026-09-01Syngene International announced on September 1, 2026 the grant of 14,26,061 Performance Share Units under its 2023 Long Term Incentive Plan to eligibl…
- Announcement2026-08-25Syngene International announced it will meet analysts and institutional investors on August 31 and September 1, 2026, at the Goldman Sachs Asia Leader…
- Announcement2026-08-24Syngene International Limited announced a scheduled virtual one-on-one meeting with Entrust Family Office on August 28, 2026, at 12:00 PM IST, conduct…
🧠 Analyst's Read
Syngene International currently operates in a fragile financial state with deteriorating profitability and limited transparency on recovery strategies. Investors should monitor the upcoming earnings call for insights into operational improvements, margin trends, and management’s strategic response to the current downturn, as the company navigates a critical inflection point without clear near-term catalysts.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-29.
Editorial & Data Transparency Notice
This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.
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