SYNGENE Q2 FY27 Results Analysis: PAT Falls 52%, Margin Rebounds 536 bps QoQ

Cofacto Research Published October 27, 2026 2 min read

Negative

SYNGENE's Q2 FY27 numbers came in soft, with revenue of Rs. 832.70 Cr (-8.55% YoY) and PAT growth of -52.01% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quick Details

Results date	October 27, 2026
Quarter	Q2 FY 2026-2027
Revenue (Q2)	Rs. 832.70 Cr (-8.55% YoY)
PAT (Q2)	Rs. 32.20 Cr (-52.01% YoY)
EBITDA margin	17.70% (-421 bps YoY)
EPS (Q2)	Rs. 0.80 (-52.10% YoY)
Market cap	Rs. 14,786.47 Cr
CMP	Rs. 366.20

Quarter Snapshot

Q2 FY27 marked a sequential trough with revenue up 13.14% QoQ and operating EBITDA margin up 536 bps QoQ to 17.70%, but every YoY line remains down — revenue -8.55%, PAT -52.01%, margin -421 bps. The FY single-digit revenue-decline guidance is on track, but the mid-20s margin target requires H2 margins above the top of management's own 27-30% band. FX losses of Rs.61.4 Cr, a 31.5% ETR, negative H1 cash flow, and recurring termination-benefit charges weigh on the near-term earnings picture.

Key Investment Insights

Key Positives

Revenue grew 13.14% QoQ to Rs.832.7 Cr, the first sequential increase after the Q1 FY27 reset
Operating EBITDA margin recovered 536 bps QoQ to 17.70% from 12.34% in Q1
Employee cost was flat QoQ (+0.59%) on +13.14% revenue, dropping from 36.8% to 32.7% of revenue
Revenue decline moderated from -16% YoY in Q1 to -8.55% YoY in Q2, consistent with the guided Zoetis/Librela drag being most pronounced in Q1-Q2
Trade receivables fell to Rs.385.5 Cr from Rs.508.8 Cr at Mar-26, with Rs.116.9 Cr of collections in H1
Standalone PAT of Rs.48.7 Cr declined only 26.44% YoY with an 18.95% standalone operating EBITDA margin

Risk Factors

PAT fell 52.01% YoY to Rs.32.2 Cr; H1 PAT fell 84.92% YoY to Rs.23.2 Cr
Net FX loss of Rs.61.4 Cr (7.4% of revenue), the worst in the visible five quarters, sits inside Operating EBITDA
Effective tax rate rose to 31.5% from 21.2% a year ago, a ~10-point drag on PAT
H1 operating cash flow was negative Rs.143.2 Cr and FCF was negative Rs.363.4 Cr
Subsidiaries contributed a negative Rs.16.5 Cr to consolidated PAT in Q2 (−Rs.23.4 Cr for H1) while Bayview remains uncapitalized
FY mid-20s margin guidance requires H2 margin above the top of management's own 27-30% H2 band in every modeled revenue scenario