Concall snippets
- Guidance for FY27 - Revenue flat and Margin Mid 20s… (including all the impacts of Librela and costs for new facilities i.e. Bengaluru and Bay view
- Focus is shifting on CDMO more aggressively and management tone was more confident this time on the same. Traditional revenue split is 1/3 and 2/3 for CDMO/CRO which for Q4FY26 was 40/60.
- Kiran Mazumder Shaw calls FY27 to be reset year in terms of transformation/restructuring towards growth trajectory. Expect this to be foundation of future years and shifting gears in terms of growth from FY28 onwards
- Librela impact to be mostly done by Q2 FY27 with little revenue expected in last quarter. Revenue growth excluding Librela Impact would have been high single digits for full year FY26. Right now only discussions with Zoetis on Librela Alternatives manufacturing but no confirmations on commercial production yet
- Management expects no impact of US tarrif on Syngene and also highlights the long term association with Bristol Myers Squib. Expects increment in revenue equivalent to US inflation from this association
- Last but not least. Syngene’s focus on AI for innovation, reduction in timelines, efficiencies in manufacturing, predictability in new discoveries - might play out differentiator role for Syngene in future compared to competitors. No doubt we are right now not able to see it.