scorecardresearchSyngene International shares rally over 5%, hits new 52-week high post

Syngene International shares rally over 5%, hits new 52-week high post strong Q4 results

Updated: 28 Apr 2023, 10:22 AM IST
TL;DR.

Syngene International shares surged to a new 52-week high during Friday’s trade, after reporting higher-than-expected revenue and profit growth for FY2022-23. The stock has returned 111 percent in the last five years and is trading over 32 percent above its 52-week low.

Syngene International, the research and manufacturing services arm of Biocon, is an India-based contract research company.

Syngene International, the research and manufacturing services arm of Biocon, is an India-based contract research company.

Syngene International shares surged to a new 52-week high on Friday as the company reported higher-than-expected revenue and profit growth for the full fiscal year 2022-23. The stock rose 5.5 percent, marking its second consecutive day of gains.

For FY2022-23, Syngene's revenue grew 23 percent compared to its guidance of high-teen growth, while its profit increased 17 percent above its single-digit growth forecast.

During Friday’s trade, the stock opened at a price of Rs. 655 per share against the previous close of Rs. 649.85 per share and grew further during the early trading session to touch a new 52-week high of Rs. 685.70. 

It was trading at 675.15 apiece, up by 3.89 percent at 10:15 a.m. on the NSE.

The stock touched a 52-week-low of Rs. 509.60 on May 26, 2022, indicating that at the current level, the stock is trading over 32 percent above its 52-week low.

The stock has grown nearly 17 percent in the last one month. Moreover, in the past six months, it has yielded a return of 10 percent. Furthermore, the stock has returned almost 111 percent in the last five years.

Article
Stock price chart of Syngene International

The company has reported a strong performance in its Q4 FY23 results, with net revenues increasing by 31 percent year-on-year (YoY) to 994 crore, compared to 758 crore in the same quarter last year. Profit after tax (PAT) also increased by 21 percent YoY to 178 crore compared to 147 crore in Q4 FY22.

In the fourth quarter, the earnings before interest, tax, depreciation and ammortisation (EBITDA) of a company rose 27% year-on-year (YoY) to Rs. 337 crore. However, the EBITDA margin decreased by 120 basis points to 33.1%.

The company reported earnings per share of 4.46 for this quarter, a 20% increase from 3.71 in the same quarter last year.

”Strong growth in the fourth quarter, added to a positive performance over the course of the year, delivered full-year results ahead of our upgraded guidance. Looking ahead, we are optimistic that our performance over the last year and the progress we have made on the strategic development of the company position us well for the year ahead," said Jonathan Hunt, MD and CEO of the company.

Syngene International, the research and manufacturing services arm of Biocon, is an India-based contract research company. The company is engaged in providing services from early discovery and development to commercial manufacturing for small and large molecules.

According to a Mintgenie poll, an average of 8 analysts have a ‘HOLD’ call on the stock.

Article
What is EBITDA
First Published: 28 Apr 2023, 10:22 AM IST