Shares of Syngene International hit a 52-week high in morning trade on April 27 after the company reported a 21% rise in fourth-quarter net income.

The drugmaker’s net profit rose 21% year-on-year to Rs 179 crore in January-March, helped by solid revenue growth of 31% to Rs 994 crore from Rs 758 crore a year ago.

Brokerage ICICDirect sees revenue growth driven by discovery services and dedicated centres, which show continued growth. The company said development services also grew significantly due to more customer orders.

Jonathan Hunt, MD and CEO of Syngene International, said in a bourse filing: “All business segments posted growth throughout the year, sparking calls for additional laboratory capacity and new facilities at the Bengaluru and Hyderabad campuses.”

Hunt also highlighted that the manufacturing services segment had been influential this year following successful regulatory inspections by US, European and UK regulators. Commercial-scale biologics manufacturing had a hectic fourth quarter, supporting the company’s partnership with Zoetis.

Shares of Syngene International were up 3.62% at Rs 647 on the National Stock Exchange at 9:47 am. The stock also hit a 52-week high of Rs 660 intraday.

The volume also remained high, with 14 lakh shares of the drugmaker changing hands on exchanges, compared with a one-month daily average of 400,000 shares.

For FY23, the company’s revenue rose 23% year-on-year to Rs 3,193 crore, while EBITDA increased 18% to Rs 1,005 crore, the highest level in the past five years.

ICICDirect is also positive on the company, as Syngene continues to deliver standout numbers driven by all core segments, even as most CRAMS (Contract Research and Manufacturing Services) players witness slowdowns or business adjustments.

Syngene also highlighted that the biologics manufacturing partnership it signed with Zoetis in the first quarter is expected to be worth $500 million over the next 10 years.