Indegene reported a 17.1% rise in revenue for the quarter, but earnings before interest, taxes, depreciation, and amortisation (EBITDA) margins slipped by about 200 basis points to 16.5%. CFO Suhas Prabhu attributed the decline to one-time expenses related to recent merger and acquisition (M&A) transactions, including due diligence and legal fees, and said margins are expected to recover in the coming quarters.
Below are the edited excerpts from the interview.
Q: Your topline growth, I think, was around 17%; however, margins have come down from about 18.5% to 16.5%. Why was there this 200-basis-point compression at the EBITDA margin level? What were the factors at play, and is it a one-quarter phenomenon? Can you also give us some visibility on the second half of FY26?
A: We had 17.1%

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