Sify reports Consolidated Financial Results for Q2 FY 2024-25
Sify Technologies reported its Q2 FY 2024-25 consolidated financial results, showing strong growth. Revenue increased by 17% to INR 10275 Million, while EBITDA grew by 29% to INR 1963 Million compared to the same quarter last year. The company's profit after tax was INR 49 Million.
Key highlights include:
- CAPEX of INR 2594 Million during the quarter
- Commissioning of 6.5 MW Data Center capacity in Mumbai
- Revenue split: Data Center colocation services 32%, Digital services 32%, Network services 36%
- 1069 fiber nodes across India, a 12% increase year-over-year
- 10057 SDWAN service points deployed nationwide
Management emphasized India's emergence as a global ICT hub and Sify's strategic investments in infrastructure and services to support enterprise digital transformation.
Sify Technologies ha riportato i risultati finanziari consolidati del secondo trimestre dell'anno fiscale 2024-25, mostrando una forte crescita. I ricavi sono aumentati del 17% a INR 10275 milioni, mentre l'EBITDA è cresciuto del 29% a INR 1963 milioni rispetto allo stesso trimestre dell'anno scorso. L'utile netto dopo le tasse dell'azienda è stato di INR 49 milioni.
I punti salienti includono:
- CAPEX di INR 2594 milioni durante il trimestre
- Attivazione di una capacità di Data Center di 6,5 MW a Mumbai
- Ripartizione dei ricavi: servizi di colocation del Data Center 32%, servizi digitali 32%, servizi di rete 36%
- 1069 nodi in fibra in tutta l'India, con un aumento del 12% rispetto all'anno precedente
- 10057 punti di servizio SDWAN distribuiti a livello nazionale
Il management ha enfatizzato l'emergere dell'India come un hub ICT globale e gli investimenti strategici di Sify nelle infrastrutture e nei servizi per supportare la trasformazione digitale delle imprese.
Sify Technologies reportó sus resultados financieros consolidados del segundo trimestre del año fiscal 2024-25, mostrando un fuerte crecimiento. Los ingresos aumentaron un 17% hasta INR 10275 millones, mientras que el EBITDA creció un 29% hasta INR 1963 millones en comparación con el mismo trimestre del año pasado. El beneficio neto después de impuestos de la compañía fue de INR 49 millones.
Los aspectos destacados incluyen:
- CAPEX de INR 2594 millones durante el trimestre
- Puesta en marcha de una capacidad de Data Center de 6,5 MW en Mumbai
- Distribución de ingresos: servicios de colocation de Data Center 32%, servicios digitales 32%, servicios de red 36%
- 1069 nodos de fibra en toda India, un aumento del 12% interanual
- 10057 puntos de servicio SDWAN desplegados a nivel nacional
La dirección enfatizó la aparición de India como un centro global de TIC y las inversiones estratégicas de Sify en infraestructura y servicios para apoyar la transformación digital empresarial.
Sify Technologies는 2024-25 회계연도 2분기 결산 금융 결과를 발표하며 강력한 성장을 보여주었습니다. 수익은 17% 증가하여 INR 10275백만에 도달했으며, EBITDA는 29% 증가하여 INR 1963백만에 달했습니다 작년 같은 분기와 비교할 때. 회사의 세후 이익은 INR 49백만이었습니다.
주요 사항은 다음과 같습니다:
- 이번 분기 동안의 CAPEX는 INR 2594백만
- 뭄바이에 6.5 MW의 데이터 센터 용량이 가동됨
- 수익 분배: 데이터 센터 공동 사용 서비스 32%, 디지털 서비스 32%, 네트워크 서비스 36%
- 인도 전역에 1069개의 광섬유 노드, 전년 대비 12% 증가
- 전국에 10057개의 SDWAN 서비스 포인트 배치
경영진은 인도의 ICT 글로벌 허브로서의 부상과 기업 디지털 혁신을 지원하기 위한 Sify의 전략적 인프라 및 서비스 투자에 대해 강조했습니다.
Sify Technologies a présenté ses résultats financiers consolidés du deuxième trimestre de l'exercice 2024-25, montrant une forte croissance. Le chiffre d'affaires a augmenté de 17 % pour atteindre 10275 millions INR, tandis que l'EBITDA a crû de 29 % pour atteindre 1963 millions INR par rapport au même trimestre de l'année dernière. Le bénéfice après impôts de l'entreprise a été de 49 millions INR.
Les points saillants comprennent :
- CAPEX de 2594 millions INR au cours du trimestre
- Mise en service d'une capacité de centre de données de 6,5 MW à Mumbai
- Répartition des recettes : services de colocation des centres de données 32 %, services numériques 32 %, services réseau 36 %
- 1069 nœuds de fibre à travers l'Inde, soit une augmentation de 12 % d'une année sur l'autre
- 10057 points de service SDWAN déployés à l'échelle nationale
La direction a souligné l'émergence de l'Inde en tant que pôle mondial des TIC et les investissements stratégiques de Sify dans les infrastructures et les services pour soutenir la transformation numérique des entreprises.
Sify Technologies hat ihre konsolidierten finanziellen Ergebnisse für das zweite Quartal des Geschäftsjahres 2024-25 veröffentlicht und ein starkes Wachstum gezeigt. Der Umsatz stieg um 17% auf INR 10275 Millionen, während EBITDA um 29% auf INR 1963 Millionen wuchs im Vergleich zum selben Quartal des Vorjahres. Der Gewinn nach Steuern des Unternehmens betrug INR 49 Millionen.
Wichtige Höhepunkte sind:
- CAPEX von INR 2594 Millionen im Laufe des Quartals
- Inbetriebnahme von 6,5 MW Rechenzentrumskapazität in Mumbai
- Umsatzverteilung: Rechenzentrum-Kollokationsdienstleistungen 32%, digitale Dienstleistungen 32%, Netzwerkdienstleistungen 36%
- 1069 Glasfaser-Knoten in ganz Indien, ein Anstieg um 12% im Jahresvergleich
- 10057 SDWAN-Servicepunkte landesweit bereitgestellt
Das Management betonte Indiens Aufstieg zu einem globalen ICT-Hub und Sifys strategische Investitionen in Infrastruktur und Dienstleistungen zur Unterstützung der digitalen Transformation von Unternehmen.
- Revenue increased by 17% year-over-year to INR 10275 Million
- EBITDA grew by 29% year-over-year to INR 1963 Million
- Commissioned 6.5 MW of Data Center capacity in Mumbai
- 12% increase in fiber nodes across India compared to last year
- Significant new customer engagements across Data Center, Digital, and Network services
- Profit after tax decreased to INR 49 Million from INR 105 Million in the previous quarter
- Increased depreciation and interest costs due to ongoing investments
Insights
Sify Technologies has reported a strong quarter with notable growth in key financial metrics. Revenue increased by
The company's Data Center colocation services and Digital services each contributed
However, profit after tax was relatively modest at
Investors should monitor how efficiently Sify can convert its investments into profitable growth, particularly given the competitive landscape in India's ICT sector.
Sify's strategic focus on digital transformation and infrastructure expansion is evident in their Q2 results. The company's investment in cutting-edge technologies like SDWAN (Software-Defined Wide Area Network) is particularly noteworthy, with 10,057 service points deployed nationwide. This positions Sify as a leader in enterprise network solutions, catering to the growing demand for flexible and efficient connectivity.
The achievement of NVIDIA DGX-Ready Data Center Certification for Liquid Cooling at the Rabale campus is a significant technological milestone. This certification not only enhances Sify's capabilities in supporting AI and high-performance computing workloads but also demonstrates their commitment to energy-efficient data center operations.
Sify's expanding fiber network, now with 1,069 nodes (a
The company's ability to secure contracts across various sectors, including finance, healthcare and government, showcases the broad appeal and versatility of their solutions portfolio. This diverse customer base could provide resilience against sector-specific downturns.
Revenues of INR 10275 Million. EBITDA of INR 1963 Million.
Profit for the period INR 49 Million.
CHENNAI, India, Oct. 22, 2024 (GLOBE NEWSWIRE) --
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On the call: Mr. Raju Vegesna, Chairman of the Board, Mr. M P Vijay Kumar, Executive Director & Group CFO and Mr. Kamal Nath, Chief Executive Officer
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___________________________
HIGHLIGHTS
- Revenue was INR 10275 Million, an increase of
17% over the same quarter last year. - EBITDA was INR 1963 Million, an increase of
29% over the same quarter last year. - Profit before tax was INR 87 Million. Profit after tax was INR 49 Million.
- CAPEX during the quarter was INR 2594 Million.
MANAGEMENT COMMENTARY
Mr. Raju Vegesna, Chairman, said, “The enterprise landscape in India is undergoing a transformative evolution, driven by a confluence of regulatory advancements, innovative business models, and robust infrastructure development. As we navigate this dynamic environment, it is clear that India is emerging as a global hub for Information and Communication Technology (ICT).
Regulatory frameworks are becoming increasingly conducive to business growth, allowing for an ecosystem that encourages innovation and investment. Initiatives such as Digital India and the Make in India campaign have streamlined processes and incentivized entrepreneurship.
This shift is not just about adopting new tools; it’s about reimagining how we conduct business and deliver value to our stakeholders.”
Mr. Kamal Nath, CEO, said, “As enterprises embark on their digital transformation journeys, they are reshaping their IT frameworks to integrate a diverse array of innovative solutions. The overarching goal remains the same: to enhance user satisfaction, ensure operational resilience, and safeguard digital assets.
To support these ambitions, we are making significant capital investments and expanding our range of offerings. Our strategic focus on delivering innovative outcomes through our comprehensive suite of infrastructure and managed services uniquely positions us to partner with businesses during this pivotal transformation.”
Mr. M P Vijay Kumar, ED & Group CFO, said, “We draw your attention to Sify adopting the new standard of International Accounting Standards Board’s recent issuance of IFRS 18 (Presentation and Disclosure in Financial Statements) starting with the last quarter ending June 30, 2024. By adopting the new framework, we seek to maintain clarity and consistency in our financial communications. Importantly, while our presentation may change, there is no alteration in total income or net profit.
We also remain committed to cost-effectiveness and fiscal prudence. Our ongoing investments reflect a forward-thinking perspective that anticipates market trends. These efforts will positively impact our net profit in the near future. However, it is essential to acknowledge that these investments also lead to increased depreciation and interest costs, which we account for transparently in our financial statements.
We are also actively scaling our sustainable practices across all our businesses, with particular emphasis on our Data Centers. This commitment to sustainability is not just a compliance measure; it is integral to our long-term strategy and resonates with the broader digital transformation initiatives being pursued by industries across India.
The cash balance at the end of the quarter was INR 7574 Million.”
BUSINESS HIGHLIGHTS
- The Revenue split between the businesses for the quarter was Data Center colocation services
32% , Digital services32% and Network services36% . - During the quarter, Sify commissioned 6.5 MW of Data Center capacity in Mumbai.
- As of September 30, 2024, Sify provides services via 1069 fiber nodes across the country, a
12% increase over same quarter last year. - Sify has now deployed 10057 SDWAN service points across the country.
CUSTOMER ENGAGEMENTS
Among the most prominent new contracts during the quarter were the following:
Data Center Services
- A global security firm and a nationalized bank migrated from the competition’s Data Center to Sify Data Center.
- The national postal network signed up to expand their DR at Sify’s premises.
- One of the largest private banks signed up for modernization of the DC to DR network path.
- The country’s premier financial transaction settlement assurance platform and a nationalized bank signed up to expand their DR at one of Sify’s locations.
- Sify extended its leadership in AI technology by becoming the first Data Center provider in India to achieve NVIDIA DGX-Ready Data Center Certification for Liquid Cooling at its Rabale campus.
Digital services
- A private mobility player, a co-operative bank, an EPC major, an automation company and an ITeS company signed up to migrate their on-premise DC to our Cloud platform.
- One of the largest housing finance players, a paints major and a couple of steel manufacturers contracted Sify to build greenfield cloud platforms.
- Multiple players across housing finance, logistics, health, securities and asset management signed up for services like DRaaS, PaaS and IaaS.
- A state government’s technology mission signed up for on-prem commissioning of private cloud.
- A state government’s biotechnology promotion platform, a private healthcare and power transmission player signed up for on-prem Security build services.
- Multiple national players across real estate infrastructure, retail, logistics and healthcare signed up for SAP services.
- A state government training platform and another distribution platform signed up for online assessments.
Network Services
- One of India’s largest private banks and a retail MNC signed up for Sify’s Global Cloud interconnection.
- An India-centric Internet exchange contracted for establishing connectivity in Tier 2 cities.
- One of India’s largest exchanges signed up for WAN across their backbone network.
- A pharmaceutical MNC in India contracted for Low Latency Internet services.
- One of the largest financial transaction services players contracted for Low Latency Data Center Inter-Connect services.
FINANCIAL HIGHLIGHTS
| Unaudited Consolidated Income Statement as per IFRS | ||||||
| (In INR millions) | ||||||
| Description | Quarter ended | Quarter ended | Quarter ended | |||
| September 2024 | September 2023 | June 2024 | ||||
| Revenue | 10,275 | 8,791 | 9,421 | |||
| Cost of Sales | (6,362 | ) | (5,509 | ) | (5,961 | ) |
| Gross Profit | 3,913 | 3,282 | 3,460 | |||
| Other Operating Income | 135 | 173 | 88 | |||
| Selling, General and Administrative Expenses | (1,945 | ) | (1,762 | ) | (1,676 | ) |
| Depreciation and Amortisation expense | (1,323 | ) | (1,213 | ) | (1,306 | ) |
| Operating Profit | 780 | 480 | 566 | |||
| Investment Income | 2 | 20 | 58 | |||
| Profit before financing and income taxes | 782 | 500 | 624 | |||
| Interest expenses on borrowings and lease liabilities | (694 | ) | (502 | ) | (670 | ) |
| Interest expenses on pension liabilities | (1 | ) | - | - | ||
| Profit/(Loss) before income taxes | 87 | (2 | ) | (46 | ) | |
| Income Tax Expense | (38 | ) | (38 | ) | (59 | ) |
| Profit/(Loss) for the period | 49 | (40 | ) | (105 | ) | |
| Profit attributable to: | ||||||
| Reconciliation with Non-GAAP measure | ||||||
| Profit/(Loss) for the period | 49 | (40 | ) | (105 | ) | |
| Add: | ||||||
| Depreciation and Amortisation expense | 1,323 | 1,213 | 1,306 | |||
| Net Finance Expenses | 588 | 361 | 547 | |||
| Current Tax | 184 | 202 | 136 | |||
| Less: | ||||||
| Deferred Tax | (146 | ) | (164 | ) | (77 | ) |
| Other Income (including exchange gain/loss) | (35 | ) | (53 | ) | (23 | ) |
| EBITDA | 1,963 | 1,519 | 1,784 | |||
Management-defined Performance Measures (MPMs)
Sify uses Earnings before Interest, Tax, Depreciation and Amortisation (EBITDA) as the management-defined performance measure in its public communications. This measure is not specified by IFRS Accounting Standards and therefore might not be comparable to apparently similar measures used by other entities.
Management believes adjusting operating profit for these items provides comprehensive information of the company’s operating performance.
Reconciliation with Management-defined Performance Measures:
(In INR millions)
| Quarter ended | Quarter ended | Quarter ended | ||||
| September 2024 | September 2023 | June 2024 | ||||
| Operating Profit | 780 | 480 | 566 | |||
| Add: | ||||||
| Depreciation and Amortisation expense | 1,323 | 1,213 | 1,306 | |||
| Less: | ||||||
| Interest expenses on pension liabilities | (1 | ) | - | - | ||
| Other Income (including exchange gain/loss) | (139 | ) | (174 | ) | (88 | ) |
| EBITDA | 1,963 | 1,519 | 1,784 | |||
Segment Reporting:
(In INR millions)
| Q2 2024-25 | Q2 2023-24 | |||||||||||||||
| Particulars | Network Services | Data center Services | Digital Services | Total | Network Services | Data center Services | Digital Services | Total | ||||||||
| (A) | (B) | (C) | (D)= (A)+(B)+(C) | (A) | (B) | (C) | (D)= (A)+(B)+(C) | |||||||||
| External customers Revenue | 3,679 | 3,334 | 3,262 | 10,275 | 3,571 | 2,717 | 2,503 | 8,791 | ||||||||
| Intersegment Revenue | - | 22 | 55 | 77 | 22 | 55 | 77 | |||||||||
| Operating Expense | (3,406 | ) | (1,708 | ) | (3,171 | ) | (8,285 | ) | (3,097 | ) | (1,588 | ) | (2,566 | ) | (7,251 | ) |
| Intersegment Expense | (63 | ) | - | (14 | ) | (77 | ) | (63 | ) | (14 | ) | (77 | ) | |||
| Segment Result | 210 | 1,648 | 132 | 1,990 | 411 | 1,151 | (22 | ) | 1,540 | |||||||
| Unallocated Expense: | ||||||||||||||||
| Support Service Unit Costs | (51 | ) | (52 | ) | ||||||||||||
| Depreciation & Amortisation | (1,323 | ) | (1,213 | ) | ||||||||||||
| Other income / (expense), net | 35 | 48 | ||||||||||||||
| Finance Income | 90 | 139 | ||||||||||||||
| Finance Expense | (654 | ) | (464 | ) | ||||||||||||
| Profit / (loss) before tax | 87 | (2 | ) | |||||||||||||
| Income taxes (expense) / benefit | (38 | ) | (38 | ) | ||||||||||||
| Profit / (loss) for the period | 49 | (40 | ) | |||||||||||||
Equity and Debt:
(In INR millions)
| 30.09.2024 | 30.09.2023 | 30.06.2024 | |
| EQUITY | 17,401 | 15,214 | 17,369 |
| BORROWINGS | |||
| Long term | 19,725 | 16,962 | 16,717 |
| Short term | 9,047 | 6,567 | 7,218 |
About Sify Technologies
A multiple times award winner of the Golden Peacock from Institute of Directors for Corporate Governance, Sify Technologies is India’s most comprehensive ICT service & solution provider. With Cloud at the core of our solutions portfolio, Sify is focussed on the changing ICT requirements of the emerging Digital economy and the resultant demands from large, mid and small-sized businesses.
Sify’s infrastructure comprising state-of-the-art Data Centers, the largest MPLS network, partnership with global technology majors and deep expertise in business transformation solutions modelled on the cloud, make it the first choice of start-ups, SMEs and even large Enterprises on the verge of a revamp.
More than 10000 businesses across multiple verticals have taken advantage of our unassailable trinity of Data Centers, Networks and Digital services and conduct their business seamlessly from more than 1700 cities in India. Internationally, Sify has presence across North America, the United Kingdom and Singapore.
Sify, www.sify.com, Sify Technologies and www.sifytechnologies.com are registered trademarks of Sify Technologies Limited.
Non-IFRS Measures
This press release contains a financial measure not prepared in accordance with IFRS. In particular, EBITDA is referred to as “non-IFRS” measure. The non-IFRS financial measure we use may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies - refer to the reconciliation provided in the table labelled Financial Highlights for more information. In addition, these non-IFRS measures should not be considered in isolation as a substitute for, or as superior to, financial measures calculated in accordance with IFRS, and our financial results calculated in accordance with IFRS and reconciliation to those financial statements should be carefully evaluated.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Sify undertakes no duty to update any forward-looking statements.
For a discussion of the risks associated with Sify’s business, please see the discussion under the caption “Risk Factors” in the company’s Annual Report on Form 20-F for the year ended March 31, 2024, which has been filed with the United States Securities and Exchange Commission and is available by accessing the database maintained by the SEC at www.sec.gov, and Sify’s other reports filed with the SEC.
For further information, please contact:
| Sify Technologies Limited Mr. Praveen Krishna Investor Relations & Public Relations +91 9840926523 praveen.krishna@sifycorp.com | 20:20 Media Nikhila Kesavan +91 9840124036 nikhila.kesavan@2020msl.com | Weber Shandwick Lucia Domville +1-212 546-8260 LDomville@webershandwick.com |
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