Sify reports Consolidated Financial Results for FY 2024-25

Revenues of INR 39886 Million. EBITDA of INR 7562 Million.

Loss for the Year was INR 785 Million.

CHENNAI, India, April 18, 2025 (GLOBE NEWSWIRE) --

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HIGHLIGHTS

   -- Revenue for the year was INR 39886 Million, an increase of 12% over last 
      year. 
 
   -- EBITDA was INR 7562 Million, an increase of 12% over last year. 
 
   -- Loss before tax was INR 286 Million. Loss after tax was INR 785 Million. 
 
   -- CAPEX for the year was INR 12745 Million. 

MANAGEMENT COMMENTARY

Mr. Raju Vegesna, Chairman, said, "India's emergence as a global growth hub is no longer a forecast. It is a present-day reality. India is set to become the third-largest economy by 2030-31 with projected annual growth of 6.7%, according to S&P Global.

This growth is underpinned by liberal economic reforms, a vibrant startup ecosystem, and a demographic dividend. With over 1.2 billion mobile phone users and the second-largest internet user base globally, India is now a important test-bed for emerging technologies such as AI, 5G, and cloud computing.

Government initiatives like 'Digital India' and 'Startup India' have further accelerated tech innovation, with India now home to over 100 unicorns. For global enterprises, the convergence of policy support, digital infrastructure, and deep talent positions India as a growth opportunity that is both immediate and immense."

Mr. M P Vijay Kumar, ED & Group CFO, said, "We remain committed to cost efficiency and fiscal discipline, aligning our financial strategies with long-term value creation across all our businesses. While we plan essential investments for future readiness, our current results face multiple headwinds of depreciation, interest expenses, and rising manpower costs. Our approach remains to invest to build resilience, enhance operational agility, and capture emerging opportunities. The income tax expense includes tax, both current and deferred tax, of Rs.539 Million on profit of its data center subsidiary.

The cash balance at the end of the year was INR 6836 Million."

BUSINESS HIGHLIGHTS

   -- The Revenue split between the businesses for the year was Data Center 
      services 38%, Digital services 21% and Network services 41%. 
 
   -- As of March 31, 2025, Sify provides services via 1137 fiber nodes across 
      the country, a 10% increase over last year. 
 
   -- As of March 31, 2025, Sify has deployed 1870 contracted SDWAN service 
      points across the country. 

CUSTOMER ENGAGEMENTS

Among the largest new contracts for the year were the following:

Data Center Services

   -- One of India's earliest Security SaaS companies migrated from a 
      competitor' data center to Sify Data Center. 
 
   -- One of the largest private banks in India nearly doubled their capacity 
      for DR. 
 
   -- One of the largest Public Sector lenders in India has signed up for 
      significant capacity in our latest hyperscale data center campus in the 
      west. 

Digital services

   -- One of the largest private networks, the largest English media publishing 
      group, an upcoming IT major and an MNC into heavy engineering signed up 
      to migrate from their on-premise data center to multiple Cloud platforms. 
 
   -- The largest housing lender, the largest NBFC, a joint venture steel 
      making major and private capital advisor signed up for Greenfield cloud 
      implementation. 
 
   -- A subsidiary of an automobile major, a heavy engineering group, the 
      largest MNC in India and a performance materials and specialty chemicals 
      manufacturer signed up for services like DRaaS, PaaS and IaaS. 
 
   -- The largest insurance player and the National insurance regulator signed 
      up for Private Cloud commissioning at their data center. 
 
   -- Multiple banks, a MNC in steel manufacturing, an NBFC and a retail major 
      signed up for Managed services. 
 
   -- Three of the largest banks and a paint manufacturing major were the 
      largest signups for Security services, including building their Security 
      Operations Center. 

Network Services

   -- A Public Sector insurance major signed up for a full suite of Network 
      connectivity services including SD-WAN services across 3500 locations. 
 
   -- A major ITeS player signed up for security services for their entire 
      rooster of clients. 
 
   -- An upcoming regional player and a ITeS MNC signed up for Managed services 
      for their clients in western and eastern India. 
 
   -- A co-operative bank signed a multi-year deal for on-site NOC support 
      services. 
 
   -- The largest Indian clearing house for foreign currency settlement signed 
      up for two different services in two regions. 
 
   -- One of the largest vendors operating the ID authentication for India's 
      airport regulatory authority signed up for SD-WAN at multiple airports. 

FINANCIAL HIGHLIGHTS

Unaudited Consolidated Income Statement as per IFRS (in INR Millions)

 
                         Quarter     Quarter 
                          ended       ended     Year ended    Year ended 
---------------------- 
                        March 2025  March 2024  March 2025    March 2024 
     Description                    (restated)                (restated) 
----------------------  ----------  ----------  ----------  ------------ 
 
  Revenue                   9,699       9,637      39,886      35,634 
  Cost of Sales            (5,869)     (6,108)    (24,917)    (22,378) 
  Gross Profit              3,830       3,529      14,969      13,256 
  Other Operating 
   Income                      76         183         363         378 
  Selling, General and 
   Administrative 
   Expenses                (1,977)     (1,700)     (7,442)     (6,462) 
  Depreciation and 
   Amortisation 
   expense                 (1,558)     (1,259)     (5,633)     (4,773) 
  Operating Profit            371         753       2,257       2,399 
  Investment Income            76          25         188         156 
  Profit before 
   financing and 
   income taxes               447         778       2,445       2,555 
  Finance income                -           -          13           - 
  Interest expenses on 
   borrowings and 
   lease liabilities         (762)       (590)     (2,742)     (2,202) 
  Interest expenses on 
   pension 
   liabilities                  -          (1)         (2)         (2) 
  Profit/(Loss) before 
   income taxes              (315)        187        (286)        351 
                        ---------   ---------   ---------   --------- 
 
  Income Tax Expense         (263)        (98)       (499)       (183) 
 
  Profit/(Loss) for 
   the period                (578)         89        (785)        168 
----------------------  ---------   ---------   ---------   --------- 
 
Profit attributable 
to: 
Reconciliation with 
Non-GAAP measure 
---------------------- 
 
Profit/(Loss) for the 
 period                      (578)         89        (785)        168 
  Add: 
  Depreciation and 
   Amortisation 
   expense                  1,558       1,259       5,633       4,773 
  Net Finance Expenses        630         497       2,294       1,816 
  Current Tax                 189         158         699         515 
  Deferred Tax                 74           -           -           - 
  Less: 
  Deferred Tax                  -         (60)       (200)       (332) 
  Other Income 
   (including exchange 
   gain/loss)                  28        (118)        (79)       (184) 
 
  EBITDA                    1,901       1,825       7,562       6,756 
----------------------  ---------   ---------   ---------   --------- 
 
 

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       Quarter 
                           ended         ended      Year ended    Year ended 
---------------------- 
                         March 2025    March 2024   March 2025    March 2024 
Description                            (restated)                 (restated) 
----------------------  ------------  ------------  ----------  ------------ 
  Operating Profit           371           753          2,257       2,399 
  Add: 
  Depreciation and 
   Amortisation 
   expense                 1,558         1,259          5,633       4,773 
  Less: 
  Interest expenses on 
   pension 
   liabilities                 -            (1)            (2)         (2) 
  Other Income 
   (including exchange 
   gain/loss)                (28)         (186)          (326)       (414) 
  EBITDA                   1,901         1,825          7,562       6,756 
----------------------  --------      --------      ---------   --------- 
 

Segment Reporting:

(In INR millions)

 
                                    2024-25                                      2023-24 (restated) 
-------------  ------------------------------------------------  -------------------------------------------------- 
                 Network    Data center    Digital                 Network    Data center    Digital 
                Services     Services     Services      Total     Services     Services     Services       Total 
 Particulars       $(A)$          (B)          (C)      (D=A+B+C)      (A)          (B)          (C)       (D=A+B+C) 
-------------  -----------  -----------  -----------  ---------  -----------  -----------  -----------  ----------- 
Revenue 
External 
 customers 
 Revenue        15,781      14,196         9,909        39,886    14,661      11,054         9,919        35,634 
Intersegment 
 Revenue             -          88           222           310         -          88           222           310 
Operating 
 expenses      (13,920)     (7,769)      (10,612)      (32,301)  (12,319)     (6,425)      (10,105)      (28,849) 
Intersegment 
 expenses         (252)          -           (58)         (310)     (252)                      (58)         (310) 
Segment 
 Result          1,609       6,515          -539         7,585     2,090       4,717           -22         6,785 
-------------  -------      ------  ---  -------      --------   -------      ------  ---  -------      -------- 
 
Unallocated Expense 
 (Support Service Unit 
 Costs)                                                    (58)                                                8 
Depreciation 
 & 
 Amortisation                                           (5,633)                                           (4,773) 
Other income 
 / (expense), 
 net                                                       552                                               535 
Finance 
 Income                                                     12                                                 - 
Finance 
 Expense                                                (2,744)                                           (2,204) 
Profit / 
 (loss) 
 before tax                                               (286)                                              351 
Income taxes 
 (expense)/ 
 benefit                                                  (499)                                             (183) 
                                                                              ----------- 
Profit / 
 (loss) for 
 the year                                                 (785)                                              168 
-------------  -----------  -----------  -----------  --------   -----------  -----------  -----------  -------- 
 
 

Equity and Debt:

(In INR millions)

 
                     31.03.2025  31.03.2024 
-------------------  ----------  ---------- 
EQUITY                   16,725      15,349 
-------------------  ----------  ---------- 
BORROWINGS 
-------------------  ----------  ---------- 
Long term                28,237      23,350 
-------------------  ----------  ---------- 
Short term                7,304       7,152 
-------------------  ----------  ---------- 
Less: Cash Balance        6,836       5,835 
-------------------  ----------  ---------- 
Net Debt                    468       1,317 
-------------------  ----------  ---------- 
 

About Sify Technologies

A multiple times award winner of the Golden Peacock from the 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/A 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         20:20 Media Nikhila        Weber Shandwick Lucia 
Limited Mr. Praveen       Kesavan +91 9840124036     Domville +1-212 546-8260 
Krishna Investor          nikhila.kesavan@2020msl.c  LDomville@webershandwick. 
Relations & Public        om                         com 
Relations +91 9840926523 
praveen.krishna@sifycorp 
.com 
 

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April 18, 2025 16:05 ET (20:05 GMT)