Sify reports Consolidated financial results for Second quarter of 2021-22
October 29 2021 - 7:19AM
Highlights:
- Revenue was INR 6986 Million, a growth of 18% over the
same quarter last year.
- EBITDA was INR 1477 Million, an increase of 24% over
the same quarter last year.
- Profit before tax for the quarter was INR 461 Million,
an increase of 11% over the same quarter last year.
- Profit after tax was INR 356 Million, an increase of
39% over the same quarter last year.
- CAPEX during the quarter was INR 1497
Million.
- Cash balance at end of quarter was INR 2820
Million.
(IN INR MILLION) |
Q2 FY 2021-22 |
Q2 FY 2020-21 |
Q1 FY 2021-22 |
EQUITY |
13853 |
11808 |
13503 |
|
|
|
|
BORROWINGS |
|
|
|
Long term |
6582 |
5960 |
5912 |
Short term |
3809 |
3558 |
3462 |
MANAGEMENT COMMENTARYMr.
Raju Vegesna, Chairman, said, “India has bounced back
remarkably well from the pandemic, with businesses reporting near
pre-pandemic results.
If anything, this pandemic helped to clearly
establish what a proactive administration can achieve. Through the
course of multiple lockdowns, the government set the pace by
enabling critical IT infrastructure and following that up with
aggressive adoption of automation for last mile delivery of welfare
services. Similar initiatives have rapidly been adopted by small
and medium enterprises, driving demand for services like data
centers and networks. That, combined with geo-political changes,
has made India increasingly attractive to MNC enterprises as the
next destination for IT infrastructure. We expect these tailwinds
to create new opportunities for Sify.”
Mr. Kamal Nath, CEO, said, “As
declared earlier, the creation of the two subsidiaries; Sify
Infinit Spaces Limited and Sify Digital Services Limited under the
parent, Sify Technologies Limited, was to ensure that we can focus
our strategy and investments in line with the evolving market
conditions. Our financial results endorse this decision.
The decision was timed to the Enterprise world’s
accelerating demand for Hyperscale Data Center demands, cloud-based
digital transformation services and application modernization, all
central to our current services bouquet. With the return in market
sentiment, we are seeing aggression in customers’ decision making
in all forms of digitalization. Our Cloud@core portfolio of
services sits perfectly with this new demand and is increasingly
reflected in our current customer engagements.”
Mr. M P Vijay Kumar, CFO, said,
“We continue to stay focused on expanding our Data Center
footprint, along with our network reach and delivery capabilities
in our digital services. Operating performance continues to be
stable. While the economic recovery is a healthy, positive sign, we
will continue to be vigilant on cost efficiency, capital allocation
and liquidity management.
Cash balance at the end of the quarter was INR
2820 Million.”
Business Summary:
The business summary this quarter is presented
separately for Network Services, Data Center Services and Digital
Services reflecting the separate subsidiaries that have been
established to focus on each of these business lines.
- Revenue from Network Centric
services grew by 7% over the same quarter last year.
- Revenue from Data Center Services
grew by 47% over the same quarter last year.
- Revenue from Digital Services
(comprising Cloud and Managed Services, Applications and Technology
Integration Services) grew by 17% over the same quarter last
year.
The Revenue split between the businesses was
Network Centric Services - 42%, Data Center Services – 27% and
Digital Services - 31%.
Business
Highlights:
- As part of our Corporate Venture
Capital initiative, we have cumulatively invested a little more
than USD 3 Million across 4 startups in the United States.
- During the quarter, Sify has also
invested in procuring Renewable energy for our Data Center in
Mumbai to the tune of INR 225 Million.
- Cumulatively, Sify has delivered 74
MW of Data Center capacity as on Sep 30, 2021.
- In the quarter, Sify completed the
upgrade of its backbone network in the key cities of Hyderabad,
Chennai, Bangalore, Mumbai and Delhi. This 4X upgrade to the
current capacity can now deliver high-density services for its
Enterprise customers.
- In addition, Sify completed its
Metro network deployment in Hyderabad, Pune, Jaipur, Ahmedabad, and
Kolkata, adding to our metro networks in Mumbai, Chennai, Bangalore
and Delhi. With this deployment, Sify can make available services
to 100G on tap to available Enterprise customers.
- Sify continues to expand its
network coverage and has increased wireless base station density by
23% to deliver high bandwidths to Enterprise customers.
- During the quarter, Sify signed a
landing party agreement to land a new submarine cable at our Open
Cable Landing Station in Versova, Mumbai.
Customer engagements:
- Two of India’s largest private banks and a PSU bank contracted
with Sify to migrate from their on-premise DC to Sify DC.
- A State co-operative bank and a private ISP player migrated
from another operator to Sify DC.
- A premier banking institute and another private banking player
contracted to have a private cloud commissioned at their Data
Center.
- A State Data Center contracted with Sify to expand capacity and
deploy non-IT services.
- A public sector bank contracted for multi-year Network Managed
services and Information Security refresh their DC and DR
locations.
- One of India’s oldest MNC’s contracted with Sify for a
comprehensive security assessment service at their DC and DR
locations.
- Two State Data Centers contracted for onsite Managed
services.
- Digital services signed up a dairy major, a storage major and
an industrial additives player.
- More than a quarter million online assessments were completed
this quarter.
- A global search major contracted with Sify to connect all their
cloud nodes.
- India’s premier geospatial agency signed for a Global MPLS
network.
- One of the country’s largest banks signed up for Internet and
DDoS security services while an upcoming bank contracted with Sify
to consolidate their vendor network.
- Two Indian MNCs signed up for a Network Operations Center and
Managed security services.
- 100G capacities were handed over to previously upgraded
customers.
- At close of quarter, Network Centric services had signed up 73
new clients.
FINANCIAL HIGHLIGHTS
Sify
Technologies Limited |
|
|
|
|
|
|
|
Unaudited Consolidated Income Statement as per
IFRS |
|
|
(In
INR millions) |
|
|
|
|
Quarter ended |
Quarter ended |
Quarter ended |
Description |
September |
September |
June |
|
2021 |
2020 |
2021 |
|
|
|
|
|
|
|
|
Revenue |
6,986 |
|
5,899 |
|
6,451 |
|
Cost of Revenues |
(4,201 |
) |
(3,647 |
) |
(3,906 |
) |
Selling, General and Administrative Expenses |
(1,308 |
) |
(1,063 |
) |
(1,091 |
) |
|
|
|
|
EBITDA |
1,477 |
|
1,189 |
|
1,454 |
|
|
|
|
|
Depreciation and Amortisation expense |
(790 |
) |
(667 |
) |
(802 |
) |
Net Finance Expenses |
(252 |
) |
(142 |
) |
(227 |
) |
Other Income (including exchange gain) |
33 |
|
42 |
|
17 |
|
Other Expenses (including exchange loss) |
(7 |
) |
(8 |
) |
(2 |
) |
|
|
|
|
Profit before tax |
461 |
|
414 |
|
440 |
|
Current Tax |
(205 |
) |
(164 |
) |
(118 |
) |
Deferred Tax |
100 |
|
7 |
|
7 |
|
Profit for the period |
356 |
|
257 |
|
329 |
|
|
|
|
|
Profit attributable to: |
|
|
|
Reconciliation with Non-GAAP measure |
|
|
|
Profit for the period |
356 |
|
257 |
|
329 |
|
Add: |
|
|
|
Depreciation and Amortisation expense |
790 |
|
667 |
|
802 |
|
Net Finance Expenses |
252 |
|
142 |
|
227 |
|
Other Expenses (including exchange loss) |
7 |
|
8 |
|
2 |
|
Income tax expense |
205 |
|
164 |
|
118 |
|
Less: |
|
|
|
Deferred Tax |
(100 |
) |
(7 |
) |
(7 |
) |
Other Income (including exchange gain) |
(33 |
) |
(42 |
) |
(17 |
) |
|
|
|
|
EBITDA |
1,477 |
|
1,189 |
|
1,454 |
|
|
|
|
|
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/6f3747f4-86a9-4e7f-b050-e5addd56a28a
About Sify Technologies
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 the largest
MPLS network, top-of-the-line DCs, partnership with global
technology majors, vast expertise in business transformation
solutions modelled on the cloud make it the first choice of
start-ups, incoming Enterprises 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 Security services and conduct their business
seamlessly from more than 1600 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.
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, 2021, 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 LimitedMr. Praveen
KrishnaInvestor Relations & Public Relations+91 44 22540777
(ext.2055)praveen.krishna@sifycorp.com |
Grayling Investor RelationsLucia
Domville+1-646-824-2856Lucia.Domville@grayling.com |
20:20 Media Nikhila Kesavan+91
9840124036nikhila.kesavan@2020msl.com |
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