Sify
reports revenues of INR 15035 million for FY 2015-16
EBITDA for the year stood at INR 2449 million
Chennai, Friday,
April 22, 2016: Sify Technologies Limited (NASDAQ: SIFY), a leader in Managed Enterprise,
Network, IT and Software services in India with global delivery capabilities,
today announced its consolidated results under
International Financial Reporting Standards (IFRS) for the fiscal year 2015-16.PERFORMANCE HIGHLIGHTS:·
Revenue
for the year ended March 31, 2016 was INR 15035 million, an increase of
approximately 17% over last year. Revenue for the quarter was INR 4036 million,
an increase of 12% over the same quarter last year.
- EBITDA for the year was INR 2449 million, an increase of 22% over last year.
- Net Profit for the year was INR 436 million, an increase of 16% over last year.
- CAPEX during the year was INR 1781 million. Cash balance at the end of the year was INR 1736 million.
- Revenue of this business grew by 14%.
Mr. Raju Vegesna, Chairman, said,
“This is our 3rd straight year of profitability with strong revenue
growth, since we announced our plan to become an ICT Services provider.
This
year, Sify also took its first steps toward a larger ambition of going global;
not just on signing up international clients, but also building a pool of
highly skilled workforce with the launch of our Global Innovation and
Development Centre at Hyderabad.
We
believe that our complete ICT eco-system and this on-demand workforce will be
an undeniable advantage for our customers in the long run.”
Mr.
Kamal Nath, CEO,
said, “ FY15-16 was our 3rd year of Sify 3.0 journey and I am happy to share
that our positioning as an ICT Solutions and Services player have led to
consistent growth in revenue, order book and profitability . Our Infrastructure
as well as Services business have contributed to the growth of each other. A
significant number of our clients have endorsed us for our Data Centre
Transformation and Network Transformation offering while choosing us as their
Integrated ICT partner.
The quantitative and qualitative
performance coupled with healthy mix of Run rate, Annuity and Large deals have
strengthened our base for a sustained growth in FY 16-17 and beyond.”
Mr. M P Vijay Kumar, CFO, said, “The
discipline exhibited over successive quarters on cost control has helped to
supplement the good progress on the revenue front.
Our
asset utilization has also improved with increased demand for our solutions,
both on the Data Center and Network side.
Our
Capex investments remain cautious and in sync with the market movements.
The Board has recommended a dividend of 10%.
Cash balance at the end of
the year was INR 1736 million.”
Financial
Highlights
Business Highlights
Telecom
·
Revenue
from the data business grew more than 15% over last year. Voice business grew 21%
over the previous year.
·
Demand
from over 900 new clients for the year has pushed the business to more than
triple its existing capacity.
·
The
largest commercial metro in India is the first recipient of the expansion with
the fibre rollout already in progress.
·
The
business launched the Cloud Interconnect services facilitating access to more
than 10 leading cloud service providers across 30 global geographies. Enterprises
now have perhaps the largest direct access to the Cloud platform.
·
Business
Internet saw a revenue growth of 25% with capacity almost tripling. This significant
spike is on the back of explosive demand for bandwidth dependent applications.
·
Managed
services strategy saw maturity with a 2x growth that saw the number of Managed
end points almost double. This was also recognised by the industry peers as the
Best Network Managed Services at the CIO Choice awards 2016.
·
Among
the biggest clients signed up were to build and manage a national banking
network with multiple service providers with Sify as the primary Network
Integrator for both infra and managed services.
·
The
eCommerce business across the country is also helping with the resultant signups
to build the network for multiple large service providers.
·
Other
sign ups were a national sector telecom service provider, a national insurance
provider, a total of 3 large public sector banks, a cement major, a non-life
insurance player and a large private university.
·
Three
major international automobile manufacturers contracted the business to build
their entire dealer management network and deliver comprehensive managed
services.
Data Centre Services
·
Revenue
from this business grew by 20% over the previous year.
·
This
business added more than 50 clients through the year.
·
The
business saw demand higher power density requirements. In line with the same,
augmentation is on to expand the planned capacity of both Noida and Rabale.
·
The
business focussed approach towards certain Industry verticals paid rich
dividends. The fastest growing virtual wallet player contracted us for their
complete hosting requirements. Millions of transactions will now be serviced
from our Data Center.
·
A
captive managed service provider for a national mobile services player has
contracted the business for coLocation services. Such wins complimented our
market focussed approach during the entire year and our market coverage
strategy was fairly received by the market.
·
During
the year, the business also signed up two of the largest
nationalised banks, a large format retail player and a third party medical
insurance service player.
·
One
of the largest public sector bank signed up for our Disaster Recovery services.
·
A
world player in online search has signed up to park their PoP at our Noida
facility which will now enable multiple ISPs to host from here.
·
This
business won awards for Data Center transformation services and Integrated Data
Center services at the CIO Choice awards 2016.
Cloud and Managed
Services
·
Revenue
grew by 45% over the previous year.
·
Over
last 12 months, the business has seen increased demand from customers for
cloud-aligned model of IT, including services leveraging cloud such as Backup
on Cloud, DR on Cloud etc.
·
Content
Delivery Network services has seen over 260% growth over last year and has
added more than 43 new clients in the last fiscal.
·
The
business recently signed up one of the largest power distribution companies in
India to provide complete IT infrastructure on a business outcome driven “Pay
per Bill” model generated from the platform. The platform is built to support
over 5 million consumer bills per month and scale as needed.
·
Other
clients added included a multinational financial subsidiary of an automobile
major, a private bank, a multinational IT services player and a pan-India
housing finance company; to highlight a few.
·
During
the entire year we transitioned more than 175 plus key customers onto our cloud
platform.
·
The
biggest response for our cloud enabled suite of services came from logistics,
pharma, BFSI and manufacturing verticals. Our ability to address the hybrid
cloud requirements of our customers have been well accepted in these verticals.
Applications
Integration Services
·
The
business signed up over 25 clients for the eLearning business, while the Managed
SAP services signed up more than 10 new clients across industries like
manufacturing, renewable energy, steel and hosiery..
·
The
Managed SAP services acquired the following certifications: SAP Certified in
Hosting Services, Cloud Services, HANA Operations and in Application Management
Services.
·
The
business signed up multiple partnerships across India, APAC and Middle East to
enhance the service offerings and geographical reach in Talent Management businesses.
·
The
business has won the National Education Excellence award for 2016 from
ASSOCHAM.
·
Among
the clients signed up were a multinational auto major’s financial arm, a cement
major, two Energy players, the National telecom player, a public sector power
corporation, public sector oil exploration major, the regulatory agency for
mines, a State Government’s testing and evaluation platform and one of India’s
largest muti-mineral solutions provider.
Technology
Integration Services
·
The business added 85 new clients across Data Centre IT, Network
Integration, Security and Collaboration services.
·
TIS Business has matured in terms of customer acceptability across
customer segments of BFSI, PSU and Govt and it helped customers setup robust IT
infrastructure and services leveraging our strong service provider experience.
·
Business saw strong growth in focus areas with
·
Network Integration Business growing by 23% with large wins
across State Govt, PSU and BFSI customers
·
Data Centre IT and DC Transformation business grew by 150% with large
wins across BFSI, PSU and State Govt customers.
·
Security and Collaboration Business saw strong support from
customers in BFSI and PSU and recognition of skills in these areas.
About Sify Technologies
Sify is among the largest
integrated ICT Solutions and Services companies in India, offering end-to-end
solutions with a comprehensive range of products delivered over a common
telecom data network infrastructure reaching more than 1300 cities and towns in
India. This telecom network today connects 38 Data Centres across India
including Sify’s 6 Tier III Data Centres across the cities of Chennai, Mumbai,
Delhi and Bengaluru.
A significant part of the
company’s revenue is derived from Enterprise Services, comprised of Telecom
services, Data Centre services, Cloud and Managed services, Applications
Integration services and Technology Integration services. Sify also provides
services that cater to the burgeoning demands of the SMB community, much of it
on its Cloud services platform.
Sify is ISO 9001:2008 certified for Enterprise Sales, Provisioning,
support and customer relationship management of ICT solutions and services
including VPN, Network, Voice, Data Centre hosting, Integration services,
security services and managed services. Sify
has been certified in ISO / IEC 20000 - 1:2011 and ISO/IEC 27001:2013 certified
for Internet Data Centre operations. Sify has been certified in SSAE16
SOC2 Type II for Cloud Infrastructure and in TL 9000 for Enterprise Network Services, Network Integration Services
including Design, Implementation and Support services. The latter certification
is telecommunication industry's quality system standard that expands the
requirements of the International Standards Organization's ISO 9000 quality
management standard in use by industries worldwide. Sify has Unified License
to operate NLD (National Long Distance), ILD (International Long Distance)
services and ISP services and offers VoIP backhaul for international carriers.
With the Sify Cable landing station and partnerships with submarine cable
companies globally, Sify is present in almost all the spheres of the ICT eco
system.
Sify has an
expanding base of Managed Services customers, both in India and overseas, and
is India’s first enterprise managed services provider to launch a Security
Operations Center (SOC) to deliver managed security services. The software team develops applications and
offers services to improve business efficiencies of its current and prospective
client bases. Sify also offers services in the specialized domains of
eLearning, both in India and globally. For more information about Sify, visit www.sifycorp.com