SANTA CLARA, Calif., April 25, 2017 (GLOBE NEWSWIRE) -- Sify Technologies Limited (NASDAQ: SIFY), headquarted in Chennai, India, 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 2016-17.
Mr. Raju Vegesna, Chairman, said, "We have maintained our record of growth for the fifth year. We continue to see a general trajectory of Enterprise clients moving towards a single-window service provider for execution of their critical IT transformation projects. Through our consistent delivery and demonstrated value, we now occupy a crucial position as a strategic partner in our client's transformational journeys.
To date, our investments in global markets have been cautious, yet promising. I am seeing a growing trend of clients moving away from large incumbent service providers and entrusting projects to a growing number of nimble, proactive service providers. Our suite of managed services and our offshore delivery model should benefit from such changes."
Mr. Kamal Nath, CEO, said, "We continue to see healthy growth in Order book and revenue, resulting from the investments we have made in both the size and expertise of our sales team. Over the past year, we have booked new orders that represent an Annual Contract Value in excess of INR 10000 Million.
A higher number of IT transformation projects have contributed to the revenue this year. There have also been deeper engagements with existing clients, in which we were better able to leverage multiple Sify services. As a result, we have been able to reduce our dependence on our traditional telecom services and significantly grow the contribution from IT services.
The increased mindshare that Sify enjoys from Enterprise customers was recently recognized when Sify was included on the list of India's "Superbrands", after an absence of 10 years."
Mr. M P Vijay Kumar, CFO, said, "Last year, in a continuing practice of investing ahead of the curve, we enhanced our Telecom and Data network capacity by 4 times. This reflects our confidence in the underlying market growth, although it has some pressure on margins in the short term due to increased bandwidth cost for capacity creation. Nevertheless, we are pleased that we have been able to maintain five years of positive Net Profit.
Another significant investment has been in people and process to support the Application side of the business. In doing so, we seek to carry forward the momentum built in leveraging on the Digital India projects of the Government of India.
In our recent interaction with Financial Institutions and Investors, the investment criteria, fiscal discipline and current business model were viewed positively. We intend to maintain the discipline as we continue to scale up our business.
The Board has recommended a dividend of 12%.
Cash balance at the end of the year was INR 1884 million."
Unaudited Consolidated income statement as per IFRS
(In INR millions)
Quarter ended Quarter ended Year ended Year ended
Description March March March March
2017 2016 2017 "2016
Revenue 5,235 4,036 18,432 15,035
Cost of Revenues (3,409) (2,462) (11,870) (9,104)
Selling, General and Administrative Expenses (1,213) (979) (3,992) (3,480)
EBITDA 613 595 2,570 2,451
Depreciation and Amortisation expense (445) (454) (1,759) (1,598)
Net Finance Expenses (41) (111) (314) (520)
Other Income 59 76 146 105
Profit before tax 186 106 643 438
Income tax expense (1) - (1) -
Profit for the period 185 106 642 438
Reconciliation with Non-GAAP measure
Profit for the period 185 106 642 438
Depreciation and Amortisation expense 445 454 1,759 1,598
Net Finance Expenses 41 111 314 520
Tax expense 1 - 1 -
Other Income (59) (76) (146) (105)
EBITDA 613 595 2,570 2,451
Note: Figures for the year ended March 31, 2016 are audited
Data Center Services:
Cloud and Managed Services:
Applications Integration Services:
Transformation Integration Services:
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 1400 cities and towns in India. This telecom network today connects 43 Data Centers across India including Sify's 6 Tier 3 Data Centers across the cities of Chennai, Mumbai, Delhi and Bengaluru.
A significant part of the company's revenue is derived from Enterprise Services, comprising of Telecom services, Data Center 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 has a unified licence 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
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, 2016, 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.
A photo accompanying this release is available at: http://www.globenewswire.com/newsroom/prs/?pkgid=42331
For further information, please contact:
Sify Technologies Limited Mr. Praveen Krishna Investor Relations & Public Relations +91 44 22540777 (ext.2055) firstname.lastname@example.org Grayling Investor Relations Shiwei Yin +1-646-284-9474 Shiwei.Yin@grayling.com 20:20 Media Nikhila Kesavan +91 9840124036 email@example.com