Weblogic Authors: Yeshim Deniz, Elizabeth White, Michael Meiner, Michael Bushong, Avi Rosenthal

News Feed Item

Sify Technologies Posts Revenues $121.62 Million for 08-09

CHENNAI, India, April 24 /PRNewswire/ -- Sify Technologies Limited (Nasdaq National Markets: SIFY), a leader in Enterprise and Consumer Internet Services in India with global delivery capabilities, announced today its consolidated unaudited results under the International Financial Reporting Standards (IFRS) for the fiscal year ended 31st March 2009.

Performance Highlights FY 2008-09 (Unaudited)

    - Sify reported revenues of $ 121.62 million for the year
      ended 31st March 2009, 3 % higher than the previous year's revenue of $
      117.88 million.

    - The Enterprise business registered growth of 13% over the
      previous year, while the consumer business' revenues were 26 % lower 
      than the previous year. The international business ended the year with 
      an increase of 29 % over the previous year.

    - Net Loss for the year was $ 16.85 million as against a Net
      Profit of $ 0.50 million in the previous year.

    - Capex during the year was $ 29 million on account of data
      centre expansion and the doubling of network reach over the first 
      three quarters. This also increases current operating costs, whereas 
      revenues will take time to scale across all the newly established 

    - Sify ended the year with a cash balance of $ 7.20 million
      after capital expenditures of $ 29 million during the year.

Mr. Raju Vegesna, Board Chairman and CEO & MD, Sify Technologies, said, "Sify's domestic enterprise business has grown despite a slowdown in IT investments and consequently in services. However, we expect continued growth in the enterprise business going forwards led by demand for our data center and carrier voice services. Our international businesses also continue to grow by identifying opportunities in the current environment. Retail services, particularly access services, have proved a challenge in the past year, and we are consolidating our position going forwards".

Mr CVS Suri, Chief Operating Officer, Sify, said, "Our enterprise services drove Sify's growth with a larger percentage share of total revenues last year. We expect VoIP carrier services and our Data Center services to be the growth drivers for the enterprise business going forwards. We continue to expect growth across all businesses including connectivity, security and application services. Revenues during the year were from both new customer engagements and enhanced requirements from existing customers. Our international businesses have grown, and will continue to grow, by focusing on opportunities in identified verticals of business and industry. On the consumer front, the access business has been a challenge, and this is being addressed with rationalization of product portfolios based on consumer demand, as well as focusing on services in cities where we are well represented. Our interactive services capability was enhanced with a new content management system that is multi-media capable, and allows for greater efficiencies, flexibility, scalability and user interactivity. New initiatives for video content across entertainment, sports and lifestyle areas such as cookery saw us gaining new users during the year".

Mr. MP Vijay Kumar, Chief Financial Officer, Sify, said, "During the year we have focused on greater efficiencies and consolidation to enable us to expand infrastructure to capitalize on future opportunities while running a lean organization. We have also ensured adequate funding for growth, both in terms of debt as well as capital recovery, by scaling back on earlier investments in facilities. This is reflected in our cash position at the end of the last financial year, while the SG&A for the year reflects increased costs incurred for expansion of infrastructure. We continue to review costs on an ongoing basis, across infrastructure, operations and people costs, to return to profitability despite the challenging environment".

    Unaudited Consolidated income statement as per IFRS
    ( In $ million, all translated at $1 = Rs.50.95)

    Description                       Year ended    Quarter Ended

                                            31st March
                                      2009    2008       2009

    Enterprise                       85.18   75.02         22.30
    Consumer                         25.62   34.46          5.35
    Others                           10.82    8.40          2.68
    Revenue                         121.62  117.88         30.33
    Cost of Revenues                (71.11) (66.53)       (18.19)
    Other Income                      1.75    0.91          0.56
    Stock Compensation expenses      (0.62)  (1.11)        (0.12)
    Depreciation and Amortisation 
    expenses                        (10.21)  (7.74)        (2.84)
    Selling, General and 
    Administrative Expenses         (54.60) (47.25)       (12.72)
    Net Finance Income               (2.47)   2.04         (1.04)
    Share of Affiliates               0.97    3.55          0.15
    Profit Before tax               (14.66)   1.76         (3.87)
    Income Taxes                     (2.19)  (1.26)        (0.33)
    Profit for the year             (16.85)   0.50         (4.20)
    Profit attributable to:
    Owners of the parent            (17.86)  (0.09)        (4.30)
    Non-controlling interests         1.02    0.59          0.10
    Non Financial Indicators
    e Port

    Subscribers active                 490     718           490
    No of e Ports (Operational)      1,791   2,165         1,791
    E ports Additions (Gross)          367     513            41
    No of Cities                       249     180           249


    Subscribers (in 000's)             165     219           165
    No of CTOs                       2,011   1,966         2,011
    ARPU                               305     336           291


    No of PoPs                         547     481           547

Business Highlights:


Sify is now fully operational as a long distance operator for wholesale voice with a steady increase in business. We are using our IP expertise effectively in offering and managing these services.

Significant wins for data centre services were from the General Insurance Corporation, State Bank of India and Vishal Retail. Connectivity engagements were signed with Canpack, HDFC SLIC and Indian Overseas Bank.

Application services were signed with the Indian Institute of Banking & Finance and ICICI Prudential. While managed voice contracts were gained from Cobwell & Salmon and Cleaves Global.

Government investments in eGovernance and services, Public Sector Enterprises investing in IT, enablement and rural banks and co-operatives are driving demand for enterprise services in the current environment. Public Sector Banks are continuing to invest in IT to gain efficiencies and improve customer services.

International services:

Infrastructure management services:

Infrastructure management services are seeing fresh traction in the western markets in the current environment. This has resulted in queries and an increase in our engagements with existing customers.

Consequently the sales force in the US has been strengthened to meet this opportunity. Lead times, however, are longer as decision making is now more layered. Interest is from across verticals including finance, high tech, manufacturing and others.

eLearning services:

Sify eLearning continues to identify opportunities in the current environment for its services. While there is increasing pressure on price or added value, our focus has been on efficiencies in delivery to protect margins. We are also ensuring skill sets to meet with the evolving requirements of the eLearning space. We also launched Learning Infrastructure on a Services Model as a new service offering in the last quarter.

Among the awarded contracts, some of the notable wins were from customers such as a global leader in Business Intelligence Products and Services, a Global Investment Management organization, and our being empanelled as a preferred vendor by a Canadian City Municipal Agency.


Access media services

Broadband to home:

Consumer offer to promote timely renewals: The offer of winning Rs 1500 on timely renewals was promoted through web pop-ups, text messages to customers, telemarketing and through the website. There was a significant Improvement in on-time renewals and payment realization, with due date renewals scaling up by more than 10% in Jan soon after the offer was launched.

Launch of "double speed @ night" product: The launch of the 64 kbps (Day) 128 kbps (Night) Unlimited plan, Sify Broadband completed its unique "double speed @ night" product range. There are now three plans in this range offering differing speeds, but double the download speeds at night and unlimited downloads all day long. Customers who do basic tasks during the day that do not require high speeds, but heavy downloads at night find these packages very attractive and affordable.

e-port cyber cafes:

Internet Learning Program at Sify e-Ports: Sify tied up with the National Internet Exchange of India (NIXI) to launch a certified course in the use of the Internet to educate people on how to use the Internet purposefully. The objective of this program is to spread Internet awareness and usage, particularly in tier-II and III cities of India.

The ten-hour course at just Rs 125/- is aimed at people who do not have access to personal computers at home and is available at Sify e-Ports across the country with content developed by Sify. On completion of the course, participants get a certificate jointly issued by Sify and NIXI. The certificates are signed by the Secretary, Department of Information Technology (DIT).

Rationalization of the e-Port product portfolio: A standardized set of products across all e-Ports is now available with an extensive rationalization of the range to arrive at a mix of 11 products, new registrations and renewal combined. These products cater to varied requirements of customers, be it with respect to pricing, validity or value for money.

Consolidation of cafes in existing locations: Potential franchisees to start e-Ports in existing cities are being carefully screened before opening new cafes. Existing cafes are also being monitored on multiple parameters, including the involvement & interest of the franchisee and viability of the location in a dynamic urban environment. If proving unviable, these cafes are being closed down.

Interactive services:

Improvement of the content management system and delivery platform has resulted in greater automation and reduced costs for both content and people. The automated content management system also allows for greater flexibility and scalability going forwards. It also is multi-media capable and enables greater focus on user related features.

Sify.com continues to enhance its capabilities and content with alliances with companies such as Google, World Wrestling Entertainment (WWE), Sony Entertainment Television, Zee TV and others to offer compelling entertainment and sports content including video content. This is resulting in new users coming in for the rich media content that they can enjoy on Sify.com.

Sify.com revamped its internationally popular food channel 'Bawarchi' (http://food.sify.com/) to enhance it with multi-media capabilities and to make it more contemporary and user friendly. The revamped Bawarchi continues to offer the best of Indian cooking to an international audience with enhanced features that include videos and tools for greater user interactivity.

Sify sports (http://sify.com/sports/) started live streaming of international cricket matches, including the India - New Zealand, Australia- South Africa, and West Indies - England series. This has met with a very encouraging response from users as Sify was the only portal in India to offer this facility. It also proved of increasing interest to advertisers.

Sify.com tied up with Zee Television while continuing its relationship with Sony Entertainment Television to bring popular reality shows Dance India Dance (http://danceindiadance.sify.com/ ) and Jhalak dikhhla jaa (http://jhalakdikhhlajaa.sify.com/ ) to online audiences. The highly popular sites offer fans interactive tools, community features, videos, gallery, show recaps, message boards and expert diaries.

The newly introduced Sifymail WIYI (World In Your Inbox) has met with an encouraging response with growing numbers of users subscribing per day. The feedback regarding the widgets that enable users to personalize their inbox to become their veritable home page on the Internet has also been very positive.

Games (http://games.sify.com ) continued to grow in number of users with the recently launched Antzill range of games gaining traction. The site has also been widely reviewed and written about which has helped attract many new users.

Stree, an exclusive section for the contemporary woman was launched (http://sify.com/news/women ) during the last quarter. The special channel includes sections on lifestyle, family, health, career tips, leisure, cookery tips, help and astrology.

About Sify

Sify is among the largest Managed Enterprise and Consumer Internet Services companies in India, offering end-to-end solutions with a comprehensive range of products delivered over a common telecom data network infrastructure reaching 500+ cities and towns in India.

A significant part of the company's revenue is derived from Corporate Services, which include corporate connectivity, network and communications solutions, security, network management services, enterprise applications and hosting. Sify is recognized as an ISO 9001:2000 certified service provider for network operations, data center operations and customer support, and for provisioning of VPNs, Internet bandwidth, VoIP solutions and integrated security solutions, and ISO 27001 certified for Internet Data Center operations. Sify has licenses to operate NLD (National Long Distance) and ILD (International Long Distance) services and offers VoIP back haul to long distance subscriber telephony services. The company is India's first enterprise managed services provider to launch a Security Operations Center (SOC) to deliver managed security services. A host of blue chip customers use Sify's corporate service offerings.

Consumer services include broadband home access, dial up connectivity and the e-port cybercafé chain across 249 cities and towns. Sify.com the consumer portal of Sify has sub portals like http://www.samachar.com, http://www.walletwatch.com, http://www.sifymax.com and http://www.chennailive.in, http://www.bangalorelive.in, http://www.mumbailive.in, http://www.hyderabadlive.in the city based live video on the web. The content is available in 5 Indian languages, which include Hindi, Malayalam, Telugu, Kannada and Tamil.

For more information about Sify visit http://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 "Risks Related to Our Business" in the company's report on Form 6-K for the quarter ended September 30, 2008, which has been filed with the United States Securities and Exchange Commission and is available by accessing the database maintained by the SEC at http://www.sec.gov.

    Contact information:
    Sify Technologies Limited   
    Mr. David Appasamy          
    Investor Relations          
    +91-44-2254-0770 Ext. 2013                           
    [email protected] 

    Grayling Global
    Investor Relations:
    Ms. Trúc N. Nguyen (ext. 418) or
    Mr. Christopher Chu (ext. 426)
    [email protected] or
    [email protected]

    Media Relations:
    Ms. Stacy Dimakakos
    [email protected]

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
DevOpsSummit New York 2018, colocated with CloudEXPO | DXWorldEXPO New York 2018 will be held November 11-13, 2018, in New York City. Digital Transformation (DX) is a major focus with the introduction of DXWorldEXPO within the program. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of bus...
Cloud Expo | DXWorld Expo have announced the conference tracks for Cloud Expo 2018. Cloud Expo will be held June 5-7, 2018, at the Javits Center in New York City, and November 6-8, 2018, at the Santa Clara Convention Center, Santa Clara, CA. Digital Transformation (DX) is a major focus with the introduction of DX Expo within the program. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive ov...
DXWordEXPO New York 2018, colocated with CloudEXPO New York 2018 will be held November 11-13, 2018, in New York City and will bring together Cloud Computing, FinTech and Blockchain, Digital Transformation, Big Data, Internet of Things, DevOps, AI, Machine Learning and WebRTC to one location.
DXWorldEXPO LLC announced today that ICOHOLDER named "Media Sponsor" of Miami Blockchain Event by FinTechEXPO. ICOHOLDER give you detailed information and help the community to invest in the trusty projects. Miami Blockchain Event by FinTechEXPO has opened its Call for Papers. The two-day event will present 20 top Blockchain experts. All speaking inquiries which covers the following information can be submitted by email to [email protected] Miami Blockchain Event by FinTechEXPO also offers s...
DXWorldEXPO | CloudEXPO are the world's most influential, independent events where Cloud Computing was coined and where technology buyers and vendors meet to experience and discuss the big picture of Digital Transformation and all of the strategies, tactics, and tools they need to realize their goals. Sponsors of DXWorldEXPO | CloudEXPO benefit from unmatched branding, profile building and lead generation opportunities.
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
Digital Transformation and Disruption, Amazon Style - What You Can Learn. Chris Kocher is a co-founder of Grey Heron, a management and strategic marketing consulting firm. He has 25+ years in both strategic and hands-on operating experience helping executives and investors build revenues and shareholder value. He has consulted with over 130 companies on innovating with new business models, product strategies and monetization. Chris has held management positions at HP and Symantec in addition to ...
Cloud-enabled transformation has evolved from cost saving measure to business innovation strategy -- one that combines the cloud with cognitive capabilities to drive market disruption. Learn how you can achieve the insight and agility you need to gain a competitive advantage. Industry-acclaimed CTO and cloud expert, Shankar Kalyana presents. Only the most exceptional IBMers are appointed with the rare distinction of IBM Fellow, the highest technical honor in the company. Shankar has also receive...
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities - ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups.
Poor data quality and analytics drive down business value. In fact, Gartner estimated that the average financial impact of poor data quality on organizations is $9.7 million per year. But bad data is much more than a cost center. By eroding trust in information, analytics and the business decisions based on these, it is a serious impediment to digital transformation.
The standardization of container runtimes and images has sparked the creation of an almost overwhelming number of new open source projects that build on and otherwise work with these specifications. Of course, there's Kubernetes, which orchestrates and manages collections of containers. It was one of the first and best-known examples of projects that make containers truly useful for production use. However, more recently, the container ecosystem has truly exploded. A service mesh like Istio addr...
Predicting the future has never been more challenging - not because of the lack of data but because of the flood of ungoverned and risk laden information. Microsoft states that 2.5 exabytes of data are created every day. Expectations and reliance on data are being pushed to the limits, as demands around hybrid options continue to grow.
As IoT continues to increase momentum, so does the associated risk. Secure Device Lifecycle Management (DLM) is ranked as one of the most important technology areas of IoT. Driving this trend is the realization that secure support for IoT devices provides companies the ability to deliver high-quality, reliable, secure offerings faster, create new revenue streams, and reduce support costs, all while building a competitive advantage in their markets. In this session, we will use customer use cases...
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, @CloudEXPO and DXWorldEXPO are two of the most important technology events of the year. Since its launch over eight years ago, @CloudEXPO and DXWorldEXPO have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, we provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading...
The best way to leverage your Cloud Expo presence as a sponsor and exhibitor is to plan your news announcements around our events. The press covering Cloud Expo and @ThingsExpo will have access to these releases and will amplify your news announcements. More than two dozen Cloud companies either set deals at our shows or have announced their mergers and acquisitions at Cloud Expo. Product announcements during our show provide your company with the most reach through our targeted audiences.
The IoT Will Grow: In what might be the most obvious prediction of the decade, the IoT will continue to expand next year, with more and more devices coming online every single day. What isn’t so obvious about this prediction: where that growth will occur. The retail, healthcare, and industrial/supply chain industries will likely see the greatest growth. Forrester Research has predicted the IoT will become “the backbone” of customer value as it continues to grow. It is no surprise that retail is ...
Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settlement products to hedge funds and investment banks. After, he co-founded a revenue cycle management company where he learned about Bitcoin and eventually Ethereal. Andrew's role at ConsenSys Enterprise is a mul...
DXWorldEXPO LLC announced today that "Miami Blockchain Event by FinTechEXPO" has announced that its Call for Papers is now open. The two-day event will present 20 top Blockchain experts. All speaking inquiries which covers the following information can be submitted by email to [email protected] Financial enterprises in New York City, London, Singapore, and other world financial capitals are embracing a new generation of smart, automated FinTech that eliminates many cumbersome, slow, and expe...