Homegrown ICT infrastructure firm Sify Technologies Ltd on Thursday reported a 14 percent year-on-year growth in consolidated revenue to ₹1,072.3 crore for the quarter ended June 30, 2025, but posted a net loss of ₹38.9 crore due to higher depreciation and finance costs.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 18 percent year-on-year to ₹211.1 crore. Loss before tax stood at ₹32.2 crore. The company incurred a capital expenditure of ₹287.4 crore during the quarter. Cash and cash equivalents at the end of the period were ₹386.1 crore.
The company’s three main business segments—network services, data centre services and digital services—contributed 41 percent, 37 percent and 22 percent to total revenue respectively. During the quarter, Sify commissioned 8.6 MW of additional data centre capacity.
Sify expanded its fibre node footprint to 1,159 locations, marking a 10 percent increase over the same quarter last year. It also reported 9,661 contracted SD-WAN service points deployed across India as of June 30.
Sify Chairman Raju Vegesna said India was entering a new phase of IT transformation, with domestic enterprises accelerating investments in cloud, automation and digital infrastructure. He said programmes such as Digital India and India AI Mission were catalysing demand for high-performance compute and edge infrastructure.
“India is not just consuming AI — it is rapidly climbing up the value chain to become a creator of AI tools, frameworks, and domain-specific solutions,” Vegesna said during the earnings call.
Group CFO and Executive Director M P Vijay Kumar attributed the company’s net loss to cost pressures arising from its infrastructure-led growth strategy. He said the company maintained its focus on long-term value creation and operational resilience.
“We remain steadfast in our commitment to cost efficiency and fiscal discipline even as we navigate an increasingly complex business environment,” Kumar said. He added that sustainability had been embedded into business operations beyond regulatory requirements.
In the network business, new contracts included a global IT firm for long-distance capacity, a major spirits manufacturer for high-redundancy links, and a private Indian bank for cloud connectivity through NAT Gateways. A global telecom firm also signed a master services agreement.
The data centre segment added clients including an IT player in communication platforms and a joint venture between a foreign insurer and an Indian firm for disaster recovery services. In digital services, the company reported deals for cloud migration, greenfield cloud implementation, and disaster recovery services across clients in logistics, banking, manufacturing and healthcare.
Sify said it continues to use EBITDA as its key performance indicator, although the metric is not defined under IFRS accounting standards. The company filed a reconciliation of these measures with its quarterly results to the US Securities and Exchange Commission.
