Sify reported a 69 per cent drop in net profit to ₹11 crore for the second quarter ended September 30, 2022. Revenue was up 14 per cent to ₹794 crore against the same period last year.
Few large digital transformation services projects for customers are under implementation for which revenue will be recognised in future. There was investment in capacity building for new technology skills for digital transformation services, said MP Vijay Kumar, CFO, Sify, told businessline on reasons for decline in net profit during the quarter.
Sify is leveraging demand to aggressively build capacity across its data centres.
Investment into networks and tools will be in accordance with this demand, without losing sight of fiscal discipline. With increase in capacity utilisation, we should see our digital services find demand and further contribute to the revenue mix, said Vijay Kumar.
Cash balance at the end of the quarter was ₹277 crore.
Raju Vegesna, Chairman, Sify, in a release said, “The influx of MNCs is bringing both opportunities and technologies to our shores. Domestic enterprises and start-ups are banking on this positive sentiment to accelerate their digital transformation journey. The future is full of promises and possibilities”.