Sify reports Consolidated Financial Results for Q3 FY 2025-26

Rhea-AI Summary

Sify (SIFY) reported consolidated Q3 FY2025-26 results for the quarter ended Dec 31, 2025. Revenue was INR 11,596 million (up 11% YoY) and EBITDA was INR 2,470 million (up 29% YoY). The company recorded a loss for the period of INR 329 million and loss before tax INR 257 million. CAPEX during the quarter was INR 3,452 million and cash balance stood at INR 3,627 million at quarter end. Business mix: Network services 37%, Data center services 40%, Digital services 23%. Operational highlights included sale/deployment of an additional 12.16 MW of data center capacity and 9% year-over-year growth in fibre nodes to 1,214.

Positive

• Revenue +11% YoY to INR 11,596 million
• EBITDA +29% YoY to INR 2,470 million
• Added 12.16 MW of additional data center capacity since June 30, 2025

Negative

• Loss for the period INR 329 million
• Net debt increased ~12% to INR 35,966 million vs INR 32,115 million a year ago
• Quarterly CAPEX INR 3,452 million reduced near-term free cash flow

News Market Reaction

+0.07% 2.9x vol

15 alerts

+0.07% News Effect

-20.6% Trough in 31 hr 37 min

+$759K Valuation Impact

$1.08B Market Cap

2.9x Rel. Volume

On the day this news was published, SIFY gained 0.07%, reflecting a mild positive market reaction. Argus tracked a trough of -20.6% from its starting point during tracking. Our momentum scanner triggered 15 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $759K to the company's valuation, bringing the market cap to $1.08B at that time. Trading volume was elevated at 2.9x the daily average, suggesting notable buying interest.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Quarterly Revenue: INR 11,596 Million Quarterly EBITDA: INR 2,470 Million Loss after tax: INR 329 Million +5 more

8 metrics

Quarterly Revenue INR 11,596 Million Q3 FY 2025-26, up 11% year-over-year vs Q3 FY 2024-25

Quarterly EBITDA INR 2,470 Million Q3 FY 2025-26, up 29% year-over-year

Loss after tax INR 329 Million Q3 FY 2025-26 net loss for the period

CAPEX INR 3,452 Million Capital expenditure during Q3 FY 2025-26

Cash balance INR 3,627 Million Quarter-end cash balance as of December 31, 2025

Revenue mix 37% / 40% / 23% Network / Data Center / Digital services revenue split in the quarter

Data Center capacity sold 12.16 MW Additional Data Center capacity sold since June 30, 2025

Fibre nodes 1,214 nodes Services provided via fibre nodes as of December 31, 2025 (9% YoY growth)

Market Reality Check

Price: $14.51 Vol: Volume 144,420 is 2.49x t...

high vol

$14.51 Last Close

Volume Volume 144,420 is 2.49x the 20-day average of 57,905 shares, indicating elevated interest ahead of/around earnings. high

Technical Price $14.99 is trading above the 200-day MA at $8.50, reflecting a longer-term uptrend into this earnings release.

Peers on Argus

SIFY is up 2.88% on strong revenue and EBITDA growth while key telecom peers sho...

SIFY is up 2.88% on strong revenue and EBITDA growth while key telecom peers show mixed moves: CABO (-0.63%), SHEN (-0.52%), ATUS (+1.7%), LILAK (+2.58%), LILA (+2.32%). The action appears stock-specific rather than a broad telecom rotation.

Historical Context

5 past events · Latest: Jan 05 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 05	Earnings call notice	Neutral	+2.0%	Announcement of Q3 FY 2025-26 earnings release date and conference call.
Oct 17	Subsidiary IPO filing	Positive	+12.2%	Draft red herring prospectus filed for Sify Infinit Spaces IPO in India.
Sep 26	IPO board approval	Positive	+8.8%	Board approval for potential IPO of Sify Infinit Spaces equity shares.
Sep 05	Board appointment	Positive	+9.1%	Appointment of Mark Adams as Non-Executive, Non-Independent Director at SISL.
Aug 25	Board appointment	Positive	+6.1%	Appointment of Dr Tom Bradicich as Independent Director to SISL’s Board.

Pattern Detected

Recent news has generally seen positive price reactions, especially around IPO-related developments, while prior earnings events have shown more muted or negative moves despite growth.

Recent Company History

Over the past six months, SIFY has combined steady operational growth with strategic steps around its data center subsidiary. Earlier Q3 FY 2024-25 results showed revenue of INR 10,491 Million and EBITDA of INR 1,914 Million, but with losses driven by depreciation and interest. Subsequent appointments and IPO progress for Sify Infinit Spaces triggered positive price reactions. Today’s Q3 FY 2025-26 earnings continue the theme of rising revenue and EBITDA alongside ongoing net losses.

Market Pulse Summary

This announcement reports Q3 FY 2025-26 revenue of INR 11,596 Million and EBITDA of INR 2,470 Millio...

Analysis

This announcement reports Q3 FY 2025-26 revenue of INR 11,596 Million and EBITDA of INR 2,470 Million, both higher year-over-year, alongside a net loss of INR 329 Million. CAPEX reached INR 3,452 Million with a cash balance of INR 3,627 Million, and notable growth in data center capacity and network footprint. Investors may watch future quarters for loss trends, CAPEX intensity, and segment mix shifts.

Key Terms

EBITDA, CAPEX, IFRS, SDWAN, +2 more

6 terms

EBITDA financial

"EBITDA of INR 2470 Million."

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

CAPEX financial

"CAPEX during the quarter was INR 3452 Million."

Capex, short for capital expenditures, refers to the money a company spends to buy, upgrade, or maintain physical assets such as buildings, equipment, or technology. It matters to investors because these investments can help a company grow and improve its long-term performance, but they also represent significant costs that can impact profitability and cash flow.

IFRS regulatory

"Unaudited Consolidated Income Statement as per IFRS"

International Financial Reporting Standards (IFRS) are a set of common accounting rules used by many companies worldwide to prepare financial statements, so numbers like revenue, profit and assets are measured in the same way across borders. For investors, IFRS matters because it makes it easier to compare the financial health and performance of different companies—like using the same ruler to measure different objects—reducing surprises and helping informed investment decisions.

SDWAN technical

"Sify has deployed 9695 SDWAN service points across the country."

SD‑WAN is a technology that lets companies manage and route their wide-area network — the links that connect offices, data centers and cloud services — using software instead of hardware. It acts like a smart traffic manager that picks the fastest, cheapest or most secure path for each application, which can cut telecom costs, improve performance and simplify cloud adoption—factors that affect revenue, margins and recurring-service value for investors.

hyperscale data centers technical

"sustained investments in hyperscale data centers, resilient networks, and AI-ready platforms"

Hyperscale data centers are enormous facilities that house thousands of computer servers to store and process vast amounts of digital information. They operate at a massive scale to support cloud computing, streaming services, and online platforms, making them crucial for handling the growing digital demands of businesses and consumers. For investors, these centers represent key infrastructure that enables digital innovation and often drive significant technological growth.

Security Operations Center (SOC) technical

"A private IT player contracted for a Security Operations Center (SOC)."

A security operations center (SOC) is a centralized team and facility that continuously watches over a company’s digital systems and data, detects suspicious activity, and responds to cyber incidents to keep operations running. Think of it as a 24/7 digital command center or neighborhood watch for a business; its effectiveness matters to investors because strong monitoring and rapid response reduce the risk of costly breaches, downtime, regulatory penalties, and damage to reputation, all of which can affect a company’s value.

AI-generated analysis. Not financial advice.

Revenues of INR 11596 Million. EBITDA of INR 2470 Million.

Loss for the period INR 329 Million.

CHENNAI, India, Jan. 12, 2026 (GLOBE NEWSWIRE) --

DETAILS OF EARNING CALL         January 13, 2026 | 8:30 AM ET | 07:00 PM IST

Participant Dial in:

To join: +1-888-506-0062 (Toll Free in the U.S. or Canada) or +1-973-528-0011 (International) | Access Code: 910873

On the call: Mr. Raju Vegesna, Chairman of the Board and Mr. M P Vijay Kumar, Executive Director & Group CFO

Live webcast: https://www.webcaster4.com/Webcast/Page/2184/53449.

Archives: +1-877-481-4010 (Toll Free in the U.S. or Canada) or +1-919-882-2331 (International). Passcode 53449

Replay is available until January 20, 2026.

HIGHLIGHTS

• Revenue was INR 11596 Million, an increase of 11% over the same quarter last year.
• EBITDA was INR 2470 Million, an increase of 29% over the same quarter last year.
• Loss before tax was INR 257 Million. Loss after tax was INR 329 Million.
• CAPEX during the quarter was INR 3452 Million.

MANAGEMENT COMMENTARY

Mr. Raju Vegesna, Chairman, said, “India’s growth story has moved decisively from promise to performance. Strong economic fundamentals, policy continuity and accelerating digital adoption are positioning India as a central pillar in the global technology ecosystem. Indian IT is entering a new phase—one defined not only by scale, but by leadership in digital infrastructure, cloud, and AI-led innovation.

“As enterprises and governments intensify their focus on AI, cloud, and data-driven platforms, demand for secure, high-performance, and sovereign digital infrastructure is rising rapidly. At Sify, our strategy is aligned with this inflection point through sustained investments in hyperscale data centers, resilient networks, and AI-ready platforms, positioning us to enable the next decade of enterprise transformation in India.”

Mr. M P Vijay Kumar, ED & Group CFO, said, “We continue to exercise fiscal discipline while making measured investments to strengthen our long-term capabilities. Our capital allocation across data centers, networks and digital platforms remains guided by a disciplined approach to risk and future readiness, with a focus on long-term value creation.

“The cash balance at the end of the quarter was INR 3627 Million.”

BUSINESS HIGHLIGHTS 

• The Revenue split between the businesses for the quarter was Network services 37%, Data Center services 40% and Digital services 23%.
• Since June 30, 2025, Sify sold 12.16MW of additional Data Center capacity.
• As of December 31, 2025 Sify provides services via 1214 fibre nodes, a 9% increase over same quarter last year.
• As on December 31, 2025, Sify has deployed 9695 SDWAN service points across the country.

CUSTOMER ENGAGEMENTS

Among the most prominent new contracts during the quarter were the following:

Network Services

• India’s largest stock exchange contracted for interconnection to the cloud to provide last mile services to Capital Market members.
• A private insurance MNC signed up for a Network management and SDWAN deployment.
• Sify contracted an international bank for international and domestic connectivity services.
• The largest private domestic airport manager signed up for WAN services for their new international airport in India.

Data Center Services

• One of the India’s largest shares brokering firms contracted to move their capacity from a competitor DC.
• One of India's leading diversified financial services major and a subsidiary of the largest bank in India contracted to move their on-premise DC.
• The umbrella corporation that facilitates digital payments in India signed up to modernize and expand their capacity with liquid-cooling solutions for their GPUs.
• A subsidiary of the Central bank and an Indian multinational technology company signed up to expand capacity.

Digital Services

• Sify contracted an Indian multinational, a private insurance MNC, a private commodities major, a digital payments enabler, a welfare arm of a state government and a private health major for greenfield Cloud implementation; these clients also contracted for services like DRaaS, PaaS and IaaS.
• The central government’s digital payments enabler, a state government’s technology arm, a private insurance major, another state government’s electronics subsidiary and a private financial major contracted for managed services.
• A private IT player contracted for a Security Operations Center (SOC).
• The country’s largest private health major contracted to enable a hyperscaler’s cloud platform.

FINANCIAL HIGHLIGHTS
Unaudited Consolidated Income Statement as per IFRS
(In INR millions)
Description	Quarter ended		Quarter ended		Quarter ended
	Dec 2025		Dec 2024		Sep 2025
Revenue	11,596		10,491		10,533
Cost of Sales	(6,952	)	(6,725	)	(6,294	)
Gross Profit	4,644		3,766		4,239
Other Operating Income	93		64		81
Selling, General and Administrative Expenses	(2,172	)	(1,845	)	(1,871	)
Depreciation and Amortisation expense	(1,888	)	(1,446	)	(1,740	)
Operating Profit	677		539		709
Investment Income	7		52		16
Impairment loss on Investment	-		-		(4	)
Profit before financing and income taxes	684		591		721
Finance income	-		19		-
Interest expenses on borrowings and lease liabilities	(940	)	(729	)	(914	)
Interest expenses on pension liabilities	(1	)	-		(1	)
Profit/(Loss) before income taxes	(257	)	(119	)	(194	)
Income Tax Expense	(72	)	(139	)	(81	)
Profit/(Loss) for the period	(329	)	(258	)	(275	)
Profit attributable to:
Reconciliation with Non-GAAP measure
Profit/(Loss) for the period	(329	)	(258	)	(275	)
Add:
Depreciation and Amortisation expense	1,888		1,446		1,740
Net Finance Expenses	855		636		841
Income Tax Expense	72		139		81
Less:
Other Income (including exchange gain/loss)	16		49		26
EBITDA	2,470		1,914		2,361

Segment Reporting:
(In INR millions)
	Quarter ended December 2025								Quarter ended December 2024
Particulars	Network Services		Data Center Services		Digital Services		Total		Network Services		Data Center Services		Digital Services		Total
	(A)		(B)		( C)		(D)= (A)+(B)+(C)		(A)		(B)		( C)		(D)= (A)+(B)+(C)
External customers Revenue	4,227		4,649		2,720		11,596		4,274		3,837		2,380		10,491
Intersegment Revenue			22		55		77				22		55		77
Operating Expense	(3,432	)	(2,615	)	(2,984	)	(9,031	)	(3,823	)	(2,119	)	(2,655	)	(8,597	)
Intersegment Expense	(63	)			(14	)	(77	)	(63	)			(14	)	(77	)
Segment Result	732		2,056		(223	)	2,565		388		1,740		(234	)	1,894
Unallocated Expense:
Support Service Unit Costs							(93	)							27
Depreciation and Amortisation							(1,888	)							(1,446	)
Other income / (expense), net							100								116
Finance Income															19
Finance Expense							(941	)							(729	)
Profit / (loss) before tax							(257	)							(119	)
Income taxes (expense) / benefit							(72	)							(139	)
Profit / (loss) for the period							(329	)							(258	)

Equity and Debt:
(In INR millions)
Particulars	Quarter ended Dec 2025	Quarter ended Dec 2024	Quarter ended Sep 2025
EQUITY	15,792	17,391	16,116
BORROWINGS
Long term	27,891	26,306	26,729
Short term	11,702	11,136	11,996
Less: Cash Balance	3,627	5,327	4,149
Net debt	35,966	32,115	34,576

About Sify Technologies

A multiple times award winner of the Golden Peacock from Institute of Directors for Corporate Governance, Sify Technologies is India’s most comprehensive ICT service & solution provider. With Cloud at the core of our solutions portfolio, Sify is focussed on the changing ICT requirements of the emerging Digital economy and the resultant demands from large, mid and small-sized businesses. 

Sify’s infrastructure comprising state-of-the-art Data Centers, the largest MPLS network, partnership with global technology majors and deep expertise in business transformation solutions modelled on the cloud, make it the first choice of start-ups, SMEs and even large Enterprises on the verge of a revamp.

More than 10000 businesses across multiple verticals have taken advantage of our unassailable trinity of Data Centers, Networks and Digital services and conduct their business seamlessly from more than 1700 cities in India. Internationally, Sify has presence across North America, the United Kingdom and Singapore. Sify, www.sify.com, Sify Technologies and www.sifytechnologies.com are registered trademarks of Sify Technologies Limited.

Non-IFRS Measures 

This press release contains a financial measure not prepared in accordance with IFRS. In particular, EBITDA is referred to as “non-IFRS” measure. The non-IFRS financial measure we use may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies - refer to the reconciliation provided in the table labelled Financial Highlights for more information. In addition, these non-IFRS measures should not be considered in isolation as a substitute for, or as superior to, financial measures calculated in accordance with IFRS, and our financial results calculated in accordance with IFRS and reconciliation to those financial statements should be carefully evaluated.

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, 2025, 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.

For further information, please contact:

Sify Technologies Limited Praveen Krishna Investor Relations & Public Relations +91 9840926523 praveen.krishna@sifycorp.com

20:20 Media Nikhila Kesavan +91 9840124036 nikhila.kesavan@2020msl.com

Luri Group Lucia Domville 646.824.2856 lucia.domville@lurigroup.com

FAQ

What were Sify (SIFY) Q3 FY2025-26 revenue and EBITDA figures?

Sify reported Q3 revenue of INR 11,596 million and EBITDA of INR 2,470 million for the quarter ended Dec 31, 2025.

Why did Sify report a loss in Q3 FY2025-26 and how large was it?

Sify reported a loss for the period of INR 329 million; the income statement shows loss before tax of INR 257 million driven by finance and depreciation costs.

How much did Sify invest in capital expenditure in Q3 FY2025-26?

Sify incurred CAPEX of INR 3,452 million during the quarter ended Dec 31, 2025.

What is Sify’s cash and net debt position at Dec 31, 2025?

Cash balance was INR 3,627 million and net debt was INR 35,966 million as of Dec 31, 2025.

What operational expansion did Sify report in Q3 FY2025-26?

Sify sold/deployed an additional 12.16 MW of data center capacity and reported 1,214 fibre nodes (a 9% YoY increase).

How is Sify’s revenue split across business segments in Q3 FY2025-26?

For the quarter, revenue mix was Network services 37%, Data center services 40%, and Digital services 23%.