Sify Technologies reported consolidated revenues of INR 10,533 million for the second quarter of FY2025–26, marking a 3% year-on-year increase. The company’s EBITDA stood at INR 2,361 million, up 20% from the same period last year, reflecting operational efficiency and disciplined cost management. However, the quarter closed with a loss after tax of INR 275 million, largely due to increased depreciation and finance costs linked to ongoing expansion projects.
During the quarter, Sify’s capital expenditure reached INR 3,064 million, reaffirming its commitment to scaling next-generation data center capacity and strengthening its network infrastructure. The company ended the quarter with a cash balance of INR 4,149 million, maintaining a healthy liquidity position.
Strategic Focus on AI, Cloud, and Infrastructure Expansion
Raju Vegesna, Chairman of Sify Technologies, described this phase as a turning point in India’s digital journey. “India’s digital transformation is entering a decisive phase, redefining its role in the global technology ecosystem,” he said. “At Sify, our focus remains on aligning with this momentum through sustained investments in hyperscale data centers, robust network expansion, and AI-ready digital platforms.”
Vegesna emphasized that these strategic bets are positioning Sify as a trusted enabler of enterprise transformation across both public and private sectors. “We believe the next decade will see India set global benchmarks in digital innovation. Sify will continue to play a pivotal role in powering this journey—building the infrastructure and platforms that will drive the country’s growth in the AI-led economy,” he added.
Echoing this sentiment, M. P. Vijay Kumar, Executive Director and Group CFO, underscored the company’s focus on financial prudence while investing for the future. “Our expansion across data centers, networks, and digital platforms reflects deliberate choices to build future-ready capabilities,” he noted. “The loss in our IT services business represents our continued investment to prepare for upcoming opportunities.”
He further highlighted that Sify’s liquidity and operational efficiency remain strong, with the company’s financial strategy centered on agility, accountability, and sustainability.
Business Performance and Highlights
In terms of business mix, Network Services contributed 41% of the total revenue, Data Center Services 39%, and Digital Services 20%. Sify also sold 3 MW of additional data center capacity during the quarter, in line with its long-term capacity expansion plans.
By the end of September 2025, Sify had established 1,196 fiber nodes across India, representing a 12% year-on-year increase, and 9,992 contracted SD-WAN service points, signaling growing enterprise adoption of its network solutions.
Key Customer Engagements
Sify continued to strengthen its customer base across sectors, adding several marquee names during the quarter.
In Network Services, new contracts were signed with global software firms, financial institutions, and insurance providers for cloud interconnects, SD-WAN, MPLS connectivity, and WAN services.
In the Data Center segment, a major online trading platform migrated its disaster recovery operations to Sify’s infrastructure, while several banks and FMCG players expanded their footprint with GPU-powered deployments and DR services.
Meanwhile, the Digital Services division saw new engagements from international logistics, AI/ML, and IoT startups for cloud migrations, DRaaS, and managed services. Multiple private banks also partnered with Sify to implement Security Operations Centers (SOCs) on-premise, underscoring the growing demand for integrated security solutions.
