investor presentation – Mar 2018sifytechnologies.com/.../2018/04/MAIN-PRESENTATION...RIM services,...

w w w . s i f y t e c h n o l o g i e s . c o m

investor presentation – Mar 2018

we are


1995

Established HQ in Chennai

1998

First private ISP in India

1999

First ICT Company to list on NASDAQ

2000

First concurrently maintainable Data Center in India

` 2001

First MPLS service provider in India

2004

Launch of RIM services, NOC services, SOC services

2010

First Indian ICT company to build a Open cable landing

station in India

2012

Launch of Cloud and Managed

Services

2013

Launch of SAP Practice

2016

VPEC Hybrid Cloud and CI containers Private cloud

offerings to be launched

the turning points

2


yr 1999

yr 2006

yr 2012

business maturity

3


worldwide presence

We are building a world in which our converged ICT ecosystem and our 'bring it on' attitude will be the competitive advantage to our customers

USA Santa Clara

Europe London

Dubai

Singapore

India

MPLS network presence of over 1550 Cities 6 concurrently maintainable Data Centers

France Marseille

• PoPs in 7 locations • Partnering with enterprises for

Business Transformation • Proven track record of executing

complex programs

• Over 4000 skilled associates • Quality benchmarks – CMMi 5,

ISO 9001, ISO 27001, SSAE 16 certifications

4


“We are building a world in which our converged ICT ecosystem and our

‘bring it on’ attitude will be the competitive advantage to our customers”

Raju Vegesna Chairman, Sify Technologies Limited

vision

5


we are here

• Revenue Growth : CAGR 21% in last 5 years.

• EBITDA Growth : CAGR 35% in Last 5 years.

• PAT : Consistently generating Profit for last 4 years

• Credit Rating : CARE : A+ & ICRA : A+

2012 to 2017 : BBB- to A+ (5 Notches improvement in 5 years)

• Completed 18 continuous years of listing on the NASDAQ stock market

• Dividend paying company for the last 4 years

• Global operations across India, USA, UK, Middle East and Singapore.

• Organically developed successful Forward Integration :

Telecom DC CMS AIS TIS

Only ICT Solutions and Service Company in India offering End to End Solutions.

6


part 2

we have good results to show


financial metrics – in $ Mil in constant currency 1 USD @ INR 65

Revenue

PAT Capex Spent

PAT for 2012-13 excludes Extra-ordinary item

12

24 31

38 40

- 5

10 15 20 25 30 35 40 45

2012-13 2013-14 2014-15 2015-16 2016-17

25.6

14.3 14.5

24.8 25.7

-

10.0

20.0

30.0

2012-13 2013-14 2014-15 2015-16 2016-17

(3.2)

4.9 5.8 6.7

9.9

(4.0)

-

4.0

8.0

12.0

2012-13 2013-14 2014-15 2015-16 2016-17

132 161

198 231

284

-

50

100

150

200

250

300

2012-13 2013-14 2014-15 2015-16 2016-17

EBITDA

8


EBITDA

financial metrics for YTD Dec 2017 (Last 5 Years) – in $ Mil in constant currency 1 USD @ INR 65

PAT

Revenue

79 97 109 117 116

41 46

61

86 109

-

50

100

150

200

250

YTD Dec 13 YTD Dec 14 YTD Dec 15 YTD Dec 16 YTD Dec 17

Telecom Centric Services Data Centre Centric Services

20.0 22.8 28.6 30.1 32.6

- 5.0

10.0 15.0 20.0 25.0 30.0 35.0


5.1 4.4 5.1 7.0

10.2

-

2.0

4.0

6.0

8.0

10.0

12.0


120

143

170

203

225

9


financial metrics EPS In INR Return on equity

Fixed Assets Turnover Ratio Debt equity ratio

2.33 2.66 3.11

4.45

0

1

2

3

4

5

2013-14 2014-15 2015-16 2016-17

4.8% 5.3% 6.0%

8.1%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

2013-14 2014-15 2015-16 2016-17

1.77 2.02

2.23

2.61

1.00

2.00

3.00

2013-14 2014-15 2015-16 2016-17

0.29

0.36 0.35

0.28

0.20

0.30

0.40

2013-14 2014-15 2015-16 2016-17

10


Revenue from IT Services has grown over the past 5 Years at a CAGR of 20% IT Services revenue accounts for 45% of the revenue of the company

segment-wise performance in constant currency 1 USD @ INR 65

REVENUE

81

50

106

55

131

67

147

84

157

127

- 20 40 60 80

100 120 140 160 180

Telecom DC-IT Services

12-13 13-14 14-15 15-16 16-17

FY 16-17

Telecom centric services Data Center centric services

Q3 FY17-18

11


operating performance and financial position in constant currency 1 USD @ INR 65

USD in Mn

2014 - 15 2015 - 16 2016 - 17

Revenue 197.92 231.31 283.57

Direct costs 118.88 140.06 182.62 SG&A 48.19 53.53 61.40

EBITDA 30.85 37.72 39.55

Depreciation and amortisation 19.57 24.59 27.06 Profit after tax 5.77 6.75 9.88

Cash flows Operating activities 23.95 37.58 26.90 Investing activities (13.34) (24.09) (24.77) Financing activities (9.20) (8.93) (3.97)

Operating Performance

USD in Mn

As at Mar 31,

2015

As at Mar 31,

2016

As at Mar 31,

2017

Equity 110.24 115.40 127.14 Long term debt 39.51 40.69 35.14 Borrowings 23.08 28.86 40.57 Other liabilities 9.03 10.48 11.76

181.86 195.43 214.61

PPE & Intangible assets 100.72 106.67 110.48 Net current assets 56.34 64.25 70.07 Other assets 24.80 24.51 34.06 181.86 195.43 214.61

Financial Positions

12


part 3

we have

the complete ICT ecosystem


our business units

• IaaS, PaaS, SaaS • Managed DC services • Managed Security Services • Managed Network Services

Cloud & Managed Services

• India Data Business • Global Data Business • Wholesale Voice

Telecom Services

• iTest • eLearning • App Testing • Portal • App Development & Maintenance • Managed SAP, Oracle & Microsoft Services

Applications Integration Services

• Colocation Services • White Labelling • Hosting

Data Center Services

• Data Center Transformation • Network Integration • Information Security Services • Collaboration Services • End User Computing Services • Collaboration Tools

Technology Integration Services

Telecom centric services

Data Center centric IT services

14


CUSTOMER 1 BRANCH 1

CUSTOMER 2 CUSTOMER 1 BRANCH 2

MPLS 2 MPLS 1 Internet

MEETME

SIFY STANDARD INFRASTRUCTURE THIRD PARTY INFRASTRUCTURE

Third Party Element Managers

CLO

UD

USE

MO

DEL

S

Private Cloud and Managed Services in Customer DC

Remote Infrastructure Managed Services in

Customer DC

Application Services in Customer DC

CUSTOMER DATA CENTER SIFY DATA CENTER

2. Cloud and Managed IT Services

WAN / MPLS/SD-WAN 1.SIFY NW SERVICES

3. Application Services

PUBLIC/CLOUD NATIVE BI-MODAL/HYBRID: PRIVATE/ON PREMISE

business model

15


our India footprint

100G-capable access rings in 7

metro cities

1550+ Cities Coverage

2800+ Network Nodes

Across India

100000+ Enterprise

Customer Circuits

3 tier hierarchical topology for

better scalability

7 global PoPs

16


Provides Oceanic – Level Redundancy on both Trans-Atlantic & Trans-Pacific Routes

International PoPs Cable Routes

Los Angeles

New York Dubai Hong Kong

Chennai

Singapore

INDIA

APCN2+RNAL

APOLLO

TGN-A

TGN-A

GULF BRIDGE International

SEAMEWE

Europe – India Gateway SMW4

I2I+TIC

EAC

APCN2

LACS

APCN2+RNAL

Mumbai

our international reach

Marseilles London

17


6 OWNED

47 MVA capacity > 2 LAKH Sq.ft

6 owned DCs & 15 DCs for others

TIDEL PARK Chennai

VASHI Mumbai

ELECTRONIC CITY Bangalore

RABALE Mumbai

AIROLI Mumbai

NOIDA DELHI

45 DCs CONNECTED THROUGH OUR NETWORK

6 STATE DCs

our data centers

18


our cloud roadmap

Utility Compute Private Cloud

Virtualization & IT Transformation

Private / Hybrid Cloud, DR as a Service VDI as a Service

SaaS offerings

Cloud Federation, White-label, Pvt. Cloud as

Service

Current Services

Cloud Services (IaaS / PaaS)

(Infrastructure-specific)

Future

IaaS InfinitCompute InfinitStorage InfinitNetwork InfinitSecurity InfinitProtect InfinitAnalytics

PaaS Win/LNX/SQL/JBOSS

Integrated Cloud Computing

(Infra-Platform-specific) Cloud Federation (Business-connected)

Self Service-Automated-Metered

Integrated/Hybrid Cloud

Federated-Open Cloud

Horizontal Stack For IT Outsourcing

Sify Cloudinfinit

(Public Cloud)

19


applications integration services

Delivery Models

Cloud Mobile On premise

SaaS

Talent Management

Recruitment Automation

Admission Management

Skill & Assessment

Learning Content

Development

Sales & Distribution

Sales-Force Automation

Distribution & Dealer Mgmt

BI & Enterprise Application Integration Supplier &

Procurement Automation

e-Learning

Consulting Services

Learning Technology

Services

Custom Content Solutions

Portals

Web Presence Solutions

Self Servicing Portals & HRMS

ecommerce Solutions

Web Maintenance

Packages

SAP

SAP Implementation

Services

Enterprise Cloud for SAP

SAP AMS Services

SAP Licenses

Microsoft

O365 & Enterprise Mobility +

Security with SFB +PSTN

Azure Services – Storage, Backup,

ASR, BI, IoT

SQLaaS

Dynamics 365

Oracle

Oracle PaaS – Resell & Services

Oracle IaaS

Oracle Saas- HR/Sales Cloud

Oracle On-Premise

Practises

20


cloud@core

CLOUD AT CORE

Partner Cloud Services AWS | Azure | Migration & Management Services

Sify Cloud Services (CI) Private Cloud | Public Cloud |

Hybrid Cloud Management

Industry Standard Applications on Cloud O365 | SAP on Cloud | Oracle cloud service

Sify’s Application Services on Cloud Forum Next | I-Test

Security Services for Cloud

UC on Cloud Contact Centre as Service

VC as Services

Network for Cloud SMACnet | Xpress route |

SD Network Services | Digital branches ( MWiFi)

Cloud Build Private Cloud Build & Managed Services |

Software defined Network & Managed Services

Internet of Things Vertical solutions

21


for Cloud-Enabled Managed Hosting Asia/Pacific, 2017

MAGIC QUADRANT

recognition

elevated as ‘Challenger’

22


non-financial metrics - technology

telecom services • Coverage – 1550 + Cities and towns • Number of customer circuits – 100,000+ • Managed endpoints – 35K + • Number of PoPs – 2800 + (domestic) & 7

(international) • Subscribed bandwidth - 360 Gbps • Dark fibre (point to point) – 5300+ miles • 18 million mu miles from EIG. • MENA and GBI (Cable Landing Station

ownership in India) – capacity in IRU (Indefeasible Right of Use) – 100+ Gigs

• Leased international capacity in submarine cables like TIC, i2i, FEA 1, BBG

• Domestic – 16000 kms – leased fibre

Data Center services • Competitor DCs connected – 39 • Number of customers with 50+ racks - 10 • Allotted power capacity – 47 MVA • Cumulative Capacity >200,000 sq.ft applications integration services • 10 Million iTests, 101 cities, 407 centers • Automated inventory & supply chain

management on Cloud cloud & managed services • Number of Cores – 10K+ • Total storage – 5 Petabytes

Telecom centric services Data Center centric IT services

23


non-financial metrics - people Growing workforce

24

1782

2104 2175

2318

1500 1600 1700 1800 1900 2000 2100 2200 2300 2400

2013-14 2014-15 2015-16 2016-17

Less than 2 years

8% 2 to 5 years 18%

5 to 10 Years 28%

10 to 15 Years 26%

[CATEGORY

NAME] [PERCEN

TAGE]

Total experience of workforce


market landscape

Telecom

Data Center

Cloud & Managed Services

Applications Integration

Technology Integration

competitors/ partners

Sify is the only player with strengths across the entire ICT eco-system. Most of the Technology Integration players are born-again system integration specialists migrating from their legacy offerings. In those instance, where clients are comfortable, with global alignments, our partnerships help to achieve those. For e.g. SAP, Oracle, Microsoft

INFERENCE

25


managed networks – a case study

Benefits for INDIA POST

Perfect opportunity for last-mile touch points - e-governance, banking, insurance and communication

The largest MPLS network in the world for the Department of Posts, India

Enabling Service Delivery through connecting 28000+ Post Offices through a single MPLS fabric

Managing the entire operations 24*7 including rural and remote locations

Sify provides the Scale for Complete Digital Transformation

Transforming India Post from a legacy Postal Organization to A New Age Banking & Logistics Conglomerate

Key Reason for INDIA POST to Partner with SIFY

Agile and Competent Partner having pan India reach

26


managed services – a case study

The largest online recruitment examination conducted for Staff Selection Commission, India

27


managed applications – a case study

The first Pay-per-Module, Pay-per-transaction model for a Uttar Pradesh Power Corporation Limited

28


private cloud - healthcare - a case study

Treatment unit connected to Offshore DC by dedicated dark fibre

• The patient can go to any of the

networked hospitals.

• Case referred to a team of

doctors all empanelled on the

same platform.

• The Sr. Doctor can direct the

schedule and the quantity of the

radiation to the team at the

location.

• Makes both the patient and

doctor location-agnostic.

• Scheduling of treatment is no

more Doctor-dependent

• Client subscribes to the

software rather than buying it.

• Single dashboard serves all

patient information across the

networked hospitals.

• Records are permanently

archived

• Facilitates the use of

evidence-based protocols

and tools

The world’s first location and specialist-agnostic cancer care treatment on Private Cloud

29


our customers

30 30


part 4

we are at the right place, at the right time


eventual goal post

J A M JAN DHAN YOJANA

AADHAR MOBILITY

1 : 1 : 1

Bank accounts for all

Universal identity for all

Smartphones for anywhere accessibility

1 Billion Aadhar cards linked to 1 Billion bank accounts and 1 Billion mobile phones

*Serving India’s Digital Consumer, CII and AT Kearney, 2013 32


11bn Annual App Downloads

200 Mn Broadband Connected Devices

600 Mn Mobile Internet Users

300 Mn Users of Instant Messaging Services

40% - 50% Smartphone Penetration

80 Mn Annual M-Commerce Purchases

420 million-June 2017

161 million

201 million USD 63 Million

6.2 Billion Annual

intent - by 2020

*Serving India’s Digital Consumer, CII and AT Kearney, 2013 33


Data centre market in India*: • Enterprise networking and storage registered a

growth of 5.5 % and 10 % respectively as compared to the previous year.

• India became the 2nd largest market for data centre infrastructure and the second fastest growing market in APAC last year.

• In 2010, digital data in India was around 40,000 petabytes which are expected to increase up to 2.3 million petabytes by 2020 — twice as fast as the global rate.

• The Indian Government is planning to spend $7 billion on their IT products and services this year, 3.1 % over the previous year.

business – outlook

*Source: Gartner 34


business – outlook NETWORK MARKET OUTLOOK

35

w w w . s i f y t e c h n o l o g i e s . c o m 36

investor presentation – Mar 2018sifytechnologies.com/.../2018/04/MAIN-PRESENTATION...RIM services,...

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Transcript of investor presentation – Mar 2018sifytechnologies.com/.../2018/04/MAIN-PRESENTATION...RIM services,...