SIFY TECHNOLOGIES LTD Files 20-F

TL;DR

<b>SIFY TECHNOLOGIES LTD has filed its annual 20-F report detailing financial information and debt structures.</b>

AI Summary

SIFY TECHNOLOGIES LTD (SIFY) filed a Foreign Annual Report (20-F) with the SEC on May 7, 2024. SIFY TECHNOLOGIES LTD filed its annual report on Form 20-F. The filing details stock option plans with specific vesting schedules for Option Plan I, II, and III. Trade receivables as of March 31, 2024, are net of allowance for doubtful receivables. The company has adjusted processing charges paid with respect to borrowings from banks to ₹162 Million (previous year ₹185 Million). Significant portions of term loan balances are secured by project receivables and movable fixed assets for various projects including Noida DC, Chennai DC, and Rabale T5 DC.

Why It Matters

For investors and stakeholders tracking SIFY TECHNOLOGIES LTD, this filing contains several important signals. The 20-F filing provides a comprehensive overview of the company's financial health and operational details for the fiscal year ending March 31, 2024. Details on secured debt facilities and project receivables highlight the company's financing strategies and asset-backed borrowing.

Risk Assessment

Risk Level: medium — SIFY TECHNOLOGIES LTD shows moderate risk based on this filing. The company has significant debt facilities secured by project receivables and movable fixed assets, indicating a reliance on asset-backed financing which could pose risks if project performance falters.

Analyst Insight

Investors should review the detailed breakdown of secured debt and project receivables to assess the company's financial leverage and risk exposure.

Key Numbers

• 6,612,700 — Options (Option Plan II) (Vesting details provided)
• 4,052,800 — Options (Option Plan III) (Vesting details provided)
• 4,304,600 — Options (Option Plan I) (Vesting details provided)
• 162 Million — Adjusted processing charges on borrowings (For the year ended March 31, 2024)
• 185 Million — Adjusted processing charges on borrowings (For the previous year ended March 31, 2023)
• 3,076 Million — Secured facilities for Noida DC Project (As of March 31, 2024)
• 1,635 Million — Secured facilities for Noida DC Project (As of March 31, 2023)
• 5,001 Million — Secured facilities for Rabale T5 DC Project (As of March 31, 2024)

Key Players & Entities

• SIFY TECHNOLOGIES LTD (company) — Filer name
• SIFY LTD (company) — Former company name
• SATYAM INFOWAY LTD (company) — Former company name
• Noida DC Project (company) — Project name associated with debt
• Chennai DC Project (company) — Project name associated with debt
• Rabale T5 DC Project (company) — Project name associated with debt

FAQ

Risk Factors

• Debt and Collateral [medium — financial]: Significant portions of term loan balances are secured by project receivables and movable fixed assets, indicating potential risks if project performance is not met.

Key Dates

• 2024-03-31: Fiscal Year End — Reporting period for the 20-F filing.
• 2024-05-07: Filing Date — Date the 20-F was officially submitted to the SEC.

Key Financial Figures

• $ — . In this Annual Report, references to "$," "Dollars" or "U.S. dollars" are to th
• $1.00 — f India (RBI), which was 83.3739 per US $1.00. Our financial statements are presente
• $1 b — he requirement of ADS price to be above $1 because of limited liquidity may affect t

Filing Documents

• sify-20240331.htm (20-F) — 20610KB
• sify037_ex2-1.htm (EX-2.1) — 222KB
• sify037_ex8-1.htm (EX-8.1) — 47KB
• sify037_ex11-2.htm (EX-11.2) — 192KB
• sify037_ex12-1.htm (EX-12.1) — 32KB
• sify037_ex12-2.htm (EX-12.2) — 38KB
• sify037_ex13-1.htm (EX-13.1) — 13KB
• sify037_ex13-2.htm (EX-13.2) — 12KB
• sify037_ex15-1.htm (EX-15.1) — 12KB
• sify037_ex97-1.htm (EX-97.1) — 66KB
• sify037_ex11-2img01.jpg (GRAPHIC) — 4KB
• sify037_ex97-1img01.jpg (GRAPHIC) — 2KB
• 0001575872-24-000494.txt (&nbsp;) — 66463KB
• sify-20240331.xsd (EX-101.SCH) — 172KB
• sify-20240331_cal.xml (EX-101.CAL) — 87KB
• sify-20240331_def.xml (EX-101.DEF) — 532KB
• sify-20240331_lab.xml (EX-101.LAB) — 901KB
• sify-20240331_pre.xml (EX-101.PRE) — 790KB
• sify-20240331_htm.xml (XML) — 20156KB

Forward-Looking Statements

Forward-Looking Statements 3 PART I 4 Item 1. Identity of Directors, Senior Management and Advisers 4 Item 2. Offer Statistics and Expected Timetable 4 Item 3. Key Information 4 Item 4. Information on the Company 31 Item 4A. Unresolved Staff Comments 45 Item 5. Operating and Financial Review and Prospects 45 Item 6. Directors, Senior Management and Employees 63 Item 7. Major Shareholders and Related Party Transactions 74 Item 8. Financial Information 81 Item 9. The Offer and Listing 84 Item 10. Additional Information 84 Item 11.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 10 7 Item 12.

Description of Securities Other Than Equity Securities

Description of Securities Other Than Equity Securities 10 7 PART II 1 0 9 Item 13. Defaults, Dividend Arrearages and Delinquencies 1 0 9 Item 14. Material Modifications to the Rights of Security Holders and Use of Proceeds 1 09 Item 15.

Controls and Procedures

Controls and Procedures 1 09 Item 16A. Audit Committee Financial Expert 11 3 Item 16B. Code of Ethics 11 3 Item 16C. Principal Accountant Fees and Services 11 4 Item 16D. Exemptions from the Listing Standards for Audit Committees 11 4 Item 16E. Purchases of Equity Securities by the Issuer and Affiliated Purchasers 11 4 Item 16F. Change in Registrant's Certifying Accountant 11 4 Item 16G. Corporate Governance 11 4 Item 16H. Mine Safety Disclosure 11 5 Item 16I. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 11 5 Item 16J. Insider Trading Policies 11 5 Item 16 K Cyber Security Policy 11 5 PART III 11 5 Item 17.

Financial Statements

Financial Statements 11 5 Item 18.

Financial Statements

Financial Statements 11 5 Item 19. Exhibits 1 8 7 1 C urrency of Presentation and Certain Defined Terms Unless the context otherwise requires, references in this annual report to "we," "us," the "Company," "Sify" or "Satyam Infoway" are to Sify Technologies Limited, a limited company organized under the laws of the Republic of India. References to "U.S." or the "United States" are to the United States of America, its territories and its possessions. References to "India" are to the Republic of India. References to the "Government" or "GOI" are to the government of the Republic of India. In January 2003, we changed the name of our Company from Satyam Infoway Limited to Sify Limited. In October 2007, we again changed our name from Sify Limited to Sify Technologies Limited. " Sify", "SifyMax.in,", "Sify e-port s " and "Sify online" are trademarks used by us for which we have already obtained registration certificates in India. All other trademarks or trade names used in this Annual Report on Form 20-F for the year ended March 31, 2024 (the "Annual Report") are the property of their respective owners. In this Annual Report, references to "$," "Dollars" or "U.S. dollars" are to the legal currency of the United States, and references to "", "Rs.," "rupees" or "Indian rupees" are to the legal currency of India. References to a particular "fiscal" year are to our fiscal year ended March 31 of such year. References to the "Group" mean Sify Technologies Limited and its subsidiaries. References to "equity shares" refer to our Indian Equity Shares, which are not traded on an exchange in India or the United States. References to "ADSs" refer to our American Depositary Shares, which are traded on the NASDAQ Capital Market under the symbol "SIFY." For your convenience, this Annual Report contains translations of some Indian rupee amounts into U.S. dollars which should not be construed as a representation that those Indian rupee or U.S. dollar amounts could have been,

Selected Financial Data

Selected Financial Data Summary of Consolidated Financial Data You should read the summary of consolidated financial data below in conjunction with the Company's consolidated financial statements and the related notes, as well as the section entitled "Operating and Financial Review and Prospects," all of which are included elsewhere in this Annual Report. The summary of consolidated statements of income data for the five years ended March 31, 2024, 2023, 2022, 2021, and 2020 and the summary of consolidated Statement of Financial Position as of March 31, 2024, 2023, 2022, 2021, and 2020 have been derived from our audited consolidated financial statements and related notes to the consolidated financial statements which were prepared and presented in accordance with International Financial Reporting Standards (IFRS) as issued by International Accounting Standards Board (IASB). Historical results are not necessarily indicative of future results. 4 Sify Technologies Limited Consolidated Statement of Income (In thousands of Rupees, except share and per share data and as otherwise stated) Year ended March 31, 2024 2023 2022 2021 2020 2024 Convenience translation into US$ in thousands, except share and per share data (See Note 2 ) Revenue 35,633,922 33,403,726 27,025,675 24,319,542 22,952,067 427,399 Cost of goods sold and services rendered (22,378,001 ) (21,379,429 ) (16,042,056 ) (14,702,534 ) (14,364,827 ) (268,405 ) Other income 184,613 131,840 130,728 155,993 97,155 2,214 Selling, general and administrative expenses (6,499,562 ) (5,733,634 ) (4,943,575 ) (4,546,756 ) (4,513,646 ) (77,957 ) Depreciation and amortization (4,773,414 ) (3,971,865 ) (3, 283 ,4 52 ) (2,835,632 ) (2,290,777 ) (57,253 ) Impairment Loss on Goodwill (14,595) Profit / (loss) from operating activities 2,167,558 2,450,638 2,872,725 2,390,613 1,879,972 25,998 Finance income 337,723 222,905 73,577 172,319 193

Risk Factors

Risk Factors Investing in our American Depositary Shares, or ADSs, involves a high degree of risk. This Annual Report contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of a number of factors, including those described in the following risk factors and elsewhere in this Annual Report. If any of the risks actually occur, our business, financial condition, operating results and prospects could be materially and adversely affected. In that event, the market price of our ADS could decline, and you could lose part or all of your investment. Our business, operating results, financial performance, or prospects could also be harmed by risks and uncertainties not currently known to us or that we currently do not believe are material. Summary of Risk Factors The following is a summary, organized under relevant headings of some of the risks that could adversely impact our business and financial performance and an investment in our ADSs . The list below is not exhaustive, and you should carefully read and consider all of the information discussed in the "Risk Factors" section of this Annual Report for a more thorough description of these and other risks. 7 Risks related to our Company and Industry: We may incur losses in the future and we may not achieve or maintain profitability due to pricing pressure and less than optimum capacity and asset utilization rates, intense competition, ability to manage costs, ability to meet licence conditions and export obligations. Our ability to innovate our service offerings, delivery models, procurement and financing models, our ability to manage fixed and semi-variable costs when there is uncertainty of future revenue may impact our profitability and ability to sustain our business. Our ability to qualify for high value Government contracts, and increasing exposure to Government contracts may aff

View Full Filing

View this 20-F filing on SEC EDGAR