v3.26.1
Segment reporting
12 Months Ended
Mar. 31, 2026
Disclosure of segment reporting [Abstract]  
Segment reporting

 

34.

Segment reporting

 

The operating segments of the Group has been reclassified in the Financial Year with effect from April 1, 2021 pursuant to the business reorganization done in the 2020-21 through Business Transfer Agreement (BTA) dated January 28, 2021. Consequently, Group's operating segments are as follows:

 

a. Network services

Consists of domestic data, international data, wholesale voice

 

 

b. Data Center Services

Consists of co-location services, cross connects and other allied managed services

 

 

c. Digital Services

Consists of Cloud and Managed Services, Network Managed Services and Applications Integration Services

 

Network services - The Network services consist of network services addressing the domestic connectivity needs of Indian enterprises and international inward and outward connectivity needs of International Enterprises. The services include a comprehensive range of Internet protocol based Virtual Private Network, offerings, including intranets, extranets, and remote access applications to both small and large corporate customers. The Group provides MPLS-enabled IP VPN’s through entire network. The Group also provides last mile connectivity to customers.

 

The cable landing station and investment in submarine cable consortium are other assets extended to international partners for international inward and outward connectivity needs. The cable landing station currently lands 2 major submarine cables; namely Gulf Bridge International (GBI) and the Middle Eastern and North African cable (MENA)

 

Data Center services:  The Group operates 14 Concurrently Maintainable Data Centers, of which seven are located in Mumbai (Bombay), two each at Noida (Delhi) and Chennai (Madras), one each at Bengaluru, Kolkata and Hyderabad to host mission-critical applications. The Group offers co-location services which allow customers to bring in their own rack-mountable servers and house them in shared racks or hire complete racks and even rent ‘secure cages’ at the hosting facility as per their application requirements. It also offers a wide variety of managed hosting services, such as storage, back-up and restoration, performance monitoring and reporting hardware and software procurement and configuration and network configuration under this business line.

 

Digital services:

 

The Group offers following services under Digital Services segment:

 

On-demand hosting (cloud) services offer end-customers with the solutions to Enterprises. On-demand cloud services giving companies the option to “pay as you go” basis.

 

Remote and Onsite Infrastructure Management services which provide management and support of customer operating systems, applications, and database layers.

 

Network Operations Center (NOC) services, managed SDWAN and managed Wi-Fi solutions.

 

Data Centre Build, Network Integration, Information security and End User computing.

 

Web-applications which include sales force automation, supply chain management, intranet and extranets, workflow engine and knowledge management systems. 

 

Online portals, such as www.sify.com with content on technology. The Group also offers value-added services to organizations such as website design, development, content management, digital certification services, Online assessment tools, search engine optimization, including domain name management, secure socket layer (SSL) certificate for websites, and server space in required operating system and database. It provides messaging and collaboration services and solutions such as e-mail servers, LAN mail solutions, anti-spam appliances, bulk mail services, instant messaging, and also offer solutions and services to enable data and access security over the Internet, Infrastructure-based services on demand, including on-line testing engine and network management. On-line testing services include test management software, required servers and proctored examination facilities at Sify’s franchisee points. On-line exam engine offered allows a secure and flexible way of conducting examinations involving a wide range of question patterns.

 

The Chief Operating Decision Maker (“CODM”), i.e., The Board of Directors and the senior management, evaluate the Group’s performance and allocate resources to various strategic business units that are identified based on the products and services that they offer and on the basis of the market served. Revenue in relation to segments is categorized based on items that are individually identifiable to that segment.

 

Bandwidth costs, which form a significant part of the total expenses, is allocated to Network Services. Manpower costs of Technology resources rendering services to support Infrastructure operations, Managed services and Application services, are identified to respective operating segments specifically. The Group believes that the resulting allocations are reasonable.

 

Certain expenses, technology infrastructure and administrative overheads, which form a significant component of total expenses, are not allocable to specific segments as the underlying services are used interchangeably. Management believes that it is not practical to provide segment disclosure of these expenses and, accordingly, they are separately disclosed as “unallocated” and adjusted only against the total income of the Group.

  

The Group’s operating segment information for the years ended March 31, 2026, 2025 and 2024 are presented below:

 

Year ended March 31, 2026

 

 

 

Network- Connectivity Services

(A)

 

Data Center Services

(B)

 

Digital Services

(C)

 

Total

(D) = (A)+(B)+(C)

 

 

 

 

 

 

 

 

 

External customers

 

17,634

 

17,519

 

9,724

 

44,877

Intersegment revenues

 

-

 

88

 

222

 

310

Operating expenses

 

(14,309)

 

(9,544)

 

(10,790)

 

(34,643)

Intersegment expenses

 

(252)

 

-

 

(58)

 

(310)

Segment operating income / (loss)

 

3,073

 

8,063

 

(902)

 

10,234

Unallocated expenses:

 

 

 

 

 

 

 

 

Support service unit costs

 

 

 

 

 

 

 

(349)

Depreciation and amortization

 

 

 

 

 

 

 

(7,274)

Other income / (expense), net

 

 

 

 

 

 

 

410

Finance income

 

 

 

 

 

 

 

1

Finance expenses

 

 

 

 

 

 

 

(3,963)

Profit / (loss) before tax

 

 

 

 

 

 

 

(941)

Tax (expense) / benefit

 

 

 

 

 

 

 

(425)

Profit / (loss) for the year

 

 

 

 

 

 

 

(1,366)

 

Year ended March 31, 2025

 

 

 

Network- Connectivity Services

(A)

 

Data Center Services

(B)

 

Digital Services

(C)

 

Total

(D) = (A)+(B)+(C)

 

 

 

 

 

 

 

 

 

External customers

 

15,781

 

14,196

 

9,909

 

39,886

Intersegment revenues

 

-

 

88

 

221

 

309

Operating expenses

 

(13,920)

 

(7,768)

 

(10,612)

 

(32,300)

Intersegment expenses

 

(252)

 

-

 

(57)

 

(309)

Segment operating income / (loss)

 

1,609

 

6,516

 

(539)

 

7,586

Unallocated expenses:

 

 

 

 

 

 

 

 

Support service unit costs

 

 

 

 

 

 

 

(59)

Depreciation and amortization

 

 

 

 

 

 

 

(5,633)

Other income / (expense), net

 

 

 

 

 

 

 

551

Finance income

 

 

 

 

 

 

 

13

Finance expenses

 

 

 

 

 

 

 

(2,744)

Profit / (loss) before tax

 

 

 

 

 

 

 

(286)

Tax (expense) / benefit

 

 

 

 

 

 

 

(499)

Profit / (loss) for the year

 

 

 

 

 

 

 

(785)

 

Year ended March 31, 2024

 

 

Network- Connectivity Services

(A)

 

Data Center Services

(B)

 

Digital Services

(C)

 

Total

(D) = (A)+(B)+(C)

 

 

 

 

 

 

 

 

 

External customers

 

14,661

 

11,054

 

9,919

 

35,634

Intersegment revenues

 

-

 

88

 

221

 

309

Operating expenses

 

(12,319)

 

(6,425)

 

(10,105)

 

(28,849)

Intersegment expenses

 

(252)

 

-

 

(57)

 

(309)

Segment operating income / (loss)

 

2,090

 

4,717

 

(22)

 

6,785

Unallocated expenses:

 

 

 

 

 

 

 

 

Support service unit costs

 

 

 

 

 

 

 

9

Depreciation and amortization

 

 

 

 

 

 

 

(4,773)

Other income / (expense), net

 

 

 

 

 

 

 

535

Finance income

 

 

 

 

 

 

 

-

Finance expenses

 

 

 

 

 

 

 

(2,204)

Profit / (loss) before tax

 

 

 

 

 

 

 

352

Tax (expense) / benefit

 

 

 

 

 

 

 

(183)

Profit / (loss) for the year

 

 

 

 

 

 

 

169

 

Disclosure of segment assets and liabilities

Particulars

March 31,2026

 

March 31,2025

 

March 31,2024

Segment assets

 

 

 

 

 

 

Network centric services

 

24,425

 

23,927

 

19,042

Data center services

 

53,028

 

43,941

 

38,371

Digital services

 

6,898

 

8,353

 

7,576

Unallocated assets

 

6,322

 

7,108

 

5,993

Total assets

 

90,673

 

83,329

 

70,982

Segment liabilities

 

 

 

 

 

 

Network centric services

 

24,145

 

22,394

 

19,171

Data center services

 

39,842

 

32,523

 

26,539

Digital services

 

7,753

 

8,283

 

7,200

Total liabilities

 

71,740

 

63,200

 

52,910

Capital employed

 

18,933

 

20,129

 

18,072

 

note: unallocated assets consist of deferred tax assets, cash and cash equivalents, Investments other than investments in PPAs and interest accrued on those investments.

 

Additional information

a) Capital expenditure incurred during the year

 

Particulars

March 31,2026

 

March 31,2025

 

March 31,2024

Network centric services

 

2,449

 

4,197

 

2,990

Data center services

 

10,366

 

13,483

 

5,990

Digital services

 

474

 

496

 

240

Total

 

13,289

 

18,176

 

9,220

 

b) Depreciation & amortization expense during the year

 

Particulars

March 31,2026

 

March 31,2025

 

March 31,2024

Network centric services

 

2,452

 

2,176

 

1,980

Data center services

 

4,474

 

3,145

 

2,541

Digital services

 

348

 

312

 

252

Total

 

7,274

 

5,633

 

4,773

 

Geographic segments

 

The Group has two geographic segments India and rest of the world. Revenues from the geographic segments based on domicile of the customer are as follows:

 

Description

 

India

 

Rest of the world

 

Total

Revenues

 

 

 

 

 

 

Year ended March 31, 2026

 

41,736

 

3,141

 

44,877

Year ended March 31, 2025

 

36,850

 

3,036

 

39,886

Year ended March 31, 2024

 

33,304

 

2,330

 

35,634

 

The Group does not disclose information relating to non-current assets located in India and rest of the world as the necessary information is not available and the cost to develop it would be excessive.

 

During the year under review revenue from one customer of the Group's data center and network services segment is ₹ 8,809 million which is more than 20% of the Group's total revenue.