Sterlite Tech Starts FY'18 With a Strong Outlook Backed by Solid Performance
PUNE, India, April 26, 2017 /PRNewswire/ --
- All-time high quarter EBITDA of Rs 166 crore and order book of Rs 3,018 crore
- Annual revenue growth of 14% and PAT growth of 31%
- Annual exports growth of 75%
- Decision to expand optical fibre capacity to 50 million fkm
Sterlite Tech [BSE: 532374, NSE: STRTECH], an end-to-end global technology leader in smarter digital networks, today posted a strong operating performance for fourth quarter and year ended March 31, 2017. The Company posted the highest ever quarterly EBITDA at Rs 166 crore, up 19% vs Rs 139 crore for the same quarter last year.
Sterlite Tech focuses on designing, building and managing smarter networks for four key customer segments - Global Service Providers, Smart Cities, Rural Broadband and Defence - meeting their needs through its integrated products (optical fibre, optical fibre cables and data cables), services (system and network integration) and software (OSS/BSS) offerings. Sterlite Tech showed key developments and growth across all these customer segments through the year.
The Company closed its order book at an all-time high of Rs 3,018 crore. The order book is evenly balanced between the products, services and software offerings, and maintains a strong international focus.
Optical fibre remains the fastest medium to carry the exponential growth in data traffic, and Sterlite Tech maintained its leadership position in this segment, posting the highest-ever quarterly and annual sales of optical fibre. Sterlite Tech also announced the next phase of optical fibre capacity expansion to 50 million fkm, to be executed in stages. With 50 million fkm of a fully-integrated optical fibre facility, Sterlite Tech will be amongst the top integrated fibre providers globally. This scale is further complemented with a growing patent portfolio of 146 and a next-generation Centre of Excellence in Aurangabad, India.
Financial Highlights for Q4FY'17 and FY17 (Consolidated - All figures are in Ind AS & Rs crore)
Sterlite Tech has posted another strong year of financial growth with profits expanding by 31% vs FY'16. Major financial highlights are:
- Quarterly revenues at Rs 707 crore, up 15% vs Rs 614 crore YoY
- EBITDA at all-time high of Rs 166 crore, up 19% vs Rs 139 crore YoY
- Profit After Tax at Rs 64 crore, up 16% vs Rs 55 crore YoY
- ROCE of the business in Q4FY'17 at 26%
- The Board recommended Final Dividend of Rs 0.75 per share (in addition to the Interim Dividend of Rs. 0.50 per share declared and paid in October 2016), resulting in total dividend of Rs 1.25 per share for the FY 2016-17.
Particulars FY2017 FY2016 % Growth Q4FY2017 Q4FY2016 % Growth
Revenue 2,594 2,275 14% 707 614 15%
EBITDA 542 475 14% 166 139 19%
PAT 201 154 31% 64 55 16%
Elaborating on the performance, Dr Anand Agarwal, CEO, Sterlite Tech, said, "We are witnessing an unprecedented growth in new technologies such as cloud computing, IoT, M2M and artificial intelligence, which is creating the need for new networks based on very high data speeds and very low response time. We believe that we are at the start of such a growth cycle of building new fibre-based networks globally. With our end-to-end offerings of next-generation products, services and software, we have deep customer engagements for designing, building and managing such new fibre-based networks. Our strategy of increase in capacity and capabilities will go hand-in-hand to meet our customers' evolving needs."
Sharing his vision, Pravin Agarwal, Vice Chairman, Sterlite Tech, said, "We are uniquely positioned to create smarter networks. We are building an organisation that supports predictable performance and outcome-oriented assignments, empowering us to lead with technology, and to partner with the ecosystem. The Final Dividend declared by the Board is in accordance with our dividend policy, solid performance and strong outlook."
Business Highlights for FY'17
- Crossed the milestone of transforming digital infrastructure in over 100 countries and enabled the creation of smarter broadband networks in some of the toughest terrains of the world, including in Iceland, Amazonian rain forests and Jammu and Kashmir.
- Emerged as the leading player in Smart City development with three smart cities.
- First commercial sales of smarter FTTH solutions to one of India's top telecom operator.
- Products qualified with Europe's Construction Products Regulations (CPR).
- Sterlite Tech Academy launched to create a certified talent pool of smarter network professionals. Over 200 professionals from leading telecom operators certified.
- Advisory Board formed with industry leaders Sandip Das and BS Shantharaju to provide strategic guidance on the Company's growth roadmap.
- Honoured with the Broadband Infrastructure Leader Award at the Telecom Leadership Forum.
- Improved position from Niche to Visionary in the Gartner Magic Quadrant for Integrated Revenue and Customer Management for its software offerings.
- Long-term rating outlook of the Company upgraded by CRISIL to CRISIL AA-/Positive.
- Won two Gold Frost & Sullivan India Manufacturing Excellence Awards in 2016.
- China facility recognised for R&D and high-quality product development through an award by Nantong Municipal and Jiangsu Provincial Government, China.
About Sterlite Technologies:
Sterlite Technologies Ltd [BSE: 532374, NSE: STRTECH], is a global technology leader that designs, builds and manages smarter digital networks. Sterlite Tech engages in six continents and more than 100 countries, with a digital network focused business panning across products, services and software - optical communication products, network & system integration services and OSS/BSS software solutions. The Company has state-of-the-art manufacturing facilities in India, China and Brazil, and aims to transform everyday living by delivering smarter networks. With a strong portfolio of over 146 patents, Sterlite Tech is home to India's only Centre of Excellence for broadband research. Projects undertaken by the Company include intrusion-proof smarter data network for the Armed Forces, rural broadband for BharatNet, Smart Cities' development, and establishing high-speed Fibre-to-the-Home (FTTH) networks.
For more details, visit http://www.sterlitetech.com
Forward-looking and cautionary statements: Certain words and statements in this release concerning Sterlite Technologies Limited and its prospects, and other statements relating to Sterlite Technologies' expected financial position, business strategy, the future development of Sterlite Technologies' operations and the general economy in India, are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements of Sterlite Technologies Limited, or industry results, to differ materially from those expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding Sterlite Technologies' present, future business strategies, and the environment in which Sterlite Technologies Limited will operate in the future. The important factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements include, among others, changes in Government policies or regulations of India and, in particular, changes relating to the administration of Sterlite Technologies' industry, and changes in general economic, business and credit conditions in India. Additional factors that could cause actual results, performance or achievements to differ materially from such forward-looking statements, many of which are not in Sterlite Technologies' control, include, but are not limited to, those risk factors discussed in Sterlite Technologies' various filings with the National Stock Exchange, India and the Bombay Stock Exchange, India. These filings are available at http://www.nseindia.com and http://www.bseindia.com.
Media Contact:
Sumedha Mahorey,
Manager - Corporate Communications, Sterlite Technologies Ltd
Phone: 022-3045-0404
E-mail: [email protected]
Vishal Aggarwal
Investor Relations, Sterlite Technologies Ltd
Phone: +91-20-30514000
E-mail: [email protected]
Share this article