Optical and digital solutions company Sterlite Technologies on Thursday posted a net loss of ₹57 crore in the third quarter (October-December) of FY24, as against a profit of ₹34 crore in the previous September quarter.
Sterlite Technologies reported ₹1,322 crore in revenue for the quarter and an order book of ₹9,849 crore across its three business units — Optical Networking, Global Services, and Digital. The company reported a 12% sequential decline in revenue and EBITDA in Q3 amidst ongoing optical demand headwinds, especially in the US and parts of Europe.
The company 's EBITDA growth stood at ₹89 crore, down 58% in the latest quarter, compared to ₹213 crore during the July to September period. The company's margin came in at 6.7% in the current quarter as against 14.3% in the second quarter.
The company's net debt has reduced by ₹174 crore from FY23. It has filed the Services business demerger scheme with the NCLT; awaiting first hearing date, Sterlite Technologies said.
Commenting on the market developments, Ankit Agarwal, Managing Director, STL said: “Be it 5G or Generative AI, one technology trend after the other is reaffirming the strategic role of optical fibre in networks. While this downturn is temporary, the cost base and capabilities that we have built around product design, quality, manufacturing presence and sustainability will reap benefits far into the future. Regardless of the market cycle, we are as customer-centric as ever. I am confident that once the optical demand is normalised, we will hit the ground running and fast track towards becoming one of the top 3 optical players in the world.”
The company witnessed strong deal flow, new customer acquisitions in the US and India across Technology and Services Industry verticals during FY24, it said in a filing to the exchanges.
The management of Sterlite Technologies also expects revenue to decline for this fiscal, with significant focus on net debt reduction for FY24.
Shares of Sterlite Technologies Ltd were trading 3.99% lower at ₹137.20 apiece on the NSE during Thursday's afternoon trade.
First Published: Jan 25, 2024 1:12 PM IST
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