🪞At a Glance
From being the low-cost global supplier of optical fiber to now recording₹-123 Cr lossesin FY25, Sterlite Technologies went from “5G hero” to “debt-zero?” (almost). With margins chopped, global share slipping, and revenue freefalling 42% in 2 years — investors are asking: Is this a turnaround candidate or just another falling knife with a fiber cable wrapped around it?
🧠 Part 1: The High-Speed Hype Years
Once upon a time, Sterlite Tech was thechosen oneof the digital India dream:
- LargestOptical Fiber Cable (OFC)player in India
- 12%global ex-China market sharein FY23 (now 8% in FY24 😬)
- Debt-fueled expansion into data centers, 5G infra, and even the power cable biz
Then came:
- Global slowdown in 5G infra capex
- Margin erosion from competition
- A brutal debt hangover
Cue the chart drop… 📉
📊 Part 2: 5-Year Financials – Where’s the Fiber?
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 4,825 | 5,437 | 6,925 | 5,478 | 3,996 |
| EBITDA (₹ Cr) | 807 | 665 | 895 | 570 | 416 |
| EBITDA Margin | 17% | 12% | 13% | 10% | 10% |
| PAT (₹ Cr) | 265 | 45 | 127 | -57 | -123 |
| ROCE (%) | 12% | 8% | 11% | 5% | 3% |
| Debt (₹ Cr) | 2,944 | 3,475 | 3,834 | 3,376 | 1,926 |
💀 Revenue collapsed42% in 2 years💀 Profits went from +₹127 Cr to-₹123 Cr💀 Still barely scraping10% EBITDA marginsafter peak 23% days in FY18
💣 Part 3: What Went Wrong, Bro?
🧻 1. Debt Spiral
- Peak borrowings: ₹3,834 Cr
- Interest expense in FY25 alone? ₹241 Cr (nearly 60% of FY25 EBITDA!)
📉 2. Freefalling Sales
- FY24: ₹5,478 Cr
- FY25: ₹3,996 Cr
- That’s a whopping ₹1,482 Crevaporated— more than Tejas Network’s entire revenue.
🪒 3. Slipping Global Market Share
- OFC market share (ex-China): Down from12% to 8%in just a year
- Lower global orders + pricing
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