AGC Networks Announces Results for the Quarter ended June 30, 2013

Mumbai, 12th August 2013: AGC Networks Limited, (BSE: 500463 and NSE: AGCNET), a Global ICT Solutions Provider and Integrator in Unified Communications, Network Infrastructure, Data Centre & Virtualization and Enterprise Applications and a subsidiary of Aegis Limited, an Essar enterprise, today announced financial results for Q1 FY 2014.

Key Consolidated Financial & Operational Highlights for Q1 FY 2014

Revenue for Q1 FY 2014 decreased by 22% to Rs 192 cr as against Rs 246 cr in Q1 FY 2013. Persisting macroeconomic concerns compounded with sluggish economic growth highlights weak demand impacting spending patterns on technology solutions across various industry verticals The significant devaluation of the Indian Rupee versus the US dollar during the quarter was weighed down by sluggish investments in infrastructure in a slowing economy. However with its innovative capabilities and international presence, AGC Networks is optimistic about its prospects as both the Indian and global economies work towards their recovery. The results include an amount of Rs 11 cr on account of foreign exchange mark to market loss The results also include Rs 20 cr on account of total provisioning of certain receivables which are provided as per the provisioning norms of the company There has been rationalization of costs in the quarter in tune with the tough market conditions The combined effect of all of the above led to a loss of Rs. 84 cr for the quarter
Q1'14 Total Revenue PBT PAT EPS (in Rs) 192 Q1'13 246 YoY Growth (22)% Q413 284 QoQ Growth (32)%

(87) (84)

16 18

(60) (67)

(30)

(24)

The Company continues with its global scale-up plans with a continued focus on India and consolidation in the key growth market of North America. As part of its ongoing efforts to keep pace with the fast changing world of technology and ENABLING EXPERIENCE for its customers, AGC launched innovative industry solutions for the BFSI, Education and the Media & Entertainment sectors. These solutions hold immense potential for growth in view of the unfolding opportunity in

these spaces, particularly the Banking and Education sector, which are poised for explosive growth in the coming years. Q1 FY14 witnessed a significant customer win in the key vertical of BFSI for the CTS (Cheque Truncation System) implementation involving a consortium of public sector banks in the western grid highlighting the core expertise of integrated technology solutions across AGCs quadrants with a deal value of approximately Rs. 160 cr. Other highlights include, AGC receiving awards from Juniper Networks for excellence in IT / ITes segment and Strategic win of the year.

Speaking on the occasion, Mr. S. K. Jha, MD & CEO, AGC Networks said The devaluation of the Rupee versus the US dollar coupled with the sluggish spending patterns on technology solutions across verticals has impacted the companys profitability. However with our continued focus on customer centricity, seamless global delivery model equipped with global technology alliance partnership and technically skilled workforce, going forward, we expect to improve in the second half of the fiscal year. About AGC Networks : AGC NETWORKS Limited (AGC) is a Global ICT Solutions Provider and Integrator seamlessly delivering technology based solutions across global markets and verticals layered with a spectrum of applications and services in Unified Communications Network Infrastructure, Data Center & Virtualization and Enterprise Applications. Being a leader in Enterprise Communications in India and spanning the Middle East, North America, Australia, New Zealand and Africa, AGC Networks has a differentiated approach to Solutions Integration and offers domain-focused, flexible and customised solutions to customers across the globe. Equipped with Global technology alliance partners like Avaya, Juniper, NICE Systems, Aspect, HP, Polycom, Cisco, Microsoft, Verint, NEC, Sony, Plantronics, EMC, Dialogic, NetApp, Checkpoint and Jabra among others, AGC Experience specialists deliver ICT solutions. AGC Networks is a subsidiary of Aegis Limited, an Essar Enterprise. For more information log on to www.agcnetworks.com
Media contacts: AGC Networks Neelam Kapoor Tel: +91 98197 30611 E-mail: neelam.kapoor@agcnetworks.com 20:20 MSL Mou Chakravorty : Cell# 8454042392 E-mail: mou.chakravorty@2020msl.com Investor Contacts: Kashmeera Chhabra Tel: +99301 36721 Email: Kashmeera.chhabra@agcnetworks.com