BLS International Services Limited

Financial Performance Highlights

Full Year FY26 (Year ended March 31, 2026):

  • Revenue: ₹2,998 crores, up 37% YoY from ₹2,193 crores
  • EBITDA: ₹819 crores, up 30% YoY from ₹629 crores
  • EBITDA Margin: 27.3%
  • Profit After Tax (PAT): ₹724 crores, up 34% YoY from ₹540 crores
  • Cash Flow from Operations: ₹903 crores
  • Net Cash Balance (as of March 31, 2026): ₹1,434 crores

Q4 FY26 (Quarter ended March 31, 2026):

  • Revenue: ₹815 crores, up 18% YoY from ₹693 crores
  • EBITDA: ₹204 crores, up 17% YoY from ₹174 crores
  • PAT: ₹187 crores, up 29% YoY from ₹145 crores

Segment Performance

Visa & Consular Services - FY26:

  • Revenue: ₹1,840 crores, up 11% YoY from ₹1,653 crores
  • EBITDA: ₹738 crores, up 30% YoY
  • EBITDA Margin: 40.1% (improved from 34.5% in FY25)
  • Applications Processed: 44.1 lakh (from 37.5 lakh in FY25)
  • Net Revenue Per Application: ₹3,302 (up 14% from ₹2,903)

Visa & Consular Services - Q4 FY26:

  • Revenue: ₹472 crores, up 7% YoY from ₹441 crores
  • Applications: 10.8 lakh, up 10% YoY from 9.8 lakh
  • EBITDA: ₹180 crores, up 19% YoY
  • EBITDA Margin: 38% (improved 400 bps from 34%)

Digital Services - FY26:

  • Revenue: ₹1,158 crores, up 114% YoY from ₹540 crores
  • EBITDA: ₹81 crores from ₹60 crores in FY25
  • Gross Transaction Value (GTV): ₹1.1 lakh+ crores (from ₹87,000+ crores)
  • Leads Generated: Worth ₹36,800 crores

Digital Services - Q4 FY26:

  • Revenue: ₹343 crores from ₹252 crores in Q4 FY25
  • EBITDA: ₹24 crores

Business Updates and Operational Metrics

Network Expansion:

  • 155,000+ touch points with approximately 45,800+ channel partners
  • Operations in 80+ countries serving 40+ client governments

Technology Initiatives:

  • Partnership with IACCIA for trade document attestation across 17 centers
  • Partnership with Sypha AI for AI-powered Visa & Consular solutions
  • Introduction of AI VoiceBots for visa applications
  • Continuous strengthening of technology through AI, advanced analytics, and cloud performance

Contract Wins and Deployments:

  • Won tenders for Slovakia, Cyprus, Indian government, Italy, Portugal, and Poland
  • Won UIDAI tender worth ₹2,500 crores (6-year contract)
  • Phase I rollout completed (40-50 offices), full rollout of 200+ offices expected in 1-1.5 years
  • Expected EBITDA margin of 15-20% for UIDAI contract

Acquisition Activity:

  • Aadifidelis acquisition (November 2024) contributed approximately 25% of Digital Services revenue
  • Company working on additional acquisitions with focus on both Visa and Digital segments
  • Allocation of approximately ₹2,000 crores for acquisitions over next 4-5 years

Dividend Declaration

  • Board recommended final dividend of 50% of face value (₹0.5 per equity share)
  • Interim dividend of ₹2.0 per equity share already paid during the year
  • Total dividend payout: 250% of face value (₹100+ crores)

Management Commentary and Guidance

FY27 Outlook:

  • Target growth of 20-25% on increased base
  • Focus on maintaining current margin levels
  • Visa business expected to maintain ~40% EBITDA margins
  • Digital business expected to maintain 7-8% EBITDA margins with potential for improvement

Geopolitical Impact Assessment:

  • Management acknowledged ongoing Middle East tensions but stated minimal impact on operations
  • Q4 FY26 still showed 17.6% growth despite geopolitical situation
  • Company diversified across 80+ countries helps mitigate regional impacts
  • No significant impact expected on Q1 FY27 operations

Tax Rate Guidance:

  • Effective tax rate: 10-12% currently
  • Potential minor increase to 13% if Dubai changes tax rate from 9% to 12%
  • Tax structure benefits from free trade zone status in Dubai

Q&A Session Highlights

Geopolitical Impact: Management reiterated that while short-term impacts may occur in specific regions, the global diversification of operations provides stability. March quarter was not a washout, and company continues to grow steadily.

Contract Pipeline: Multiple government tenders expected in next 1-2 years across Europe, North America, and other regions. Company actively bidding at various stages.

Margin Explanation: Digital Services margins affected by Aadifidelis acquisition (4-5% margins) but absolute EBITDA growth strong. Visa margins improved due to operational efficiencies and transition to self-managed model.

Capital Allocation: Strong cash balance of ₹1,434 crores to be used for expansion of existing business, new contract deployments, and inorganic growth opportunities.

China Operations: Started 6 months ago, showing steady growth with significant potential for further expansion.

UIDAI Project: Phase I deployment complete, full revenue expected to accrue over 5-6 years once fully deployed. User-pay model similar to visa outsourcing business.

Geographical Revenue Split: Major regions include UAE, Saudi Arabia, Morocco, Algeria, UK, USA, Canada, Singapore, and growing China operations.