BLS International announced its exceptional third-quarter profitability

Company registers highest ever Operational Revenue of Rs 438.0 Cr & Highest ever quarterly EBITDA of Rs. 66.3 in Q3 FY23

BLS International, a trusted global tech-enabled services partner for governments and citizens, released today the consolidated financial results for the third quarter and nine months ended December 31, 2022.

MANAGEMENT DISCUSSION & ANALYSIS OF RESULTS

• The Company delivered a robust set of operating results for the quarter ended December 31, Consolidated Revenues rose 92.9% YoY & 22.7% QoQ and EBITDA rose 159.73 % YoY & 16.73% QoQ.
• The Main drivers of revenue were: Steady recovery in visa & consular business
• Increase in Revenue from ZMPL (revenue included of ZMPL is 42.2 cr in Q3)
• Annualized Return on Equity (a key measure of capital efficiency) stands at 4%. We are constantly striving to improve this by better utilization of assets and tighter control of operations, leading to margin improvements
• BLS’s business model is free cash positive and management is focused on cash generation as a key business performance metric
• The Company is one of the World’s Top 3 Visa & Consular Services companies along with diversified business of E-Governance and Banking
• The Company achieved the highest-ever operating cash flow of approximately 74.35 crores in this quarter

Recent Major Updates:

• BLS issued bonus shares in the ratio of 1:1 during the quarter
• BLS commenced 4300+ Grama 1 centres in
• The company won a contract from the Malaysian Immigration Authority to issue e-Visas

For the quarter comparative from October to December FY23 viz FY22:

• Operational Revenue stood at ₹ 90 crores in Q3 FY23, up by 92.86% from ₹ 227.06 crores in Q3 FY22, mainly driven by a strong recovery in visa application volumes

• EBITDA stood at ₹ 30 crores in Q3 FY23, up from ₹ 25.53 crores in Q3 FY22. Improvement in operational efficiencies helped boost EBITDA margins
• Profit After Tax (PAT) for the quarter is ₹ 85 crores compared to ₹ 28.29 crores in the same period of last financial year

For the nine-month comparative from April to December FY23 viz FY22:

• Operational Revenue stood at ₹ 56 crores in 9M FY23, up by 79.11% from ₹ 596.05 crores in 9M FY22, primarily from robust growth in visa business
• EBITDA stood at ₹ 47 crores in 9M FY23, up from ₹ 71.89 crores in 9M FY22. EBITDA margin improved 241 bps mainly due to higher volumes over fixed costs
• PBT is ₹ 33 crores in 9M FY23 compared to ₹ 76.70 crores in 9M FY22
• Profit After Tax (PAT) for the nine months is ₹ 54 crores compared to ₹ 76.00 crores in the same period of last financial year
• The Board of Directors has approved/ declared the 1st Interim Dividend for the FY 2022-23 at ₹ 50 Per Share.

Commenting on the company’s performance, Mr Shikhar Aggarwal, Joint Managing Director, BLS International, said,

“Our third quarter performance has been above expectations. The Company has reported its highest-ever quarterly revenue as well as highest-ever quarterly EBITDA, making this our best quarter yet financially.

We are seeing robust growth coming in from our visa & consular services, coupled with Digital Services businesses. Our Q3 FY23 revenue grew 92.86% year-on-year to Rs. 437.90 cr, while EBITDA and PAT grew 159.73% and 62.06% to Rs. 66.30 cr and Rs. 45.85 cr, respectively.

Based on the ongoing and anticipated growth in our banking correspondence and e-Governance businesses, we consolidated these two lines of business into a Digital Services segment, which would be operated through our subsidiary BLS E-Services Pvt. Ltd. The Digital Services business has been growing well, especially from the value-added services we offer therein.

We shall continue focusing on spreading our reach far and wide with prudent emphasis on organic as well as inorganic growth while striving to maintain our internal rate of return threshold”.