Bls International Services Ltd. · NSE:BLS
Bls International Services — Q3 FY24 Earnings Presentation
37 slides from Bls International Services's earnings presentation, Feb 12, 2024
Slide 1: Investor Presentation cover letter to stock exchanges
February 12, 2024 National Stock Exchange of India BSE Ltd., Metropolitan Stock Exchange of India Ltd., Ltd., Exchange Plaza, C-1 Block G, Phiroze Jeejeebhoy Vibgyor Towers, 4th Floor, Plot No. Bandra Kurla Complex Bandra [E], Towers, C62, G - Block, Opp. Trident Hotel, Mumbai – 400051 Dalal Street,
Slide 2: Earnings Presentation Q3 & 9M FY24
Earnings Presentation Q3 & 9M FY24 February 12, 2024
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by BLS International Services Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for
Slide 4: Agenda
Agenda 1. Key Business Updates 2. Financial Highlights – Q3 & 9M FY24 3. Company Overview 4. Industry Overview 5. Historical Financial Highlights 6. Way Ahead 3
Slide 5: Key Business Updates
Key Business Updates iDATA Acquisition • In January 2024, BLS International signed definitive agreement to acquire 100% stake in iDATA for an enterprise valuation of EURO 50 Mn (~ Rs. 450 Crores) • iData is a Turkey-based Visa & Consular services provider • Acquisition would be funded primarily thro
Slide 6: Strategy – Commitment for Growth
Strategy – Commitment for Growth • In line with our strategy to grow our business in a profitable manner, we have embarked on a path of inorganic growth as well as Organic growth. • As part of our inorganic growth strategy, the company has invested its surplus cash on the below mentioned acquisition
Slide 7: Q3 & 9M FY24
RIS Q3 & 9M FY24 INTERNATIONAL
Slide 8: Q3FY24 Results Snapshot
Q3FY24 Results Snapshot Consolidated Op EBITDA Consolidated PBT Consolidated Revenue INR 88.6 Crores INR 91.0 Crores INR 437.9 Crores 33.6% 31.3% Consolidated PAT Cash & Bank Balances ROCE | ROE* INR 87.2 Crores INR 754 Crores 33.4% | 30.8% 90.2% * Basis 9MFY24 annualised financials; Cash & Bank Bal
Slide 9: 9MFY24 Results Snapshot
9MFY24 Results Snapshot Consolidated Revenue Consolidated Op EBITDA Consolidated PBT INR 1,229.1 Crores INR 255.4 Crores INR 258.6 Crores 15.1% 65.2% 63.8% Consolidated PAT Net Cash & Bank Balances ROCE | ROE* INR 240.2 Crores INR 754 Crores 33.4% | 30.8% 88.3% * Basis 9MFY24 annualised financials;
Slide 10: Management Discussion & Analysis of Results
Management Discussion & Analysis of Results Ø Company registered Consolidated Operational Revenue of INR 437.9 Cr, similar to Q3FY23 and a growth of 7.4% versus the trailing quarter. Ø Revenue from Visa & Consular services stood at INR 364.4 Cr while Digital Services revenue was INR 73.5 Cr Ø Consol
Slide 11: Financial Highlights
Financial Highlights Revenue (INR Cr) EBITDA (INR Cr) & EBITDA Margin (%) PAT (INR Cr) & PAT Margin (%) Quarterly Highlights 15.1% 20.2% 10.5% 19.9% 437.9 437.9 87.2 33.6% 88.6 90.2% 66.3 45.9 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 Nine Months Highlights 14.5% 20.8% 11.9% 19.5% 1,229.1 255.
Slide 12: Segmental Growth – Q3 FY24
Segmental Growth – Q3 FY24 Visa & Consular (Rs Cr) Digital Services (Rs Cr.) 361.7 364.4 76.2 Revenue 4.4% 73.5 Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 12.8% 11.3% 81.6 9.4 60.8 8.6 34.2% PBT Q3 FY23 Q3 FY24 Q3 FY23 Q3 FY24 11
Slide 13: Segmental Growth – 9M FY24
Segmental Growth – 9M FY24 Visa & Consular (Rs Cr) Digital Services (Rs Cr.) 991.4 33.1% 11.5% 237.7 Revenue 40.9% 178.6 888.9 9M FY23 9M FY24 9M FY23 9M FY24 13.3% 12.7% 227.0 67.8% 31.6 135.3 22.7 39.2% PBT 9M FY23 9M FY24 9M FY23 9M FY24 12
Slide 14: Consolidated Quarterly Profit and Loss Statement
Consolidated Quarterly Profit and Loss Statement (Rs. in Cr) Q3 FY24 Q3 FY23 % Change Q2 FY24 Revenue 437.9 437.9 - 407.7 § Q3 FY24 operational revenue up Gross Profit 182.8 135.7 170.4 7.4% QoQ driven by continued (Gross Margin) 41.7% 31.0% 41.8% growth in Visa & Consular Operating expenses 39.4 32
Slide 15: Consolidated Nine Months Profit and Loss Statement
Consolidated Nine Months Profit and Loss Statement (Rs. in Cr) 9M FY24 9M FY23 % Change Revenue 1229.1 1067.6 15.1% Gross Profit 509.5 345.5 (Gross Margin) 41.5% 32.4% Operating expenses 107.4 92.0 EBITDA 255.4 154.5 65.3% (EBITDA Margin) 20.8% 14.5% 631 bps Other Income 24.9 14.3 Depreciation 19.9
Slide 16: Company Overview
RIS Company Overview INTERNATIONAL
Slide 17: Leading Tech Innovations Globally
Leading Tech Innovations Globally EMPOWERING THE DIGITAL FRONTIER Outsourced Passport & Visa Services National Banking Correspondent Services Biometrics & Identity Management Consular Services Services Citizen & Front-end Services Verification & Attestation Services e-Visa Services Contact Centre Se
Slide 18: Our competitive edge
Our competitive edge Expanding global network Ability to win marquee State-of-the-art digital infra contracts 2016-21: Europe, GCC & ME, South American Highly secure processes with Operating in 66 countries with a network of contracts capabilities to handle large 50,000 application centers globally
Slide 19: Corporate Structure
Corporate Structure Domestic Visa & Attestation Visa, Consular 100% 50.91% & e-governance BLS International FZE Business in BLS E-Services Ltd other countries International Subsidiaries/Partners* 100% 90.9% 100% UK USA UAE Russia Ecuador Algeria Canada China Starfin India Pvt Ltd Zero Mass Pvt Ltd B
Slide 20: Business overview
Business overview Broad suite of services for visa Visa processing processing and related services 1 Visa & Consular Value added (VAS) Holistic solutions for customer’s delight and convenience Services Consular services on behalf of Consular embassies/diplomatic missions Delivering front-end service
Slide 21: Visa processing & consular services
1 Visa processing & consular services Visa Processing Value Added Consular Leading global player in the visa Additional holistic services rolled out Services provided by the diplomatic outsourcing service industry, with with speed & agility and offered to mission of a country to citizens of that ove
Slide 22: Infrastructure of Global Standards
1.i Infrastructure of Global Standards 21
Slide 23: Infrastructure of Global Standards
1.ii Infrastructure of Global Standards 22
Slide 24: Digital Services – E-Governance services
2.i Digital Services – E-Governance services Uttar Pradesh Project § Rolled out citizen services centres on behalf of Uttar Pradesh Government § Citizen services of all Govt. departments of UP through ~20,000 Customer Service Centres (CSCs) opened through partners § ~250 G2C services being provided
Slide 25: Digital Services – Other citizen services
2.ii Digital Services – Other citizen services Starfin & Zero Mass – National Business Correspondent (NBC) Present in all § BLS has established a robust network of centers to deliver last mile banking services to unserved and underserved rural states & Union and remote populations as part of Financi
Slide 26: Reaching Length & Breadth of India
Reaching Length & Breadth of India 25
Slide 27: Huge opportunities across business segments
Huge opportunities across business segments Visa Processing Digital Services Growth in outsourcing of visa application worldwide Global § Most services offered by governments to consumers are still 22% 35% 50% semi-automated with low penetration of cutting-edge technologies Outsourced § Outsourcing
Slide 28: Industry Overview
RIS Industry Overview INTERNATIONAL
Slide 29: Visa Services to Grow, Driven by Rising Tourism
Visa Services to Grow, Driven by Rising Tourism Global Visa Service Market is expected to grow at a CAGR of 14.3% during 2022-28 Visa Market Size (US$ Mn) 10,000 7,667 8,171 The Travel & Tourism sector has 8,000 7,175 5,946 6,056 6,084 6,663 marked a robust bounce back to 5,801 6,000 4,924 pre-pande
Slide 30: Continued Recovery in Global Visa Volumes, Led by Europe
Continued Recovery in Global Visa Volumes, Led by Europe Ongoing recovery in Visa applications post pandemic Despite geo-political & economic turmoil in 4.50 4.01 3.98 Visa Applications (Mn) FRANCE SPAIN 4.00 ITALY Germany 2023, travel sector is recovering rapidly, Poland Portugal 3.50 signifying hu
Slide 31: Historical Financial Highlights
Historical Financial Highlights
Slide 32: Historical Financial Highlights
Historical Financial Highlights Revenue (₹ Crore) EBITDA (₹ Crore) PAT (₹ Crore) CAGR 240 CAGR CAGR 255 86% 204 51 % 1516 10 4 % 221 1229 850 107 111 478 40 50 FY21 FY22 FY23 9MFY24 FY21 FY22 FY23 9MFY24 FY21 FY22 FY23 9MFY24 Gross Profit (₹ Crore) EBITDA (Margin %) PAT (Margin %) 19.5 20.8 488 510
Slide 33: Strong Balance Sheet with significant Return Ratios
Strong Balance Sheet with significant Return Ratios Return on Capital Employed (%) Return on Equity (%) 33.7 30.8 28.1 25.4 22.4 19.5 11.0 10.9 FY21 FY22 FY23 9MFY24** FY21 FY22 FY23 9MFY24** Cash Balance Growth (₹ Crore) Net Worth (₹ Crore) 754 1039 556 803 407 570 285 460 FY21 FY22 FY23 9MFY24 FY2
Slide 34: Historical Consolidated P&L Highlights
Historical Consolidated P&L Highlights (Rs. in Cr) FY20 FY21 FY22 FY23 9MFY24 Revenue 786 478 850 1516 1229 Gross Profit 236 142 276 488 509 (Gross Margin) 30% 30% 32% 32% 41% Employee & Operating expenses 153 102 169 267 147 EBITDA 83 40 107 221 255 (EBITDA Margin) 11% 8% 13% 15% 21% Finance Cost 2
Slide 35: Historical Consolidated Balance Sheet
Historical Consolidated Balance Sheet (Rs. in Cr) Mar’22 Mar’23 Sep’23 (Rs. in Cr) Mar’22 Mar’23 Sep’23 Share Capital 10.2 41.2 41.2 Fixed Assets incl. CWIP 84.2 98.6 124.1 Shareholders' Funds 569.8 802.9 952.1 Intangible Assets 20.0 53.7 52.5 Deferred Tax (Net) 8.7 7.7 3.1 Non controlling Interest
Slide 36: Way forward
RIS Way forward INTERNATIONAL
Slide 37: Way forward
Way forward Organic growth § Focus on volume led growth across the two business segments § Follow an aggressive bidding strategy for new upcoming tenders 01 § Tap new geographies and countries for all the services under BLS; and explore further expanding business operations in similar kind of govern
BLS International Services — Q3 FY24 Earnings Presentation on 6ix