During the previous trading session, shares of BLS International Services, a provider of technology-enabled services, climbed 10.42% to register a historic high of ₹286.40. Notably, the company's shares have been consistently climbing since the beginning of the current month, resulting in an overall gain of nearly 17%, and in the last one month, they have risen by 30%.
In terms of yearly performance, the shares have experienced a stunning rally of 72%, building on their remarkable rally in both CY22 and CY21, during which they delivered returns of 250% and 121.91%, respectively.
BLS International Services has a market cap of ₹11,687 crore. The company is a global tech-enabled services provider with a strong track record of offering government-related services such as visa, passport, consular, citizen, e-governance, attestation, biometric, e-visa, and retail services since 2005.
The company works with over 46 client governments, including diplomatic missions, embassies, and consulates. The company now has an extensive network of more than 50,000 centers globally, as per the company website.
On July 31, the board of directors of BLS E-Services Limited, a subsidiary of BLS International Services Limited, approved fundraising through an initial public offering (IPO) of its equity shares.
However, the company did not disclose the size, nature, or other details of its subsidiary's primary stake sale. In mid-July, BLS E-Services announced the successful integration of UMANG (Unified Mobile Application for New-age Governance) Services into its digital platform, offering convenient access to over 500 e-governance services.
UMANG is a digital platform launched by the Government of India. It offers a convenient and secure way for citizens to access a wide range of government services and information.
BLS E-Services platform will provide a channel for citizens across India and overseas where they can avail major state and central e-governance services in multiple regional languages, the company said.
For the June-ending quarter, the company delivered robust performance. Its consolidated revenues rose 40.56% YoY to ₹383 crore, mainly driven by the strong recovery in visa application volumes and value-added services.
The operating profit stood at ₹80.05 crore in Q1 FY24, up 154.15% from ₹31.50 crore in Q1 FY23. Improvements in operational efficiencies and the cost of services offset the rise in employee costs, benefiting EBITDA margins, which expanded to 20.88%, up by 933 basis points YoY.
The company reported a 131.23% jump in consolidated net profit to ₹71 crore as compared to a net profit of ₹30.70 crore. On the financial ratio front, the company has zero debt. It has a RoE and RoCE of 52.95% and 58.84%, respectively, for the financial year ending 2023, Trendlyne data showed.
During the quarter, the Ministry of Foreign Affairs, European Union, and Cooperation (MAEUEC) of Spain awarded BLS International the global contract for visa application outsourcing for the second time in a row. Also, the company has signed its sixth contract with the Italian government in a row.
The company said this recent contract will cover all visa and legalisation services for the Italian Embassy in Cameroon. BLS International will manage and administer two Visa Application Centers (VACs) in Douala and Yaounde over a five-year period, the company added.
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