BLS International Services Ltd Management Discussions

GLOBAL ECONOMIC OVERVIEW

The global economy entered FY 2025-26 in cautious transition — more resilient than the headline risks suggested, yet more fragile than the headline numbers implied. A year shaped by escalating geopolitical tensions, sweeping tariff escalations and renewed supply-side shocks tested the durability of the post-pandemic recovery cycle.

Macroeconomic Backdrop

The global economy navigated a complex and shifting landscape — one defined by the gradual unwinding of postpandemic imbalances, recalibration of global trade flows amid sweeping tariff escalations and rising geopolitical flashpoints across multiple regions. Despite these pressures, the world economy demonstrated underlying resilience, underpinned by robust activity in emerging markets, stabilising inflation trajectories and continued fiscal and monetary policy support across major jurisdictions.

Regional Growth

Growth remains structurally uneven across regions. Advanced economies are projected to grow at a subdued 1.8%-1.9% through 2026-27, constrained by demographic pressures, elevated borrowing costs and sluggish industrial activity. The United States is expected to sustain stronger momentum at 2.3% in 2026, while the Euro Area remains modest at 1.1%-1.2%. China is projected to moderate to 4.4% in 2026 from 5.0% in 2025, before easing further to 4.0% in 2027, reflecting ongoing property sector adjustments and trade policy headwinds.

Emerging and Developing Asia remains the fastest-growing region according to IMF globally at 4.80%-4.90%, anchored by India at 6.50% in both 2026 and 2027. Sub-Saharan Africa records 4.30%-4.40%, with key markets — Nigeria, Kenya, Tanzania — remaining structurally supportive for cross-border mobility services.

Region/ Economy	2025	2026E	2027E
World Output	3.4%	3.1%	3.2%
Advanced Economies	1.9%	1.8%	1.7%
United States	2.1%	2.3%	2.1%
Euro Area	1.4%	1.1%	1.2%
China	5.0%	4.4%	4.0%
Japan	1.2%	0.7%	0.6%
Emerging Market & Dev. Economies	4.4%	3.9%	4.2%
India	7.6%	6.5%	6.5%
Middle East & Central Asia	3.6%	1.9%	4.6%
Sub-Saharan Africa	4.5%	4.3%	4.4%

Risks and Outlook

The global outlook remains cautiously resilient but increasingly exposed to downside risks. Trade policy volatility, the ongoing Middle East conflict and geoeconomic fragmentation — through export controls on critical minerals and supply chain diversification — introduce near-term volatility. The IMF projects global growth below pre-pandemic historical averages through 2027, contingent on geopolitical disruptions staying contained and trade conditions stabilising. Central banks in advanced economies are expected to moderate rates where disinflation has been achieved, supporting a gradual improvement in global financial conditions over the medium term.

INDIAN ECONOMIC OVERVIEW

India surpassed Japan to become the worlds fourth-largest economy in nominal GDP terms in FY 2025-26 — and is projected to become the third largest by 2028, overtaking Germany.

GDP and Sectoral Performance

Indias real GDP grew 7.6% in FY 2025-26 — accelerating from 7.1% in FY 2024-25 — while nominal GDP expanded 8.6%, reaching f345.47 lakh crore. Growth was underpinned by healthy private consumption, sustained infrastructure investment, and strong momentum across services and industry.

Indicator	FY 2024-25	FY 2025-26
Real GDP Growth	7.1%	7.6%
Nominal GDP (f lakh crore)	318.07	345.47
Real GVA Growth	7.3%	7.7%
Private Final Consumption Expenditure Growth	5.8%	7.7%
GFCF Growth	6.4%	7.1%
Trade, Hotels, Transport & Comm. GVA Growth	6.6%	10.1%
Financial, Real Estate & Prof. Services	10%	9.9%
Services Share of GDP	54%	56.4%

Macroeconomic Stability and Financial Sector Strength

Indias macroeconomic fundamentals remained resilient during FY2025-26. Foreign exchange reserves touched an all-time high of USD 728.49 billion earlier in FY2025-26, before moderating to USD 691.1 billion as at end-March 2026, reflecting sustained capital inflows and prudent reserve management by the Reserve Bank of India. Gross FDI inflows reached USD 88.29 billion during April 2025-February 2026, surpassing the full-year FY2024-25 inflows of USD 80.6 billion and reaffirming continued investor confidence. The current account deficit remained contained at around 1.0% of GDP, while the banking sector remained resilient, with the gross NPA ratio improving to 2.0% as of March 2026, supported by healthy credit growth and strengthening asset quality.

Outlook

India is projected to remain the fastest-growing major economy in FY 2026-27, with the IMF raising its real GDP forecast to 6.5% and the RBI projecting 6.9%. Real GDP growth was broad-based through FY 2025-26 — reflecting consistent sectoral momentum. An interim India-US trade deal in February 2026 reduced effective tariff duties from 50% to 18%, reducing a key near-term headwind. India is projected to become the worlds third-largest economy by 2028, with the Viksit Bharat 2047 vision targeting a GDP of USD 30-40 trillion — reinforcing structural demand for cross-border mobility and digital citizen services, both core to BLS Internationals business.

GLOBAL TRAVEL AND TOURISM INDUSTRY

OVERVIEW

The global travel and tourism industry delivered a landmark performance in CY2025, transitioning decisively from postpandemic restoration into structural expansion. Encompassing lodging, transportation, attractions, dining, and ancillary services, the sectors growth is being driven by rising cross-border mobility, accelerating digitalisation, and deepening global connectivity — creating a highly favourable operating environment for specialised players in visa outsourcing and consular services.

Its total contribution to global GDP reached a record USD 11.6 trillion — 9.8% of the world economy — growing at 4.1%, nearly 50% faster than overall global economic growth of 2.8%, making Travel and Tourism the worlds fastest-growing major sector.

The global Travel and Tourism industry generated total visitor spending of USD 7.65 trillion in CY2025 — comprising USD 5.63 trillion in domestic spending and USD 2.02 trillion in international visitor spending. International tourism receipts reached USD 1.9 trillion, growing faster than arrival volumes (+5% vs +4%), confirming the industry is extracting higher yield per traveller even as volume growth normalises. Total tourism export revenues including passenger transport reached USD 2.2 trillion.

THE GLOBAL TOURISM RECOVERY ARC - 2019 TO 2025

International tourist arrivals reached 1.465 billion in 2024 — essentially recovering to the 2019 peak — before breaking through to a new record of 1.523 billion in 2025, up 4% year-on-year. CY2025 marks the first full post-pandemic year, conclusively above the 2019 high. Demand is now self-sustaining — driven by normalised mobility, emerging market outbound growth, and the structural rise in experiential travel, rather than post-pandemic pent-up demand.

TWO-YEAR ARC

2024 closed the recovery gap; 2025 broke through to a genuine new record. The transition from restoration to structural expansion is now complete. Annual growth has normalised from the V-shaped rebound of 2022-23 to a trend-based expansion of 3-4% anchored by GDP growth, capacity additions, and visa facilitation.

REGIONAL PERFORMANCE - ARRIVALS AND RECOVERY VS. 2019

Recovery patterns remained structurally uneven across regions through 2024 and 2025. The Middle East led in absolute recovery terms — reaching 39% above 2019 levels by 2025 — while Africa posted the fastest regional growth rate in 2025 at 10%, reaching 17% above its 2019 baseline. Asia-Pacific, despite leading aviation RPK growth, recorded 8% arrival growth but remained approximately 10% below 2019 — representing the sectors largest and most commercially significant catch-up opportunity.

Region	2024 Arrivals (Mn)	vs. 2019	2025 Growth	2024 Global Share	Status
Europe	747	+1%	~5%	51.0%	Recovery complete
Asia-Pacific	316	-13%	+8%	21.6%	Catch-up in progress
Americas	213	-3%	~4%	14.5%	Near-recovery
Middle East	95	+32%	~7%	6.5%	Strongest recovery
Africa	74	+7%	+10%	5.0%	Fastest 2025 growth

Asia-Pacific — Largest Catch-Up Opportunity: 316 Mn arrivals in 2024, still 13% below 2019, with +8% growth in 2025 and 34.5% share of global aviation RPK.

Africa — Fastest Growing Region in 2025: 74 Mn arrivals in 2024, +7% above 2019, reaching 17% above 2019 by 2025. BLS has an operational presence across Africa.

Middle East — Absolute Recovery Leader: 95 Mn arrivals in 2024, +32% above 2019, reaching 39% above 2019 by 2025.

Europe — Dominant Destination Region: 747 Mn arrivals in 2024, 51% of global arrivals, recovery complete. Core BLS revenue region.

GLOBAL AIR PASSENGER MARKET

Global full-year air passenger demand in 2025, measured in Revenue Passenger Kilometres (RPK), rose 5.3% year-on- year, while Available Seat Kilometres (ASK) expanded 5.2% to — both at historic highs. The Passenger Load Factor (PLF) reached a record of 83.6%, reflecting structural tightening of the supply-demand balance as aerospace supply chain disruptions delayed new aircraft deliveries.

Asia-Pacific: The Dominant Growth Engine

Asia-Pacific accounts for 34.5% of global RPK — the largest regional share — and delivered total RPK growth of 7.8% in 2025, with international RPK expanding at an even faster 10.9%, both comfortably above the global averages of 5.3% and 7.1% respectively. The regions international PLF reached 84.4% in 2025, the highest among all regions.

This momentum carried into 2026, with Asia-Pacific carriers recording 11.5% RPK growth in March 2026 and a record international PLF of 91.2% — the highest of any region globally. The Europe-Asia corridor surged 29.3% in March 2026, partly reflecting traffic diverted from disrupted Middle Eastern hubs. For BLS, Asia-Pacific remains the sectors largest catch-up opportunity and this sustained outperformance reinforces both the scale of addressable demand and the strategic priority of the region.

Africa: The Fastest-Accelerating Market

Africa led all regions in total RPK growth in 2025 at 9.4% — the highest annual growth rate globally — with international RPK expanding 7.8% and PLF improving 0.7 percentage points to 75.3%. This outperformance accelerated sharply into 2026, with African carriers posting 20.6% RPK growth in March 2026 — more than nine times the global average of 2.1% — a trend sustained consistently since August 2024. International capacity from Africa grew at just 4.2% against demand growth of 19.2% in March 2026, pushing PLF up nearly 10 percentage points to 77.7% — a record high for the region, signalling structural demand expansion well ahead of supply. BLSs established operational presence across Africa positions the Company directly within this growth corridor, with service demand expanding in step with rising cross-border passenger flows.

Middle East: Geopolitical Disruption and Traffic Diversion

The Middle East delivered solid full-year 2025 performance — total RPK growth of 6.8% and international RPK growth of 6.7%, with PLF improving 0.7 percentage points to 81.5% and 81.6% respectively — before experiencing an abrupt reversal in early 2026. In March 2026, traffic carried by Middle Eastern airlines contracted 58.6% year-on-year, with international RPK declining 60.8% and capacity falling 54.7%, following widespread airspace closures linked to heightened regional geopolitical tensions. PLF fell to 68.3% — the only region globally to record a load factor decline. Global capacity is expected to partially recover from May 2026, though Middle East-serving seats are projected to remain 18.3% below prior year levels. For BLS, this disruption has compressed near-term demand from applicants transiting Gulf hubs — particularly from the Indian subcontinent — and remains a key variable for the Companys revenue outlook in the current financial year.

International Air Passenger Market

International full-year demand in 2025 increased 7.1% compared with 2024 — outpacing overall market growth of 5.3% and confirming that cross-border travel remains the primary driver of incremental aviation demand. Capacity on international routes grew 6.8%, while the full-year international PLF reached a record 83.5%.

GROWTH DRIVERS

The sectors CY2025 expansion was underpinned by demand-side and supply-side forces that are structurally durable — not cyclical. Each of these forces directly expands the addressable market for BLS Internationals services.

Rising incomes & expanding middle class

Rising disposable incomes across Asia-Pacific and emerging markets brought more households into global travel. Indias emergence as the 10th largest outbound spending market globally — with USD 35 billion in 2024 — exemplifies this trend.

Digitalisation of travel booking

Simpler, faster, increasingly paperless processes lowered the practical barriers to international travel — converting latent demand into actual travel. This is directly reflected in the 7.1% year-on-year growth in international RPK in CY2025.

Employment generation and consumer confidence

The sector supported 366 million jobs globally in CY2025 — 1 in 9 jobs worldwide. One in every three new jobs created globally was attributable to Travel and Tourism.

Airport infrastructure and aviation investment

Supply-side investment enabled the aviation ecosystem to absorb rising demand. Progress in sustainable aviation technology further supported the industrys capacity to grow responsibly over the long term.

India — Top 10 Global Outbound Spending Market

USD 35 billion in outbound travel spending in 2024 - 10th largest globally - Rising middle class and expanding international connectivity are driving sustained outbound travel demand — directly increasing visa application volumes for BLSs consular processing network.

Investment in Aviation and Tourism

Global passenger traffic is forecast to reach 10.2 billion in 2026, with ACI Worlds long-term outlook projecting traffic to more than double by 2045 to 18.8 billion passengers at a 3.4% CAGR — demanding accelerated investment in airport infrastructure, airspace capacity, and operational resilience across all regions. Dubais Al Maktoum International Airport expansion — a USD 35 billion commitment — exemplifies the scale of this investment, targeting 150 million passengers by 2032 and 260 million at full capacity.

Fleet Expansion and Aircraft Delivery Volumes

Global commercial aircraft deliveries reached a seven-year high in 2025 — 1,411 aircraft delivered, up 25% on 2024 — with 2,175 new aircraft ordered during the year, a 50% year-on-year increase. At the start of 2026, approximately 17,000 unfilled orders were on the books — a backlog exceeding 12 years of production at current rates. Boeings Commercial Market Outlook projects airlines will need over 44,000 new aircraft over the next 20 years, valued at USD 8.5 trillion.

Asia-Pacific Catch-Up and Emerging Market Outbound Growth

Asia-Pacific, projected to reach 3.6 billion passengers in 2025, remains the largest global aviation market yet continues to recover — with several key sub-markets still approximately 10% below 2019 levels, indicating substantial structural headroom. Rising middle-class populations, expanding low-cost carrier networks, and deepening bilateral air service agreements are accelerating outbound travel from historically underleveraged markets.

CHALLENGES

Despite this strong performance, the industry continues to navigate meaningful structural headwinds. Geopolitical uncertainties, fluctuating fuel prices, and evolving immigration policies continue to create friction in international travel flows. Persistent aircraft delivery delays and capacity constraints are limiting airlines ability to scale operations in line with demand. Rising labour costs and sustainability compliance requirements — particularly around Sustainable Aviation Fuel mandates — are adding structural cost pressure across the aviation value chain. Additionally, gateway city congestion, accommodation strain, and seasonal crowding are emerging policy concerns for destination governments.

These challenges, while not undermining the sectors long-term trajectory, introduce near-term volatility into the pace and pattern of growth across different markets and corridors.

OUTLOOK

The long-term outlook for global travel and tourism has shifted from post-pandemic rebound to structural expansion. The World Travel & Tourism Council (WTTC) projects the sectors GDP contribution to reach USD 16.5 trillion by 2035 — equivalent to 11.5% of global GDP — up from USD 11.6 trillion in 2025, implying sustained real growth of approximately 3-4% annually over the decade.

2025 Quarterly Growth Pattern — Normalisation Confirmed

CY2025 arrivals data confirmed that growth has matured into a normal seasonal cycle, with all four quarters delivering positive expansion within the 3%-5% guided range:

International Tourist Arrivals Forecast — 2026 to 2030

UN Tourism projects 3%-4% international arrival growth in 2026, with the baseline forecast at approximately 1.576 billion — rising to an estimated 1.788 billion by 2030. The baseline is intentionally close to the old pre-pandemic "1.8 billion by 2030" trajectory, but with wider uncertainty bands reflecting materially tougher geopolitical and macro risk.

IATAs long-term demand projections forecast global RPKs to more than double by 2050 — reaching 20.8 trillion under the mid-range scenario from 9 trillion in 2024, at a CAGR of 3.1% — driven by rising middle-class populations across Asia, Africa, and Latin America. For BLS International, these tailwinds are directly translatable into sustained demand: rising arrivals drive visa and consular application volumes, growing air traffic expands the addressable traveller base, and the sectors deepening economic footprint reinforces the long-term case for outsourced government-facing services.

BLS Internationals strategic alignment

Rising international arrivals, Africas accelerating growth (where BLS has operational presence), Asia-Pacifics structural catch-up (where visa demand is highest), and Indias emergence as a top-10 global outbound market — together represent a convergence of structural tailwinds uniquely positioned to benefit BLSs core and adjacent service lines.

OVERVIEW

The visa and consular outsourcing industry has entered a phase of structural acceleration — governments worldwide are increasingly mandating specialist third-party providers to manage consular operations, reduce operational overhead, and deliver a superior applicant experience. What was once a niche administrative function has evolved into a multi-billion dollar global industry, underpinned by rising cross-border mobility, the digitalisation of government services, and the growing complexity of immigration regimes.

The total global visa services market — encompassing outsourced application processing, biometric services, document verification, courier, and value-added services — is currently valued at approximately USD 3.66 billion in CY2025, growing at a CAGR of 14.3% through 2033. The outsourced segment is growing faster, valued at approximately USD 3.2 billion in CY2025 and projected to reach USD 5.1 billion by 2033. The outsourced share of total applications has risen steadily from 22% in 2010 to 35% in 2021 to 38% in CY2024, and is projected at 50% by CY2029 — reflecting an accelerating structural shift towards outsourcing adoption globally. BLS International holds a 17% share by value and over 10% by volume in the global visa outsourcing market, excluding the United States.

MARKET DEFINITION NOTE

The USD 3.66 Bn / 14.3% CAGR figure represents the total visa services market (all segments). The USD 3.2 Bn / USD 5.1 Bn figure represents the outsourced-only sub-segment, sourced from a separate research series. These are complementary data points, not alternatives.

GLOBAL CONSULAR SERVICES MARKET

Consular outsourcing represents the highest-growth adjacent market within BLSs core service domain. The total global consular services market — encompassing passport, notarisation, attestation, legalisation, and related citizen services — was valued at USD 8.7 billion in 2024 and is forecast to reach USD 16.5 billion by 2033, growing at a CAGR of 7.2%. Asia- Pacific is projected to register the highest regional CAGR of 9.1% between 2025 and 2033.

Consular outsourcing is compounding at 32% annually from USD 156 million in CY2024 to a projected USD 634 million by CY2029 — the fastest-growing sub-segment within the visa and consular services value chain. This growth is driven by technological advancements in biometric authentication, personalised premium service offerings, the rise of subscription- based travel services, and a growing reliance on specialist providers for services that governments previously handled inhouse. Asia-Pacific and the Middle East account for the largest share of incremental consular outsourcing demand, driven by rising outbound mobility and deepening bilateral diplomatic relationships.

GLOBAL VISA OUTSOURCING SERVICES MARKET - BY TYPE OF VISA

Visa Category	CY2024 Share	Growth Trend	Key Driver
Tourist	65%	CAGR 15.2% T	Rising leisure travel; e-visa adoption
Study	15%	CAGR 10.3%	Sustained overseas education demand
Business	10%	CAGR 9.5% ^ 13.5% T	Corporate travel revival; trade expansion
Work	9%	Recovery 4.6% T	Skill-based migration growth
Others	1%	-	Diplomatic, transit, special categories

Tourist visas accounted for the largest share of the global outsourced visa market at 65% in CY2024, supported by the sustained recovery in international leisure travel and increasing adoption of e-visa services. Study visas represented 15% of the market, reflecting continued demand for overseas education, while business visas accounted for 10%, driven by the revival in corporate travel and expanding cross-border trade. Work visas contributed 9%, supported by rising skill-based migration, while the remaining 1% comprised diplomatic, transit and other specialised visa categories.

MARKET EVOLUTION - HISTORICAL AND PROJECTED

Metric	CY2019	CY2024	CY2029P
Global Visa Outsourcing Market (USD Bn)	1.2	1.7	3.2
Global Consular Outsourcing Market (USD Mn)	62	156	634
Total Global Visa Applications (Mn)	133	121	140
Outsourced Share (%)	27%	38%	50%
Outsourced Applications (Mn)	35	46	70

The structural shift is reflected clearly in historical data. Despite total visa applications contracting from 133 million in CY2019 to 121 million in CY2024 due to pandemic disruption and the residual contraction in some corridors, the outsourced share grew from approximately 27% to 38% over the same period — confirming that outsourcing adoption is a structural secular trend, not volume-dependent. The market is projected to return to 140 million total applications by CY2029 while the outsourced share reaches 50%, effectively doubling the absolute outsourced volume from ~35 million to ~70 million applications.

RESIDENCY AND INVESTMENT MIGRATION

BLS International participates in the structurally growing investment migration segment through its wholly owned subsidiary, Citizenship Invest, acquired in October 2024 for Rs. 260 Crores (approximately USD 31 million). Founded in 2009 and headquartered in Dubai, Citizenship Invest has served more than 1,800 clients across 85 nationalities, maintaining a 99% application success rate against an industry average of approximately 80%.

INVESTMENT MIGRATION - STRUCTURAL TAILWINDS

The global investment migration industry surpassed USD 30 billion in annual market value during 2024, maintaining a steady 12% growth rate year over year, with over 80 countries now offering some form of investment migration programme. Henley & Partners Private Wealth Migration Report 2025 recorded 142,000 millionaire relocations in 2025 — a new high — with forecasts pointing to 165,000 in 2026, the largest migration of wealth on record.

The investment migration market enters 2026 facing a more uncertain regulatory environment, with the European Union hardening its stance on citizenship-by-investment programmes and the United States imposing travel restrictions on citizens of select nations operating such schemes. These developments reinforce the importance of jurisdictional diversification and the sustained demand for specialised advisory and processing expertise — precisely the capabilities that Citizenship Invest delivers.

OUTLOOK

The total global visa market is projected to reach USD 7.7 billion by CY2029. The outsourced segment is forecast to grow at a 14% CAGR, with outsourced visa applications reaching 70 million at an 8% CAGR by CY2029. The outlook is further shaped by the adoption of AI and automation for processing efficiency, biometric integration across application centres, the expansion of e-visa systems, and premium service differentiation as a growth driver. Outsourcing players that deliver efficiency, reduce government costs, and elevate the applicant experience are structurally well-positioned in this expanding market.

COMPANY OVERVIEW

For two decades, BLS International Services Ltd. has built its reputation on a singular mandate — making governments more accessible to their citizens. Operational since 2005, the Company today stands as the worlds second-largest outsourced visa and consular services provider, operating across 80+ countries and serving 46+ client governments across Europe, Asia, Africa, the Americas, and the Middle East. Since inception, BLS has processed over 490 million applications globally, reflecting the scale, operational depth, and long-standing trust the Company has established with governments and applicants worldwide.

Beyond the breadth of its global footprint, BLS is distinguished by the trust and responsibility embedded in its mandate. The Company operates at the sovereign interface — where a governments obligations to its citizens and the global community are translated into a seamless service experience. From visa processing and biometric enrolment to passport renewals, document attestation, and citizenship and residency-by-investment facilitation, BLS manages processes that are administratively complex, security-sensitive, and profoundly personal to the individuals it serves.

Domestically, BLS E-Services extends this philosophy into Indias grassroots, delivering Business Correspondent, E-Governance, Assisted Digital Services and Loan Distribution to citizens in urban and rural communities alike- turning last mile access into a scalable, technology driven business ecosystem.

DIVERSIFIED BUSINESS MODEL

BLS International operates through two core business segments: (a) Visa and Consular Services, which constitutes the mainstay of the Companys revenue and profitability, accounting for approximately 90% of consolidated EBITDA in FY26; and (b) Digital Services, housed primarily under the subsidiary BLS E-Services Limited (in which BLS International holds 51%), which is a high-growth segment offering Business Correspondent, e-Governance, Assisted E-Services and Loan Distribution.

Segment	Key Services	FY26 Revenue	EBITDA Margin	YoY Revenue Growth
Visa & Consular Services	Visa processing, biometrics, document attestation, passport renewals, e-Visa	1,840 Cr	40.1%	+11.3%
Digital Services	Business Correspondent, e-Governance, Assisted E-Services, Loan Distribution	1,158 Cr	9.0%	+114.4%

VISA AND CONSULAR SERVICES

The Visa & Consular Services segment offers comprehensive outsourced visa processing, document verification and attestation, biometric enrolment, passport renewals, e-Visa solutions, and related value-added services (VAS). The segment serves 46 client governments including Spain, India, Italy, Germany, the United States, UAE, Slovakia, Cyprus, and the Czech Republic, among others. Key contracts include the global visa outsourcing contracts for Spain and Slovakia, the Ministry of External Affairs (India) contract for Indian Visa Application Centres in China, and key visa service mandates for Italy and Cyprus.

In FY26, the segment processed 44.1 Lakh applications (vs. 37.5 Lakh in FY25, +17.6% YoY), with net revenue per application growing 13.7% to Rs. 3,302. EBITDA margins expanded substantially from 14.6% in FY22 to 40.1% in FY26, reflecting the Companys successful transition from a partner-run model to a self-managed model, investments in technology, and increasing operational leverage.

DIGITAL SERVICES - BLS E-SERVICES LIMITED

BLS E-Services Limited is a fast-growing subsidiary that extends BLS Internationals government-to-citizen (G2C) proposition into Indias digital landscape. The segment provides essential banking products and financial services to rural and remote communities under the Government of Indias Financial Inclusion Program (Business Correspondent), e-Governance services (Aadhaar enrolment, PAN, birth and death certificates, property registrations), Assisted E-Services (PoS solutions, ticketing, assisted e-commerce), and loan distribution (personal, business, and other credit products through Aadifidelis Solutions). As of FY26, the Digital Services segment generated revenues of Rs. 1,158 Crores, reflecting a 114.4% YoY growth, significantly accelerated by the consolidation of Aadifidelis Solutions.

Given that BLS E-Services Limited is a separately listed entity, further details of the business and industry can be assessed in its annual report available on its website as well as stock exchanges.

KEY BUSINESS HIGHLIGHTS

Contract Wins & Renewals

• UIDAI Work Order of 2,055 Crores for Aadhaar Seva Kendras (ASKs)

• 3-Year Visa Outsourcing Contract from MEA, India — Indian VACs in China

• 5-Year Global Visa Outsourcing Contract from the Slovak Republic

• Renewal of Attestation & Apostille Services Contract with MEA, India

• Visa Outsourcing Contract from Embassy of Cyprus in Russia, China, South Africa, Kazakhstan, and key SE Asian countries

Domestic Digital Expansion

• Bihar Government project for Permanent Enrolment Centres (PEC) for Aadhaar worth 100 Crores

• Consolidation of Aadifidelis Solutions (Loan Distribution), accelerating Digital Services revenue by 114.4% YoY

• Rapid expansion of BC and e-Governance touchpoints across underserved regions

BUSINESS INTEGRATION

• Successfully integrated iDATA (Turkey) for consular services.

• Successfully integrated Citizenship Invest (UAE) for immigration services.

GROWTH STRATEGY - GLOBAL VISA & OUTSOURCED CONSULAR SERVICES

BLS International Services Ltd. is a leading global Government-to-Citizen (G2C) services provider with over two decades of experience, operating across 80+ countries in partnership with 46+ client governments through an extensive Visa Application Centre (VAC) network and integrated biometric and identity processing infrastructure.

STRATEGIC PRIORITIES

Contract renewal and aggressive bidding

With over USD 1-2 billion in sovereign contracts due for renewal over the next two years, BLS is positioned to capitalise through an Al-augmented bidding framework encompassing automation, biometrics, workflow digitisation, and data- security infrastructure.

Geographic expansion into underpenetrated markets

BLS is actively entering high-growth markets where demand for visa outsourcing services is growing or untapped. Recent launches across China, Slovakia, Cyprus, Latin America and Africa have further strengthened the Companys global Visa Application Centre (VAC) network and expanded its international presence.

I Service diversification and value-added offerings

Beyond core visa processing, BLS is expanding into attestation, consular support, biometric citizen services, and customised digital offerings — driving deeper government engagement, longer contract relationships, and higher revenue per application.

Investor migration and global mobility

Through Citizenship Invest, a Dubai-based Citizenship Based Investment/ Residency Based Investment advisory platform, BLS has entered the fast-growing investor migration segment — offering end-to-end residency and citizenship pathways for high-net-worth individuals and positioning itself as an integrated global mobility solutions provider.

Technology investment and operational resilience

Continued investment in AI, biometrics, and automation improves scalability, processing efficiency, and customer experience. Parallel focus on cybersecurity, regulatory compliance, and data protection ensures operational resilience across sovereign mandates.

I Selective M&A and strategic partnerships

BLS actively evaluates acquisitions and partnerships that complement existing capabilities, deepen market presence, and create long-term shareholder value — anchored by consistent service delivery, operational transparency, and technology-driven innovation.

OPERATIONAL EXCELLENCE & TECHNOLOGY

OPERATIONAL EXCELLENCE

FY 2025-26 was a year of accelerated global expansion, sovereign contract wins, and technology infrastructure investment across BLS Internationals operations. The Company significantly extended its Visa Application Centre (VAC) network through new government mandates, geographic penetration, and a deliberate transition of select operations from partner-managed to directly operated models — improving operational control, service consistency, and margin efficiency.

VAC NETWORK EXPANSION AND GLOBAL CONTRACT ROLLOUTS

Expanded BLS Internationals global Visa Application Centre (VAC) network through strategic government mandates and operational expansion across key international markets.

During FY 2025-26, BLS International continued to strengthen its global VAC network through new government mandates and the expansion of visa, consular and attestation services across key international markets, reinforcing its global presence and enhancing service accessibility.

Slovak Republic — 5-year global mandate 80+ countries

Following the award of a five-year global visa outsourcing mandate, BLS commenced the rollout of Visa Application Centres across multiple international markets, further strengthening its global service network.

MEA India — 3-year China VAC mandate Beijing, Shanghai, Guangzhou

BLS established three Indian Visa Application Centres in Beijing, Shanghai and Guangzhou under a three- year mandate from the Ministry of External Affairs, India, strengthening its presence in the strategically important Chinese market.

Embassy of Cyprus — broadest single-year rollout

Russia, China, Kazakhstan, SE Asia, SubSaharan Africa

BLS expanded its Cyprus visa operations across Russia, China, South Africa, Kazakhstan and key East & Southeast Asian markets, further strengthening its international visa service network.

Spain VAC - Operational Transition Bolivia

During FY 2025-26, BLS transitioned and rolled out Spain visa operations across Bolivia, Senegal, Cote dIvoire, Mauritania, Mali, Bahrain, The Gambia, Ireland, Uzbekistan, etc. from a partner-operated model to its own management.

COMPLEMENTARY EXPANSIONS

During FY 2025-26, BLS International expanded its global delivery network by opening new visa and consular service centres across Asia, the Middle East, Africa and Latin America. The Company established new Indian Visa Application Centres in China under its Ministry of External Affairs mandate, inaugurated a South Korea Visa Application Centre in Hyderabad, and launched Poland visa outsourcing services in the Philippines.

The Company also expanded its Spain and Slovakia visa operations across multiple international markets, strengthened its Cyprus visa service footprint, and enhanced its UAE attestation and document legalisation network through new service locations across India and Russia, further improving accessibility and convenience for applicants. These strategic expansions reinforce BLS Internationals global presence, deepen its partnerships with client governments, and strengthen its ability to deliver secure, efficient and accessible visa, consular and citizen services across key international markets.

TECHNOLOGY EXCELLENCE

During FY 2025-26, BLS International strengthened its technology infrastructure and digital operating architecture across global VAC operations, focusing on automation, security, scalability, regulatory compliance, and applicant experience. Technology investment was structured around four strategic pillars, each directly contributing to operating leverage, margin improvement, and revenue quality.

AI-led identity and fraud prevention

• Advanced facial recognition and liveness detection across all VAC portals

• ISO/IEC 30107-aligned security preventing spoofing, deepfakes, and identity fraud

• AI-powered KPI dashboards for real-time compliance tracking and workload optimisation

• Bot-resistant appointment access ensuring equitable applicant reach

End-to-end digital workflow automation

• AI agents for instant visa document verification deployed across centres

• Automated appointment, waitlist, and application management systems

• Integrated workflow tools reducing processing turnaround times materially

• Reduced manpower intensity; improved throughput per visa application

Secure, scalable, compliant architecture

• GDPR-aligned data protection and secure document handling across all markets

• Multi-country infrastructure designed for peak-load resilience at national scale

• Government-grade security, data privacy, and regulatory compliance frameworks

• End-to-end data lifecycle management: classification, retention, and disposal

Purpose-built digital platforms

• WCAG-compliant interfaces expanding applicant accessibility and reach

• Real-time travel document status updates via chatbot and NLP voice assistants

• OCR-enabled remote application processing from home or office

• Technology-enabled value-added services (VAS) driving revenue quality and mix

Global Reach and Sovereign Trust

With a presence across 80+ countries and partnerships with 46 client governments, BLS has reinforced its standing as a dependable outsourcing partner for sensitive, citizen-facing government work. The successful renewal of the Attestation & Apostille Services contract with Indias Ministry of External Affairs, alongside new wins such as the Indian Visa Application Centres across China, underscores the Companys established credibility and the trust it commands among sovereign clients.

• Long-Term Contracts and Revenue Visibility

Most of the Companys government contracts run for five to ten years on an exclusive basis, ensuring no overlap with competing vendors within a given region and providing strong visibility into future revenue and profitability. New long-term mandates secured in FY26, including the five-year global contract from the Slovak Republic and the expanded Cyprus mandate across multiple geographies, extend this visibility further into the coming years.

• Asset-Light Operations and Execution Speed

All of the Companys visa application centres operate on leased premises, keeping the business capital- light and allowing new centres to be deployed quickly in response to contract wins. This operational agility, demonstrated through the rapid rollout of new centres in FY26, continues to be a meaningful advantage when bidding for time-sensitive government tenders.

• Technology Leadership and Data Security

BLSs competitive strength is increasingly underpinned by its technology stack — spanning Al-led identity verification, liveness and anti-spoofing checks aligned with ISO/IEC 30107, and GDPR-aligned data handling — which strengthens both processing accuracy and government confidence in the Companys ability to safeguard sensitive citizen data. These capabilities are increasingly cited as a differentiator in financial bidding processes, reinforcing the Companys eligibility for technically demanding sovereign mandates.

OPPORTUNITIES

Aadhaar and National-ID Adjacencies Beyond UIDAI

Having proven execution on the UIDAI Aadhaar Seva Kendra order, BLS is positioned to bid for similar state-level and national identity-infrastructure mandates beyond Bihars Permanent Enrolment Centres, as more Indian states and potentially other countries digitise citizen-identity programmes

Re-tender Wave Worth USD 1-2 Billion

A cluster of the Companys major visa-outsourcing contracts come up for renewal over the next two years, representing an estimated USD 1-2 Billion opportunity. Because BLS already holds operational incumbency, data history, and embassy relationships on most of these mandates, it starts the renewal cycle from a position of strength rather than having to win cold.

• . Monetising the Digital Services Platform Beyond Scale

Digital Services revenue grew 114.4% in FY26, but EBITDA margin in the segment compressed to 7.0% from 11.1%, reflecting the cost of rapidly scaling touchpoints and integrating new businesses. The opportunity in FY27 and beyond is to convert that scale into margin — cross-selling loan distribution, e-governance, and assisted e-commerce services through the same 1,55,000+ touchpoint network rather than running each as a separate cost line.

• . Consular and Citizen Services as a Second Growth Vector

Beyond visas, services such as passport renewal, document attestation, apostille, and notarial work are structurally less cyclical than tourist-visa volumes and carry their own renewal economics, as evidenced by the MEA Attestation & Apostille contract renewal. Expanding this category across more client governments diversifies BLSs revenue away from pure travel-cycle sensitivity.

• , Geographic Diversification Through New Embassy Wins

The award of Indian Visa Application Centres across China for the Ministry of External Affairs, the five- year Slovak Republic global contract, and the Cyprus mandate spanning Russia, China, South Africa, Kazakhstan and Southeast Asia together open multiple new country corridors. Each new corridor is also a foothold from which BLS can pitch adjacent consular and digital services to the same client government.

• . AI and Automation as a Bidding Differentiator

As more tenders explicitly weight technical and security capability, BLSs continued investment in AI- driven document verification, fraud-resistant waitlisting, and automated workflow management can be used as a differentiator in financial bidding processes — turning a cost centre into a basis for winning higher-value mandates rather than competing purely on price.

THREATS

Margin Pressure in the Scaling Digital Segment —
Risk: Digital Services EBITDA margin fell to 7.0% in FY26 from 11.1% in FY25 even as revenue more than doubled. If newly acquired and rapidly scaled businesses such as Aadifidelis and the BC network continue to be integrated at lower near-term profitability, blended consolidated margins could come under continued pressure before synergies are realised.	Mitigation: Management is targeting cross-sell across the combined touchpoint network and centralisation of back-office and technology costs across the Digital Services businesses, aiming to lift segment margins as integration matures rather than treating each acquisition as a standalone cost centre.
Concentration Risk from Large Single Contracts —
Risk: A meaningful share of incremental FY26 growth is linked to a small number of large mandates — notably the UIDAI Aadhaar Seva Kendra order and the consolidation of Aadifidelis. Any delay, scope reduction, or non-renewal of a single large government contract could have an outsized effect on growth and margin trajectories relative to a more granular, broadly distributed contract book.	Mitigation: BLS continues to diversify its government-client base across geographies and service lines — visa, consular, identity infrastructure, and digital/BC services — so that no single sovereign mandate determines overall Company performance, while also bidding aggressively for the next wave of contract renewals to keep the pipeline broad.
Working-Capital and Integration Risk from Inorganic Growth N
Risk: The Companys strategy of continued M&A — exemplified by the Aadifidelis consolidation in FY26 — introduces integration risk: differing data systems, compliance regimes, and working-capital cycles across acquired entities (particularly in lending and BC operations, which do not enjoy the same upfront-fee, negative-working-capital characteristics as the core visa business) could dilute the Groups historically strong cash conversion.	Mitigation: BLS evaluates targets for strategic fit with its core G2C and citizen-services thesis before acquisition, integrates finance and technology functions centrally post-acquisition, and continues to report segment-level financials to allow early identification of any subsidiary under cash or compliance strain.
Cybersecurity and Data-Protection Exposure at Greater Scale ,
Risk: As BLSs digital footprint widens — spanning biometric data, Aadhaar enrolment records, loan applicant data, and embassy visa data across more countries and more subsidiaries simultaneously — the attack surface for data breaches and the regulatory exposure under frameworks such as GDPR and Indias data protection regime both increase.	Mitigation: Continued investment in ISO 27001-aligned information security, GDPR- aligned data handling, and AI-led fraud and identity-verification controls is intended to keep pace with the expanding scope of sensitive data the Company now manages across its visa, consular, and digital businesses.

 

Currency and Geopolitical Exposure from Expanded Footprint -
Risk: New operations such as the Indian VACs in China and the Cyprus contract spanning Russia, South Africa, Kazakhstan and several Southeast Asian markets extend BLSs exposure to jurisdictions with relatively higher geopolitical and currency volatility than its more established Western European and North American operations.	Mitigation: The Companys asset-light, leased- premises model limits capital at risk in any single country, while a deliberately diversified portfolio means that disruption in any one corridor is designed to have a contained rather than Group-wide impact.

FINANCIAL PERFORMANCE

BLS International delivered a strong financial performance in FY26, supported by robust growth across its Visa & Consular Services and Digital Services businesses. Consolidated revenue from operations increased by 36.7% year-on-year to ^2,998 crore, driven by higher visa application volumes, contribution from recently acquired businesses, and continued expansion in digital-led services. EBITDA grew by 30.1% to ^819 crore, while Profit After Tax (PAT) rose by 34.1% to ^724 crore during the year.

Particulars	Key Metrics (Rs. Crore) FY 2024-25	Key Metrics (Rs. Crore) FY 2025-26	YoY Change (%)
Revenue from Operations	2,193.3	2998.2	+36.7%
Operating EBITDA	629.3	819.9	+30.1%
Operating EBITDA Margin %	28.7	27.3
PBT	605.5	797.1	+31.6%
PAT	539.6	723.8	+34.1%
PAT Margin %	24.6	24.1

FINANCIAL RATIOS - CONSOLIDATED

Ratios	FY 2024-25	FY 2025-26	Change	Reason for Variance
i i
Current Ratio	2.31	2.92	26.46%	Improvement driven by higher cash balances, bank balances, and increase in current assets during FY26.
Debt to Equity Ratio	0.13	0.09	-29.39%	Reduction due to lower borrowings and significant increase in shareholders funds during FY26.
Debt Service Coverage Ratio	25.41	39.00	53.46%	Increase primarily due to reduction in finance costs and improved earnings available for debt servicing.
Return on Equity (%)	31.19%	30.14%	105 BPS	Marginal moderation despite higher PAT due to substantial increase in net worth and retained earnings.
Net Capital Turnover Ratio	2.71	3.25	19.65%	Increase due to increase in average working capital, along with growth in revenue.
Net Profit Ratio (%)	24.60%	24.10%	-50 BPS	Marginal moderation in profitability due to changing business mix and scale expansion.
EBITDA Margin (%)	28.70%	27.30%	-140 BPS	Moderation attributable to increased contribution from digital services business and higher operating scale.
PBT Margin (%)	27.60%	26.60%	-100 BPS	Marginal moderation consistent with overall margin normalisation trend during the year.
Return on Capital Employed (%)*	30.10%	28.43%	+167 BPS	Improvement driven by higher operating profitability and better capital utilisation across expanded operations.
Return on Investment (%)	5.82%	5.81%	-0.01%
Inventory Turnover Ratio	10.63	11.72	10.24%

Human Resource

BLS Internationals people strategy in FY 2025-26 centred on building a diverse, capable, and engaged global workforce in step with the Companys expanding international footprint. Diversity and inclusion remained embedded in hiring, career development, and performance management, with continued emphasis on local talent acquisition across operating geographies alongside structured leadership development through LEAP for first-time managers and LEAD for experienced leaders. The Company strengthened its learning ecosystem through wider access to LinkedIn Learning and the iCOACH internal trainer programme, while competency-based talent reviews, critical role identification, and Individual Development Plans reinforced succession planning and leadership readiness. Employee engagement and recognition were advanced through the "Path Finders" programme and Value Cards, global collaboration forums such as the Gurugram Global Operations Offsite, and continued investment in physical, mental, and financial wellbeing through country-specific medical cover, flexible work practices, and performance-linked rewards. Together, these initiatives strengthened frontline readiness, leadership depth, and employee retention, supporting the Companys service quality and long-term growth agenda.

Corporate Social Responsibility

During FY 2025-26, BLS International deployed Rs. 69 Lakhs towards its Women Empowerment Programme, implemented through Sansthanam Abhay Daanam across centres in Noida and Maharashtra, reaching 720 beneficiaries, of whom 85% belonged to vulnerable and marginalised groups. The programme combined livelihood-focused skill training — spanning handloom and weaving, tailoring and knitting, pottery, and digital literacy — with the Gurukul Education Centres, which provided free education and extra-curricular development to women and underprivileged children. These initiatives translated into tangible outcomes, including documented cases of beneficiaries securing stable income through trades such as handloom work and stitching, while the full CSR allocation for the year was utilised with no unspent balance, reflecting disciplined programme execution and full compliance with the Companys CSR commitments.

Risk Management

Risk management is embedded within BLS Internationals strategic framework and supports the Companys long-term growth objectives. The Company follows an integrated approach to identifying, assessing, and managing risks and opportunities across its operations. Strategic decisions are guided by principles of sustainable growth, operational agility, and responsible business practices. Across all business segments, BLS International remains committed to maintaining high standards of ethics, transparency, and governance in line with its Code of Conduct.

Internal Controls and Quality Governance

BLS International has implemented a comprehensive governance and control environment designed to protect organisational assets, strengthen operational effectiveness, and support adherence to applicable regulatory standards. Oversight of these mechanisms is led by the Companys quality and compliance function, which supervises implementation across both visa application centres and corporate operations.

The framework encompasses structured risk evaluation procedures, defined control protocols, transparent reporting and communication channels, periodic independent reviews, and continuous performance monitoring. Regular internal assessments are undertaken to measure the efficiency of business operations, information security practices, and compliance with globally recognised standards, including ISO 9001:2015, ISO 27001:2013, ISO 14001:2015, and CMMI certifications.

Review processes extend across essential operational areas such as applicant servicing, document handling, cybersecurity safeguards, workplace safety protocols, and technology systems management. In addition, BLS International conducts detailed service quality assessments, customer experience reviews, and focused capabilitybuilding programmes to identify gaps, strengthen service standards, and ensure timely remedial action wherever required.

Through this integrated approach, the Company reinforces operational transparency, mitigates compliance risks, and maintains high standards of service reliability and corporate governance.

Cautionary Statement

Certain statements made in this section describes the Companys objectives, projections, expectation and estimations, which may be ‘forward-looking statements within the meaning of applicable securities laws and regulations. Forwardlooking statements are based on certain assumptions and expectations of future events.

The Company cannot guarantee that these assumptions and expectations are accurate or will be realized by the Company. Actual result could differ materially from those expressed in the statement or implied due to the influence of external factors which are beyond the control of the Company. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements on the basis of any subsequent development, information or events.