Stock of this visa service provider has zoomed over 300% so far in 2022

Shares of BLS International hit a record high of Rs 388.85 as they rallied 15% in intra-day trade, zoomed 309% thus far in the calendar year 2022.

Shares of BLS International hit a record high of Rs 388.85 on rallying 15 per cent on the BSE in Wednesday’s intra-day trade after its board recommended a bonus share issue in the ratio of 1:1 i.e. one bonus equity share for every one fully paid equity share owned as on the record date.

This is the second bonus issue announced by BLS International during the current calendar year 2022 (CY22). Earlier, the board of the company on April, 13, 2022 and subsequently its shareholders in the extra-ordinary general meeting on May 09, 2022 approved the issue of bonus equity shares in the ratio of 1:1.

BLS International is engaged in the business of providing outsourcing and administrative task of Visa, Passport and Consular services to various Diplomatic Missions across the world. The company also provides services related to attestation and apostille on behalf of Ministry of External Affairs, New Delhi (India).

Thus far in CY22, the stock price of BLS International has appreciated by 309 per cent from a level of Rs 95 as compared to a 3.3 per cent rise in the S&P BSE Sensex. In the past three years, it has zoomed 1,022 per cent as against a 52 per cent surge in the benchmark index.

There is a large market available to be captured as majority of the governments are yet to outsource visa services. Moving forward, BLS International still sees good growth potential in its core business of visa services, and expects strong growth in the passport services business.

Over the next few years, the company said it will continue growing these businesses, while simultaneously maintaining its emphasis on compliance, information security and data protection, customer service, developing innovative products and services and sustainable business practices.

“We remain poised to unfold a new growth story, and will continue to see an upward growth trajectory in visa and consular services, e-governance in India and other countries, and other citizen services like banking correspondent and assisted e-commerce,” the management said in the company’s FY22 annual report.

For the first half (April-September) of FY23, BLS International reported a 71 per cent year-on-year (YoY) growth in its consolidated profit after tax at Rs 81.69 crore. Operational revenue grew 70.6 per cent YoY at Rs 630 crore. Earnings before interest, taxes, depreciation, and amortization (EBITDA) margin improved 144 bps to 14 per cent from 12.56 per cent in H1FY22.