At BLS International our long-term target is to grow revenues in asustainable way. To achieve this we need to implement business strategies including butnot limited to adaptation to the global market environment mergers acquisitions and newservice developments. Many of us would believe that this comprises the delivery ofbusiness to business outsourcing services however this extends beyondbusiness-to-business: it extends to the outsourcing of services between governments toconsumers.
We need to seed new businesses even as we grow our existing ones. Weneed to use our revenues from business initiatives launched in the preceding three yearsto periodically rejuvenate our Company. This represents the robust framework around whichwe expect to grow our business for the benefit of all our shareholders.
At BLS we possess clarity on how to translate this intention intoaction. The principal approach to grow our business will come from our organic extensioninto contiguous business spaces where we leverage our competence create afirst-mover's presence carve out mind share deepen competence and retain ourcategory leadership. The second BLS approach will comprise a prudent use of our war chestof resources in inorganic business spaces fast-tracking our revenues and strengtheningour business sustainability.
The third BLS growth driver will be our investment in startups. Theglobal technology environment comprises a range of exciting possibilities related todigitalisation last mile penetration and enhanced service experience. Our prospectivegrowth will be influenced by our capacity to invest in start-ups offering differentiatedservice-enhancing capabilities enhancing our respect as a forward-looking player at thecutting-edge of global developments.
The Company generated a flavor of this projected growth during the lastfinancial year. The Company reported a revenue growth of 6.72% to H846.39 cr and a profitafter tax growth of
Eagle: Never surrenders to the size or strength of its prey; fightsto win.
BLS: Competitive; focused on establishing markets and carving awaymarket share.
8.94% to H105.17 cr in 2018-19. Even as the management was pleased withthe Company's sustained growth the performance could have been better. Some accountsthat were expected to fructify into contracts were delayed postponing revenues whileother projects were called off. The accounts that did materialise encountered initialchallenges and these projects could not be scaled by the end of the financial year underreview. During this period the initial operational expenses were absorbed and will onlybe progressively recovered.
The Company reported attractive client wins and impressive progress ofits existing projects during the year under review validating our superior valueproposition. We believe that the full impact of these initiatives will reflect in ourperformance across the foreseeable future.
The Company was awarded the project to represent the Italian mission inSingapore in 2018-19 a prestigious engagement for a tourism-driven European economy inone of the most demanding service-driven countries. The contract also opened uppossibilities of this mission engaging us for services in other countries. The contractreinforced the BLS brand as a service-driven vendor among
Schengen countries with the possibilities of carving out a large EUwallet share. The Company was awarded another prestigious project to represent France inJordan starting November 2018. The contract represented a new dimension for the Companyas it accounted for a new vertical comprising call center-driven appointment booking.Besides the account validated the Company's capabilities in opening up an accountfor a prominent Schengen country with possibilities of progressive widening across otherservice interventions and scaling the mission's penetration across more countries.The multi-lingual service offered by the Company (Arabic English and French) deepened theCompany's brand as a client-committed vendor providing the highest value propositionfor a large market of international missions yet to outsource their call centerengagement.
The Company reported an attractive project win comprising the renewalof the attestation project given out by the Ministry of External Affairs. The contractrenewal marked the Company's competitiveness in strengthening its overall servicepackage. The Company's contracts with 12 Indian missions were extended during thecourse of the year.
Punjab e-governance project
I am pleased to state that the
Punjab e-governance project was re-started by the new Punjab governmentduring the course of the year under review. The resigning validated the Company'ssuperior value proposition for the benefit of the citizen state and country. The projectwas resigned for a period of five years starting July 2018. The range of citizen supportsbeing offered by the Company was widened from 168 to 254.
At BLS we have always believed that superior cash flows represent thehealth of our competitiveness. The other positive development related to the Punjabe-governance project was that the Company successfully drew down its receivables from apeak of H212 cr in the last few years to H118 cr by the close of the year under review.
Prospects for 2019-20
The Company intends to strengthen its business through variousinitiatives during the current financial year.
Principally the Company will continue to review its human productivitythrough direct initiatives as well as progressive technology investments that helpmoderate costs and turnaround speed.
The Company intends to scale the business introduced during the yearunder review; the B2G business is still at a nascent stage and will need to be scaled. TheCompany intends to leverage the deep learnings and credentials derived from its Punjabe-governance project and provide a similar service in other countries impressing uponthat this is an idea whose time has come.
The Company intends to enter the Residence Permit vertical especiallyin un-addressed markets where its value proposition comprises collecting fees fromresidents (as opposed to the government).
The Company intends to extend to the e-visa space which represents thefuture. It possesses a deep understanding of the space possesses a functional e-visaportal and its e-visa platform comprises the entire complement of related services (visaprocessing visa guidelines of the customer country payments call center and servicecustomization).
The Company will continue to stay responsive to evolving marketrealities through the cross-sale and up-sale of service offerings enhance wallet share ofthe customer's spending seed the business with revenues from nascent businessesbroadbase the Company's revenues away from an excessive concentration on selectbusinesses and rejuvenate the Company's revenues.
The Company intends to increase technology investments that enhance theconsumer experience and strengthen our brand.
BLS International is attractively placed to grow its business.
As some contracts mature and come up for an extension followed byre-tendering we believe we possess the credentials to grow those businesses based on ourenhanced experience of the domain and customer reality.
Besides a number of our businesses are taking off which shouldstrengthen our traction during the current financial year.
We believe that a combination of these realities should enhancerevenues and surpluses during the current financial year enhancing value for all ourstakeholders.
With this my friends I wish BLS International all the best for itsendeavors since my term as its
Managing Director has ended. It was a pleasure serving you all.
Nikhil Gupta Managing Director