BLS INTERNATIONAL LTD (NSE: BLS) Q3 2025 Earnings Call dated Feb. 12, 2025
Corporate Participants:
Gaurav Chugh — Head of Investor Relations
Shikhar Aggarwal — oint Managing Director
Amit Sudhakar — Chief Financial Officer
Analysts:
Nikhil Shetty — Analyst
Hatim Broachwala — Analyst
Sandeep Agarwal — Analyst
Arpit Shah — Analyst
Ankush Agrawal — Analyst
Tanish Khivasara — Analyst
Akshat Bairathi — Analyst
Unidentified Participant
Mayur Bapodra — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Q3 nine month FY25 earnings conference call of BLS International Limited hosted by Nuvama Wealth Management. As a reminder, all participant lines will be in the listen only mode. And there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on a touchstone phone. Please note that this conference is being recorded. I now hand over the conference over to Mr. Nikhil Shetty from Nuvama Wealth Management. Thank you. And over to you sir.
Nikhil Shetty — Analyst
Thank you, Ruthieja. Good day everyone. On behalf of Nuama Wealth Management I appreciate you joining us for the Q3 and 9 month FY25 earnings call of TLS International Services Limited today we have with us the leadership team to discuss the company’s operational and financial performance. So we have with us Nikhil Gupta, Managing Director Shikhar Agarwal, Joint Managing Director Amit Sudhakar, CFO Loknath Panda, COO Digital Business Gaurav Chak, Head of Investor Relationship. With that I now hand over the call to the Toro. Thank you. And over to you.
Gaurav Chugh — Head of Investor Relations
Thank you, Nikhil. Good afternoon everyone. Thank you for taking time out to join this call. Just to remind you that this discussion may contain forward looking statement that may involve known or unknown risks, uncertainties and other factors. It may be viewed in conjunction with our businesses that would cause future results, performance or achievements to differ significantly from what is expressed or implied by such forward looking statements. I would like to hand over the call to Mr. Shikhar Garwal for his opening remarks post which Mr. Amit Sadhakar will discuss the financial performance of the company. And then we’ll open the floor for an interactive Q and A session. Thank you. And over to you, Shikha.
Shikhar Aggarwal — oint Managing Director
Thank you. Good evening everyone and thank you for joining us on DLS International’s 2, 3 and 9 month financial earnings call today. We trust you had the chance to review our results, press release and investor presentation which are available on both the stock exchanges and our company’s website. I am delighted to present an update on our company’s performance which reflects a period of significant growth and strength in the quarter and nine months of the fiscal year 2025. We have recorded a robust increase in our consolidated revenues of 17% and 22% year on year to 513 and 1500 crores respectively. These figures represent the highest revenue we have attained for the corresponding periods to date. Also to highlight, we have surpassed our FY24 EBITDA and profit number within nine months of this fiscal. In terms of profitability, our performance for the quarter has been remarkable with the EBITDA experiencing a substantial year on year 79% growth to 158 crores with our profit after tax has also seen around a 50% increase to 128 crores. The integration of new businesses we have acquired Idata Citizenship Invest and RD Fidelis coupled with our transformative shift from a partner run to a self managed model have significantly strengthened our margin profile in the current period. We have witnessed EBITDA margin expansion of approximately 1000 basis points in both Q3 and 9 month period. If you look at this fiscal, we have invested over 1000 crores across various acquisitions. While the integration of new business is going as per plan, we continue to witness strong cash flow generation which starts led to a healthy balance sheet with a net cash position of around 690 crore as of 31st December 2024. We are committed to delivering robust financial performances which is evident in our strategic focus and ongoing structural enhancements we are implementing within our business model. These concentrated efforts are designed to solidify our foundation and propel us towards sustained growth and profitability. During Q3FY25, the number of visa applicants processed has increased from 7.14 lakh in Q3FY24 to 9.08 lakh, a strong growth of 27% year on year. This growth is in sync with the territory of global travel and tourism sector which has been riding the wave of new trends and technologies offering a conductive environment for us to expand our business. Additionally, our net revenue per application has witnessed a year on year growth of 26%, climbing from rupees 2250 in Q3FY24 to 2837 in Q3FY25, reflecting. Our operational efficiency and value creation. In nine months, the direct revenue per application has grown by around 40% to rupees 2800. The acquisition of Citizenship Invest was completed in October 2024. Citizen Invest puts us at the forefront of the industry for residency and citizen programs with an expanded presence in over 15 countries. The strategic move bolsters BLS expertise in providing comprehensive visa solutions, but also leverages CI’s esteemed standing and influence in the HNI. With the acquisition of CI, we are poised to significantly increase our pricing volumes and reinforce our market position. We began to consolidate the financial performance of CI into the performance in our quarter. Further, I’m happy to report we also conducted the RD Phyllis Loan Solutions acquisitions on November 26, 2024 and it has been consolidated under our digital services businesses effective the same date. ASPL stands as a prominent entity in India’s loan distribution and processing sector with an extensive that spans the nation. Our digital business has also been witnessing robust performance driven by both organic and inorganic growth. Its revenue from operations grew 87% to 137 crores in Q3FY25 as compared to 74 crores in Q3FY24. Organic growth of the business was 16%. EBITDA of the business grew by 88% to around 18 crores from 9.4 crores in Q3FY24. Looking ahead, we are committed to nurturing organic expansion in our visa and consular and digital service business segments and concurrently, we are on the lookout for avenues of inorganic growth on both domestic and global markets. Our projections for the ongoing fiscal year are optimistic and we are focused on fostering enduring growth. In conclusion, I want to reform our unwavering confidence in the forthcoming quarters. The BLS team is resolutely dedicated to propelling growth within our principal business divisions. We firmly believe that these strategic measures we have put in place will serve as a solid foundation for sustained success in the years to come. Now I’ll turn over the call to Mr. Our CFO for further updates on our financial performance.
Amit Sudhakar — Chief Financial Officer
Thank you, thank you. Good afternoon everyone. I am pleased to present the consolidated financial performance for the third quarter and nine months ended December 31, 2024. In the quarter’s Q3 FY25, we achieved a revenue of 513 crores, marked a robust year on year increase of 17% from 438 crores reported in Q3 FY24. We continue to see strong momentum and remain optimistic about our potential growth in the coming quarters. Our EBITDA for the quarter surged to rupees 158 crores, up from 89 crores in the same period last year, registering a substantial growth of 79%. The EBITDA margin for this quarter was 31% expanded by 1059 basis point year over year. The increase in our margin is a result of our successful cost optimization strategy which includes shifting to self managed model and integration of new businesses. As mentioned by Shikhar as well, we have begun integration of Citizenship Invest into our portfolio in this quarter. Profit before tax for the quarter was reported at 140 crores, a 54% increase from 91 crore in third quarter of previous financial year. The profit after tax also showed a reverse performance at 128 crore compared to 87 crore in the corresponding quarter of the previous year reflecting a growth of the Earning per share for the quarter stood at 2.93paisa per share as compared to 2 rupees 5 paisa per share in Q3FY34 Coming to nine months performance, the nine month revenue stood at 1,501 crore as compared to 12.29crore registering a growth of 22% over previous season. The EBITDA for nine months FY25 stood at 455 crore versus 255 crore in the corresponding nine months last year a robust growth of 78%. The EBITDA margin for nine month FY25 stood at 30.3% against 20.8% in nine months FY24 an expansion of 956 basis points. The profit after tax stood at 394 crores as compared to 240 crores in the previous corresponding nine months, a growth of 64%. Now coming to segmental highlights in Q3FY25 our visa consular service segment revenue stood at 376 crore. Net revenue grew by 60% YoY to 258 crore as compared to 161 crore reported in Q3FY24. The EBITDA for this segment expanded by 77% to 140 crore with an EBITDA margin of 37.4%. This represented an increase of 1,564 basis points over 21.7% margin recorded in Q3FY24. Looking at the nine months visa. Service revenue grew by 22% to rupees 1209 crore up from 991 crore in nine months. FY24 the net revenue was up by 78% YoY from 436 crore to 775 crore in nine months. FY25 the Elixir one also EBITDA for the same period experienced a significant year on year increase of 85% reaching 414 crore with an EBITDA margin of 34%. The margin widened by 1,171 basis points compared to 23% margin in nine months. FY24 reflecting an ongoing commitment to growth and efficiency in Q3 FY25 our digital business segment reported a robust revenue growth of 87% YoY to 137 crore as compared to 74 crore in the same quarter of the previous financial year. This includes solution revenue of 53 crores consolidated from 26th November 2024 onward. The EBITDA for the segment scaled significantly by 88% YoY to 18 crore in Q1 FY25 EBITDA margin stood at 12.9% in 9 months. FY25 the digital business revenue stood at 293 crores as compared to 238 crores in the corresponding period. EBITDA for the Segment stood at 42 crores in nine months FY25 compared to 32 crore in nine months. FY24 EBITDA margin stood at 14.2% in nine months. FY25 against 13.4% reported in nine months. FY24 having invested upward of 1000 crore in new acquisitions during FY25 primarily funded through internal accruals, the company remains a strong financial position as On 31st December 2024, our balance sheet reflects a healthy net cash reserve of 690 crore. That’s all from my side. I will request the moderator to open the floor for questions. Thank you.
Questions and Answers:
Operator
Thank you very much. Begin the question and answer session. Anyone who wishes to ask a question may press STAR and one on the touchtone telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use answers while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Hatim Brochwala from JM Financial. Please go ahead.
Hatim Broachwala
Yeah. Hello sir. Thank you for the opportunity. Sir, I want to know that how much is the contribution from the acquisition done in the visa segment? So I Data and the other company which we had acquired. Citizenship company. So how much is the contribution in the visa segment?
Amit Sudhakar
So if you look at E data in the current quarter they have contributed about 25 crores. And citizenship invest has contributed on 4.75 crores of profits of the profit. Net profit. Net profit. Yeah.
Hatim Broachwala
The 25 crore is from IDATA and 4.75 crore from. Sir, can you provide same data for the revenue?
Amit Sudhakar
Yeah. So the revenue in Idata was up around 59 crores. And the citizenship was about 13 crores.
Hatim Broachwala
Sir, if I. Let’s say if I adjust 59 plus 13. So it comes to 60. 72 crore. Let’s say if I reduce from the current number to just see the organic number then I see a degrowth in the number. But the visa count has increased by 27%. So I’m not able to understand that. On one hand the count is increasing.
Shikhar Aggarwal
I think we have understood the point. So basically Amit, you can add. And this is year on year we have got. If you see the net revenue that has actually increased.
Amit Sudhakar
So basically we look at the net revenue growth. Because there is a. As we have talked about the change in the business model. Hello.
Hatim Broachwala
Yeah. Yes, sir.
Amit Sudhakar
Can you check that there is a growth matching with the growth in the.
Hatim Broachwala
Is your top line impacted by the business model change?
Amit Sudhakar
No. Top line has not affected because of the change and this. But mainly it is more on the net revenue.
Hatim Broachwala
Okay, sir. Sorry. Also if you can, in the E service segment how much the acquired company has contributed
Amit Sudhakar
Is about contribute over 49 crores.
Hatim Broachwala
Okay, sir, I’ll thank you for the answers. I’ll come back with the questions.
Operator
Thank you. Thank you. The next question is from the line of Sandeep Agarwal from Nairabi investment. Please go ahead.
Sandeep Agarwal
Hello. Yeah. Hello. Yes, sir. Yeah. Yes sir. So my question, first question is regarding. We have categorized the three type of services. The core services, value added and personalized citizen services. So can you provide the bifurcation of turnover and margin between them?
Shikhar Aggarwal
Can you repeat the question?
Sandeep Agarwal
But we have categorized our services in three types of services. Core services, value added services and providing citizenship services. Yeah. So can you bifurcate the turnover and margin between them? I think that were three lines of business that we are doing that we are providing banking correspondent services.
Shikhar Aggarwal
We are providing E governance services. And we also provide assisted E commerce at the kind of IPO we had mentioned. But the margins are pretty similar in all these segments. Till now we don’t bifurcate because in the same state we are doing multiple things. We are also running banking correspondent. We are also running E governance using the same centers. We are also providing assisted E commerce using the same centers. So that is why we don’t bifurcate the numbers.
Sandeep Agarwal
Okay. Okay sir. So just another one other income down from 23.4 crore to 14.7 crore. Q On Q basis.
Amit Sudhakar
Also talked about that we have done the investment in the new businesses. So the interest from fixed deposit have come down.
Sandeep Agarwal
Okay. And so our net profit margin and operating profit margin also grant Q on Q basis. So what is the sustainable any reason and what will be the sustainable margin?
Amit Sudhakar
We have been saying that we want to maintain over 30% margin in our visa business. And eager digital business will change because of the mix of Adi Fitlis and the other businesses. They have a different percentage of margins. So there will be a change happening depending on the revenue mix in that particular quarter. But if you see our visa business our margin has grown over 36% in the last year last quarter and it was 20% last quarter. Year but now it has grown to 37%. So there has been little change in the E governance business because the Idpilix business that we acquired is at lesser margin but more, you know, profits overall are growing. If you see. So definitely, you know, these are business specifically we want to maintain the margins and each of services also, you know, probably it will maintain.
Sandeep Agarwal
Thank you. Thank you,
Operator
Thank you. The next question is from the line of Arpit Shah from Stallion Asset. Please go ahead.
Arpit Shah
Yeah, hi, Shikharji Amitji. Am I audible?
Amit Sudhakar
Yeah, yes, we can hear you.
Arpit Shah
Well, yeah, just I had a question around. If we see the seasonality part. If I see last year number of visa applications around 7.14 lakh applications in Q2, Q3 and Q4. And this year we have seen a dip on Q on Q basis from 10 lakhs we’ve come to 9 lakh visa applications. So how should we read these numbers and what kind of number should we expect to quarter four? Should we expect 1.2 million applications for quarter four? How we should read that number?
Shikhar Aggarwal
So see if you see this quarter we have done around 9 lakh applications. Correct. And if you see the same quarter last year, December 23 we had done around 7 lakh applications. But if you see previous quarter we had done 10 lakhs. So obviously since this quarter, you know, there is seasonality. December, people travel less. November, December. So that is why we have done lesser numbers compared to last quarter still, you know, because the acquisition of Idara and new contracts that we had started, there has been an addition in the numbers and it has actually increased from 7 lakh that we did last year. You know, there was some organic growth, some because of the acquisition, some new tenders. And that is the reason we have done 9 lakh. And going forward, a quarter for January is also little less. But February, March, we start seeing numbers coming up and quarter one, we see good travel going on. So definitely going forward we feel the numbers should go up.
Arpit Shah
No, I was referring to Q2, Q3, Q4, FY24. The numbers are broadly the same. There was no seasonality impact in FY24. In FY25 we have seen a dip of 10% Q1, Q in Q3, FY25. So we should read the Q4 number.
Shikhar Aggarwal
Actually last year what happened was one of our contracts that we run for the Indian Embassy in Canada, you know, there was a major surge in Q3 in terms of revenue. There was a change in the environment over there policy wherein people had to come to the center because of some change in regulation in the local laws of the country. So that is why that quarter last year we had seen a certain surge in revenue, but now it has come back to normality this year. So that is why normally on. Ongoing basis, quarter three, seasonally is less for us as a company.
Arpit Shah
Got it. So now up to the FY26, what kind of bad guidance you would like to give to the market? Because this year probably we’re going to close 520 to 550 kind of a number on the pattern FY25. So FY26, you can, you can still think that the growth would be, let’s say more than 30% on the PAT front. FY26.
Shikhar Aggarwal
See, if I talk about the past and tell you about the market, where it is heading. If you see in the last five years we have done 70% CAGR growth in terms of profitability. This year, in nine months, the entire profits of the last year we have surpassed already. We have already spent thousand crores on acquisition. If you see in the future many new tenders that we are bidding for, there are billions of dollars of tenders that are coming out on an organic basis. Then inorganically also we’re looking at acquisition opportunities. So definitely first of all our objective is to maintain whatever number that we have achieved, we want to make that the new base. Whatever margins we have achieved, we want to make that the new base. And going forward, definitely there are multiple opportunities both on the organic and organic front. So definitely we would want. The company keeps on continuing to grow. We have not given any projection or such to the market that this is the percentage to grow at. But as having seen our past, the potential is there. Only 50% of the market is outsourced. Billions of dollars of contracts are coming up for renewal. We are eligible for all these tenders. There are multiple other countries which have never outsourced or outsourced it. For the first time. We’re also looking at organic growth both in BLS International and BLF E Services. So definitely I think if you combine all those multiple factors, there is a good leeway for growth in the future.
Arpit Shah
So you believe 700 crores is a reasonable estimate to make 5 by 26 as a PAT number. Can you repeat 700 crores, is that a reasonable estimate to make for FY26?
Shikhar Aggarwal
See, I actually what I’ve told you is that I don’t want to comment on any specific numbers, you know, but what we have done in the past, we want to maintain whatever number. We want to make that as a base, you know, and then as I told you, there are many opportunities both on organic and organic front. And definitely, you know, we as a company, negative working capital, cash flowing company. So definitely we feel that we will grow as a company. But exact numbers I do not want to, you know, I have no, I cannot mention at this stage.
Arpit Shah
Sure, sure, I completely understand. In the visa and consular business, what percentage of business is now not directly dependent on visa? Like what percentage would be visa and what percentage would be non visa? In the visa and consular business, that percentage normally we don’t take out.
Shikhar Aggarwal
You know, if you see in the. Covid period. We did what? 50 crores of profit each year. Still, that was only on the back of consular service business. Obviously that has also grown. So I don’t know the exact mix of how much is exactly, Counselor, how much is visa? Because in many countries, you know the embassy outsources all the services to us. It is including counsellor and the visa. So there is no specific mix that we have taken out.
Arpit Shah
Got it.
Operator
May be requested to please rejoin the queue. We have participants waiting for the turn. Thank you. Ladies and gentlemen. In order to ensure that the management is able to address questions from all participants, please limit your questions to two per participant. If you have a follow up question, you may rejoin the queue. The next question is from the line of Ankur Shagrawal from Surge Capital. Please go ahead.
Ankush Agrawal
Yeah. Hi sir. Thank you for taking my question. Firstly, just a clarification. The 25 crores and 4.75 crores numbers that we give for Idata and citizenship, these are EBITDA numbers, right? Not net profits.
Amit Sudhakar
These are net profit numbers.
Ankush Agrawal
No, last quarter you gave a 23 crores EBITDA for Idata.
Amit Sudhakar
Yeah. So I data the revenue was about 59 crores. And they had a bit this profit of 25 crore in this quarter. And we got only 5.
Ankush Agrawal
No, last quarter for Q2 you said EBITDA was 23 crores. Now you’re saying that was 25 crores for this quarter.
Shikhar Aggarwal
No, no, no. I think you’re very confused. We only mentioned about last this current quarter that has just gone down the third quarter December ending we have done a profit of before tax of around 25 crores in Idata and 4.75 crores in citizenship invest.
Ankush Agrawal
Okay, what would be the number of applications for Idata during the quarter?
Shikhar Aggarwal
I think that we have to find out that. I don’t think we have the bifurcation right now. But we’ll get back to you on that.
Ankush Agrawal
Okay, so the second question was basically this year if we look at our growth, the growth has probably come from substantial increase in our margins. And some of the inorganic calculation that we have done. Now going ahead next year, do you think there is more room for us to expand our margins from where currently it is and to be able to do, you know, certain big ticket size of acquisition. Because otherwise, I mean do you think there are organic wise you are looking at some of the contracts that will close that will deliver you the kind of growth that we have been seeing. Because otherwise sequentially there is hardly any growth in the core business.
Shikhar Aggarwal
How if you see. How can you say that? If you see, last year we have done 88 crores of EBITDA on a combined level in December quarter and this year we have done 140 crores of EBITDA.
Ankush Agrawal
That’s what I’m trying to say. This year, obviously, we. We have seen a substantial increase in our margin.
Shikhar Aggarwal
If you see we subtract the idata and citizenship number from 140 crores, the number comes to around 110 crores. So compared to 88 crores, we have got 110 crores of EBITDA on your organic basis. So there has been a surge of 30, 40% even on the organic business. Absolutely.
Ankush Agrawal
See, I’m not denying that. Obviously you have deliver a substantial increase on the core business margins that those were like low 20s, decides like mid 30s. So. But from here onwards, do you still believe you can expand margins from here? I think that would be difficult. Right.
Shikhar Aggarwal
First of all, first of all, we as a company want to operate at a sustainable basis. You know, we don’t. We are not. We are. We are always aiming for obviously more efficiencies that we can bring into the business. We have. If you see last year we were doing 20% of the EBITDA marginal consolidated level. This year we have reached 30% level. From last quarter there has been a little dip because of the acquisition of our subsidiary and our subsidy required with company RDS loan solutions, which is at a lesser margin. So definitely our objective, as I’ve said in the past, is to maintain the margins that we have achieved. Whatever quarter, whatever margins we achieve, we want to maintain that. And we keep on striving for bringing in efficiencies in our business that may or may not lead to increase in margin in the future. But definitely, whatever we have achieved, we want to maintain that. That is what I want to specify. Okay, got it. Just the ID application number for the portal, if you got it. Sorry, the number of applications for ID type. We have got it. That we will. We need to. Maybe we can send you this separately because we don’t have those numbers handy right now.
Ankush Agrawal
Okay, got it. Thank you. Thank you.
Operator
Thank you. The next question is from the line of Tanish from Bees Capital. Please go ahead.
Tanish Khivasara
Do you have any data on what percentage of your existing contracts are up for renewal in next two, three years?
Shikhar Aggarwal
We have renewed 90% of our contracts. So as we have said in the last one two years after Covid, all of these contracts came up for renewal. Spain, we have won the contract again. Last few years. We have won the contract with the Indian embassies in Canada again. So 95% of our contracts, 90% of a contract we have renewed.
Tanish Khivasara
What percentage will be renewal next year?
Shikhar Aggarwal
Next two years, next two years. All these contracts are five to seven years. Some are 10 years cycle. So as I said you know, most of the contracts we have renewed next few years, probably 5, 10% of the contracts might be coming up for renewal. And what amount of new contracts are you looking to bid in next 2, 3 years? Bifurcated by geography, if you have any data. Where is the attraction which there are multiple tenders that we are bidding for a multibillion dollar worth of opportunities that. Bidding for. There are different stages of bidding. A lot of this we have done. If you see the press release announcements that we have done in the last one year, we have added new contracts with Portuguese, Poland, Italy, Hungary, Czech Republic, many governments that we have added. So there are multiple other tenders also that we are bidding for and some of the countries which are outsourcing for the first time also. So there are multiple opportunities that we are looking at.
Tanish Khivasara
Just another bookkeeping question. What is the difference between the net revenue and the revenue from operations in the visa? And consider segment like what are, like what are line items are not included in the net revenue.
Amit Sudhakar
Yeah. So basically the direct expenses and like commission to the OR when we had the partner model, what we used to pay them was a direct expense, for example courier charges. So the Bluetooth payment has been netted off and it is net revenue. Basically means is the net revenue which we are earning per application. And that is what we focus on and we strive to increase that.
Operator
Thank you. The next question is from the line of Akshat Bhairati from RSPN Ventures. Please go ahead.
Akshat Bairathi
Hi, thanks for the opportunity. Sorry this question is being repetitive. Just wanted to understand on the sequential revenue. So then we have seen the number of applicants and the revenue per applicant dipping this quarter sequentially, which has impacted our revenues. But in Q2 as well, if we remove the application data revenue sequentially, we saw a dip of almost 13 and a half to 14%. So any color on that will be really helpful. And the second part of the revenue is that we have done three acquisitions in the past in the previous couple of quarters. So when do we see this revenue growth taking in sequentially?
Shikhar Aggarwal
I think we did not understand your questions properly. But from what we understood is that quarter on quarter, as we have explained, there’s a dip in the volume because of seasonality impact. Still, if you see our net revenue per application has actually gone up. So actually quarter on quarter, year on year, both the priorities our revenue per application has gone up. Only the overall revenue has been because of the volume drop. And I think that is what was the first point, second point and the second see how we look at it, our existing business growth depends on the growth in the travel industry. And if the travel industry overall grows at around 11% CAGR, then our growth we work on say 15% as growth in our. Numbers and revenue. Sir, second question is on the cash. We are carrying around 700 crores of cash balance. So are we planning any more acquisitions going further? See this year, this financial year already spent upwards of thousand crores in acquisitions. And you know definitely we have spent a major chunk still. We have 700 crores of net cash on the books going forward. As we have explained in the past, we are constantly looking at value creative opportunities for the company both from organic and organic basis. But definitely we are open for inorganic opportunities as well as when we win new tenders, technology, we need to deploy cash. So we are very open for more opportunities in the future.
Operator
Thank you. The next question is from the line of Manish Chorge from CGMC Capital. Go ahead.
Unidentified Participant
Hi Mr. Agarwal, I believe that you have given a number of 49 crore as a revenue of Adi Fidelity. Is that correct?
Amit Sudhakar
Yes, correct. Okay, so I just wanted to know that this number is for entire quarter three or I think it has been acquired at the end of the November. So this number is for December or for the entire quarter three. I think this is some part of November and December 26th. November onward, November onwards. Okay. So if I’m not wrong, in FY24 this company has done a revenue of 577 crores. So can I assume that in quarter few, in quarter four the number could be around. Revenue could be around 150 covers for IDP digits. Yeah, that is what we expect. Yes.
Unidentified Participant
Okay, thank you. That’s it for myself.
Operator
Thank you. Thank you. The next question is from the line of Gopal Krishnan from Utransh Investment. Please go ahead.
Unidentified Participant
Excellent afternoon. To the team. Am I audible sir?
Shikhar Aggarwal
Yes please.
Unidentified Participant
Yeah. Fantastic. Actually sir, I found that you know this Idata and Citizen Invest in investment. Citizen Invest trust. Those EBITDA is you know phenomenally higher by around 50 to around 50% from the data that you have provided in the investor presentation. So going forward the 30% EBITDA that you have achieved will definitely be more. Right. So say for example in FY26, you know can you. Can I say that your EBITDA will be close to 40%, something like that.
Shikhar Aggarwal
See if you see the actual numbers that we have given you Citizenship Invest, our EBITDA is close to 27%. And iData, the EBITDA is close to 41%. And these companies are operating in specific geography for specific governments. We have been operating as a global company across the world. So some countries margins are lesser, some countries margins are more and. From that point of view, if you see we have reached from a 20% last year now to a 30% consolidated margin. And our main objective is to maintain this number. We don’t want to have haphazard growth. So our objective is to maintain the numbers. And we are looking at cost efficiencies and economies of skin in the future. And if you see our quarterly visa segment EBITDA margin, they are also nearing to 37 purchases. So in visa business, because these companies are coming under visa and consular business segment, we are achieving those 37% EBITDA. No, actually, but this is I data, The EBITDA is 59% and citizenship, the EBITDA is 45% as you said. Okay. It is on a specific geography but going forward I thought, you know, it must average down to around at least 40%. I mean, correct me if I’m wrong. Actually you’re wrong because Iota EBITDA is at 41% and we have NR numbers that we have achieved this quarter and citizenship reserve 37%. And if you see our visa numbers, we’ve achieved a ebitda margin of 37%. Okay. And then second, my second question is regarding this digital business. This seems to be a drag on our total business. Is there any plan to spin off digital business into a separate entity like what you have done with E Services? See, first of all, we do not believe it’s a drag. If you see digital business is a volume generating business. And since it is a business mostly operating in India, we get paid in inr. You know, it’s a volume business. So if you see our overall profit this quarter is at 18 crores compared to 9 crores last year. You know, last. Last year, same quarter. So actually we have doubled our profits in this business. And going forward we feel that there’s a big opportunity. You know, we have done 80 of revenue growth in this business. So I feel definitely this business also has a big potential in the next few years. And as we add more value added spectra, I think in the long run the margins will also go up in this business per application. But if you see in total basis, total revenue is growing, total profits is growing. So definitely I feel that this is also a good synergistic business for our company.
Operator
Thank you. The next question is from the line of Dinesh Kulkarni from Finsight. Please go ahead.
Unidentified Participant
Hello sir, can you hear me?
Shikhar Aggarwal
Yes,
Unidentified Participant
Thank you for the opportunity and really good set of numbers. So my question is where do you think the next set of the next phase of growth would come for our company. Assuming as you just mentioned that we already have done a thousand crores of acquisitions and we have cash balance close to 700 crores. So just want to know whether it will be more of organic.
Unidentified Participant
Or inorganic. If you could elaborate on that.
Shikhar Aggarwal
I think as I already mentioned in last couple of questions, the same answer I can give you again that we are looking at both opportunities. There are multiple billion dollars of contracts that are coming up for renewal, multiple services, multiple geographies that we are bidding for and different services. So organically also we have been winning off tenders and next few years also we expect the same inorganically. Also we have SNC required this only in the last 12 years. Next few years also we are looking at different inorganic opportunities. So both the places growth will come. So my question is more on terms of whatever growth we have achieved in the last 20, 30% CAGR growth, is that achievable again or are we like fully penetrated now and we don’t see this kind of high Double digit or 20% plus growth? As I said, we are still at the tip of the iceberg. There is full potential in the market. Only 50% outsourced, 50% market is still getting outsourced. And out of the 50% market which is outsourced, multiple tenders are coming up for renewal in which we are eligible and we are bidding for. So definitely there are still huge potential in this visa councilor services and many other services that we can get into.
Unidentified Participant
Okay. Okay. So that’s, that’s it from my answer. Thank you very much and all the best.
Operator
Thank you. Thank you. The next question is from the line of ethics trust in Stallion Assets. Please go ahead.
Arpit Shah
Yeah, thank you for the opportunity again. Just wanted to understand. We have seen a stellar EBITDA growth and stellar net leverage go through the visa business. But when it comes to the PAT number, we have bit lag on the PAT number. So when, when will it converge to EBITDA growth numbers? The PAT growth according to you?
Amit Sudhakar
Sorry, sorry, you’re talking about taxes?
Arpit Shah
No, the PAT number or the PBT number. The PPT numbers is lagged. The EBITDA growth and the revenue growth number in the visa business. So when can we see it converging going ahead? I think over the period. It will see currently what is happening because of the account standard. The booking under amortization happens much higher. So therefore the numbers look little subdued as far as PBT is concerned. But PAC is going up. There’s a tax element which is increasing because of now tax has come in in Dubai as well as our expansion in Turkey and India businesses there. The tax percentage is much higher. So if you see as a percentage of tax over PBT is going up. Okay, what kind of tax numbers we should build in for FY25 and FY26 what we are working on. Last year we were around 9% on.
Amit Sudhakar
The tax percentage was around 9% this year. We think it will go to around 12% and is FY25 expecting 12% and FY26. 12%? I said 12%. 12%. Okay. And how are we looking to utilize the cash? So 590, 690 crores. How are you looking to utilize it? Is it going to be dividends? As Shikhar said, we are seriously looking at new opportunities and acquisitions as well as expansion of our existing business on new contracts. So those will be there and dividend obviously will also be part of it.
Operator
Thank you. The next question is from the line of Ahan Thurshant from Preventage Capital. Please go ahead.
Unidentified Participant
Hi, am I audible?
Shikhar Aggarwal
Yes you are. Please go ahead.
Unidentified Participant
Understand what the approximate market shares would be for DFS Global and DLS International. See exact numbers. T
Shikhar Aggarwal
He market is not very structured in terms of any market report or studies. So we don’t know the exact numbers. But after this acquisition of iData, etc. Probably we should be globally interesting. 20% market share in terms of the client governments and we don’t know the exact numbers the competition is at. But definitely we are much ahead.
Unidentified Participant
Okay, thank you. That’s all from.
Operator
Thank you. Ladies and gentlemen, due to time constraints this will be the last question for today which is from the lion on of Mayur Bhapudra, an individual investor. Please go ahead.
Mayur Bapodra
Hello sir. Am I audible?
Shikhar Aggarwal
Hi, can hear you.
Mayur Bapodra
Congratulations for the great set of numbers sir. Just all my questions have been answered. Just one question regarding capital allocation. So what is the thought process when we acquire any company we are like for past 3 quarters we are on acquisitions 3 and we invest 1000 crore in different new companies. So what. What is the thought process behind 1000 like ROC, ROE ROE requirements or what is your thought process behind allocating capital for acquisitions?
Amit Sudhakar
If you see from a business point of view we have acquired companies that are in our line of business. You know, they are synergistic businesses, high profit point businesses with good government. They are working where we can go globally. We can combine our offices etc. So definitely you know, whatever margins that they are doing, we can sustain them and learn from them. So that was the strategy from a business point of view. And we will recover our money within a matter of couple of years in terms of roe roe. Right. So see we ensure that our return on investment is much higher compared to what we earn on our dividend on interest on from the banks and the other. So it’s. We currently work on ROE of around 15% or so.
Mayur Bapodra
Okay. Okay, great. Sir and sir. I heard sir and Amit. Sir. So on Joe Stock and I enjoyed it thoroughly like the understanding of business you provided on that show and congratulations for the future endeavors. Thank you. Best of luck.
Amit Sudhakar
Thank you.
Shikhar Aggarwal
Thank you.
Operator
Thank you. Thank you. Ladies and gentlemen. That was the last question for today. I would now like to hand the conference over to the management for closing comments.
Shikhar Aggarwal
Thank you everyone for joining in on our Q3 FY25 earnings call. We hope all your queries were answered. In case of any further queries, please feel free to get in touch with Mr. Gaurav Shuk, our head of investor relations or the investor relations team at eny. We look forward to interacting with you next quarter. Again, thank you and goodbye.
Operator
Thank you on behalf of Nuvawam Wealth Management. That concludes this conference. Thank you for joining us and you may now disconnect your lines.