BLS E-Services Q2 revenue rises 57% to Rs 424.4446 crore

BLS E-Services Limited reported consolidated revenue from operations of Rs 424.4446 crore for the quarter ended September 30, 2026, 57% above Rs 269.7541 crore a year earlier, while net profit rose 12% to Rs 20.5449 crore. BLS E-Services said results include Atyati Technologies Private Limited from July 2, 2026, limiting comparability with prior periods.

What did BLS E-Services report in the September 2026 quarter?

BLS E-Services reported revenue from operations of Rs 424.4446 crore in the quarter ended September 30, 2026, compared with Rs 269.7541 crore in the quarter ended September 30, 2025 and Rs 304.0911 crore in the preceding June 2026 quarter. Total income reached Rs 428.1247 crore, against Rs 276.0490 crore a year earlier, even as other income declined to Rs 3.6801 crore from Rs 6.2949 crore.

BLS E-Services’ net profit increased by Rs 2.2648 crore year on year, less than the Rs 154.6905 crore increase in revenue from operations. Profit before tax rose by Rs 1.8252 crore from Rs 24.5934 crore, while net profit increased by Rs 1.9184 crore from Rs 18.6265 crore in the June 2026 quarter. Basic earnings per share were Rs 0.96, compared with Rs 0.85 a year earlier and Rs 0.84 sequentially.

Why did BLS E-Services’ profit rise more slowly than revenue?

BLS E-Services’ reported expense growth outpaced total-income growth in the September 2026 quarter, with total expenses rising to Rs 401.7061 crore from Rs 251.4556 crore a year earlier. Cost of services increased to Rs 347.8460 crore from Rs 230.0068 crore, while employee benefits expense rose to Rs 34.6497 crore from Rs 11.1770 crore. The resulting profit before tax was Rs 26.4186 crore, compared with Rs 24.5934 crore in the year-earlier quarter.

Depreciation and amortisation expense rose to Rs 5.8567 crore in the September 2026 quarter from Rs 1.5127 crore a year earlier, and other expenses increased to Rs 10.4436 crore from Rs 3.6405 crore. Finance costs declined slightly to Rs 0.1706 crore from Rs 0.1870 crore. On a calculated basis, net profit as a share of revenue from operations was about 4.8%, compared with about 6.8% in the prior-year quarter.

BLS E-Services recorded tax expense of Rs 5.8737 crore, down from Rs 6.3133 crore in the September 2025 quarter, despite the increase in profit before tax. Profit attributable to owners was Rs 17.3562 crore, compared with Rs 15.4256 crore, while profit attributable to non-controlling interests was Rs 3.1887 crore, compared with Rs 2.8545 crore. Total comprehensive income was Rs 21.0551 crore, including Rs 0.5102 crore of other comprehensive income.

How did BLS E-Services perform in the first half of FY27?

BLS E-Services reported first-half revenue from operations of Rs 728.5357 crore for the half year ended September 30, 2026, against Rs 513.7420 crore in the corresponding prior-year half. Net profit rose to Rs 39.1714 crore from Rs 35.8019 crore, while profit before tax increased to Rs 51.7265 crore from Rs 47.9556 crore. Revenue therefore increased by about 42%, whereas net profit increased by about 9%.

BLS E-Services generated net operating cash flow of Rs 20.3279 crore in the first half, compared with Rs 10.1947 crore a year earlier. Cash generated from operating activities before tax was Rs 35.2307 crore, against Rs 23.8636 crore, and income tax paid was Rs 14.9028 crore. A Rs 9.6409 crore decrease in trade receivables supported working-capital movements, while trade payables decreased by Rs 30.6333 crore.

Investing activities used Rs 20.2885 crore during the half year ended September 30, 2026, compared with Rs 15.8714 crore in the prior-year period. The cash-flow statement included Rs 109.2705 crore paid for acquisition of a subsidiary, net, Rs 122.6649 crore of term-deposit redemptions and Rs 43.2186 crore invested in mutual funds. Cash and cash equivalents closed at Rs 81.0741 crore, down from Rs 87.9312 crore at March 31, 2026.

What does the Atyati acquisition change for BLS E-Services?

BLS E-Services acquired 100% of Atyati Technologies Private Limited on July 2, 2026 for consideration of Rs 145.8269 crore net of contingent consideration. Its September-quarter and first-half consolidated results include Atyati Technologies from that acquisition date, whereas the previous-period figures do not. BLS E-Services consequently stated that the current consolidated results are not comparable with previous periods.

BLS E-Services reported goodwill of Rs 204.2974 crore at September 30, 2026, compared with Rs 166.9537 crore at March 31, 2026, while other intangible assets rose to Rs 93.0899 crore from Rs 0.0090 crore. The company said fair values of assets and liabilities acquired remain provisional under Indian Accounting Standard 103, or Ind AS 103. It expects to complete purchase-price allocation within one year.

Atyati Technologies’ board and shareholders approved a business transfer agreement on September 28, 2026 to sell its Joint Liability Group-Financial Lending Business to TVAM Technologies Private Limited through a slump sale on a going-concern basis. The proposed transaction remains subject to consents from lenders and approvals from regulatory, statutory and other concerned parties. Separately, BLS E-Services had Rs 14.5364 crore of unutilised initial public offering proceeds at September 30, 2026, including Rs 14.4700 crore temporarily invested in term deposits.

Conclusion

BLS E-Services delivered a Rs 154.6905 crore year-on-year increase in September-quarter revenue and a Rs 2.2648 crore increase in net profit, but the results incorporate Atyati Technologies from July 2, 2026. Costs including services, employee benefits and depreciation rose alongside revenue, while first-half operating cash flow increased to Rs 20.3279 crore from Rs 10.1947 crore.

The next disclosed matters to watch are completion of the provisional purchase-price allocation for Atyati Technologies within one year and approvals for the proposed transfer of its Joint Liability Group-Financial Lending Business. Future results will also provide further comparable periods following the July 2026 acquisition, while BLS E-Services had Rs 14.5364 crore of unutilised initial public offering proceeds at September 30, 2026.