Firstsource Solutions Limited , a prominent player in the Business Process Outsourcing (BPO) sector, has taken a significant step to strengthen its foothold in the Middle East market. The company announced the incorporation of a new wholly owned subsidiary, FIRSTSOURCE MIDDLE EAST SERVICES L.L.C., in Dubai, United Arab Emirates (UAE) on July 25, 2025.

Subsidiary Details

The newly established entity, FIRSTSOURCE MIDDLE EAST SERVICES L.L.C., has been set up with an authorized capital of 300 shares at AED 1,000.00 per share. Firstsource Solutions Limited holds 100% shareholding in the subsidiary, having subscribed to the share capital at face value.

Strategic Expansion

This move is part of Firstsource's strategic initiative to expand its BPO operations in the Middle East region. The company aims to tap into the growing demand for IT and BPO services in Dubai and the broader UAE market.

Regulatory Compliance

In compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Firstsource Solutions Limited has duly informed the National Stock Exchange of India Limited and BSE Limited about this development.

Current Status

As of now, FIRSTSOURCE MIDDLE EAST SERVICES L.L.C. has not commenced business operations. Consequently, the subsidiary has not generated any turnover. The company is expected to begin its operations in due course, aligning with Firstsource's expansion strategy in the region.

Industry Focus

The new subsidiary will operate in the Information Technology (BPO) sector, consistent with Firstsource Solutions Limited's core business. This alignment is expected to leverage the parent company's expertise and experience in delivering BPO services to clients globally.

This strategic move by Firstsource Solutions Limited underscores the company's commitment to expanding its global footprint and capitalizing on emerging opportunities in the Middle East's growing IT and BPO market. As the subsidiary begins its operations, it will be interesting to see how this expansion contributes to Firstsource's overall growth and market presence in the region.

Firstsource Solutions Limited , a global leader in business process management services, has reported robust financial results for the fourth quarter and fiscal year 2025, marking significant milestones in its growth journey.

Q4 FY2025 Highlights

For the quarter ended March 31, 2025, Firstsource Solutions posted impressive year-over-year growth:

• Revenue reached ₹21,615.00 million (US$250.00 million), up 29.4%
• EBIT (Earnings Before Interest and Taxes) stood at ₹2,422.00 million, a 32.4% increase, with a margin of 11.2%
• Profit After Tax (PAT) grew by 22.6% to ₹1,607.00 million, representing 7.4% of revenue
• Diluted Earnings Per Share (EPS) improved to ₹2.28

FY2025 Performance

The company's full-year results for FY2025 demonstrated strong growth across key financial metrics:

• Annual revenue climbed to ₹79,803.00 million (US$944.00 million), a 25.9% increase year-over-year
• EBIT rose by 26.5% to ₹8,806.00 million, maintaining a margin of 11.0%
• PAT grew by 21.7% to ₹5,945.00 million, accounting for 7.4% of revenues
• Diluted EPS for the year reached ₹8.42

Strategic Achievements and Business Highlights

Firstsource Solutions achieved several notable milestones during Q4 and FY2025:

• Reached a US$1 billion annualized revenue run-rate, marking a significant milestone in the company's growth trajectory
• Secured five large deals in Q4, bringing the total to 14 large deals for FY2025, resulting in the highest Annual Contract Value (ACV) intake in the company's history
• Added 7 new logos in Q4, totaling 43 new logos for FY2025
• Launched the innovative UnBPO™ approach, redefining traditional Business Process Outsourcing models
• Introduced the Agentic AI Studio, aligning with the UnBPO™ strategy to transform work processes

Operational Developments

• The company's total headcount reached 34,651 by the end of FY2025, with a net addition of 6,711 employees during the year
• Trailing 12-month attrition rate improved to 29.8% in Q4, down from 31.4% in the previous quarter
• Delivered over 200,000 digital learning hours in FY2025, focusing on GenAI, automation, and domain-specific capabilities

Future Outlook

For FY2026, Firstsource Solutions has provided a positive outlook:

• Expected revenue growth of 12% to 15% in constant currency terms
• Projected operating margins in the range of 11.25% to 12%

Dr. Sanjiv Goenka, Chairman of RPSG Group and Firstsource Solutions, commented on the results: "FY25 has been a year of sustained momentum and strategic progress for Firstsource. I am delighted to share that we achieved US$1bn annualized revenue run-rate – a landmark milestone in our transformational journey. Six consecutive quarters of sequential revenue growth and securing significant large deals is a clear validation of our relevance and value in a rapidly evolving market."

As Firstsource Solutions continues to expand its global footprint and innovate with AI-driven solutions, the company appears well-positioned for continued growth in the evolving business process management landscape.