Firstsource Solutions Limited has successfully completed its acquisition of Pastdue Credit Solutions, marking a significant milestone in the company's UK expansion strategy. The transaction was finalized on December 11, 2025, after receiving all necessary regulatory approvals.

Acquisition Completion Details

Firstsource Solutions UK Limited, a wholly-owned subsidiary of Firstsource Solutions, has acquired 100% ownership of Pastdue Credit Solutions for an aggregate consideration of GBP 22 million. The deal structure includes both upfront payment and earnouts, representing a cash consideration transaction.

Regulatory Approvals Secured

The completion follows the receipt of all requisite regulatory approvals, including clearances from the Financial Conduct Authority (FCA) and under the National Securities and Investment Act 2021 (NSI Act). The Share Purchase Agreement was originally signed on July 18, 2025, with the transaction subject to these regulatory conditions.

Strategic Market Expansion

This acquisition strengthens Firstsource's position in the UK debt collection services market, particularly in utilities, telecommunications, and public sector segments. The move comes at a strategic time, with the UK collections market opportunity estimated at over GBP 1.90 billion, driven by rising consumer debt and growing private agency involvement in public sector collections.

Dr. Sanjiv Goenka, Chairman of RPSG Group and Firstsource, emphasized the company's commitment: "This move underscores our long-standing commitment to UK employment. We continue to believe that investing in local talent and infrastructure is integral to building a long-term sustainable business."

About Pastdue Credit Solutions

Founded in 2005 and incorporated on July 21, 2005, Pastdue Credit Solutions is an FCA-registered UK-based collections agency. The company specializes in white-label, early arrears, and debt collections recovery services, serving major banks, utility providers, telecommunications companies, and government bodies.

Future Outlook

The completed acquisition enables Firstsource to leverage its digital-first, AI-driven capabilities alongside Pastdue Credit Solutions' local expertise and established client relationships. Phil Grant, Chairman of Pastdue Credit Solutions, expressed optimism about the partnership: "This partnership has the potential to enable a new and exciting chapter for our people, our valued clients, and our future."

The transaction represents Firstsource's continued focus on expanding its Business Process Services (BPS) capabilities in key international markets, particularly in the growing debt collection sector where regulatory compliance and technological innovation are increasingly important.

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.