Target: ₹1,230
CMP: ₹791
We initiate coverage on Krystal Integrated Services Ltd, a rising leader in the Integrated Facilities Management Services (IFMS) sector, with a TP of ₹1,230 Krystal is the fastest-growing player in the IFMS industry, offering a diverse range of services, including IFMS, private security, staffing, and catering.
Krystal has strategically expanded its client base from 262 in FY21 to 369 in FY24 and has a 100 per cent contract renewal/extension retention rate in FY24
With a revenue CAGR of 30 per cent from FY21-24, Krystal surpasses its peers, driven by its ability to deliver bundled and customised solutions, supported by strong management. This impressive growth is further highlighted by a 50 per cent EBITDA CAGR, reflecting the company’s operational strength. Krystal’s strategic focus on key sectors through government contracts, exceptional service portfolio and robust leadership, firmly positions it ahead of competitors, cementing its role as a dominant market player.
Additionally, the company could explore opportunities in the B2C segment, leveraging its expertise and brand recognition for future growth. We also dwell on the optionality of Krystal venturing into the B2C space, drawing a comparison with Urban Company