Krystal Integrated Services Limited , a diversified commercial services provider, has reported complete utilization of its Initial Public Offering (IPO) net proceeds, according to its latest monitoring agency report for the quarter ended September 30, 2025. The report, issued by CRISIL Ratings Limited, confirms that the company has deployed all funds in accordance with the objectives outlined in its prospectus.

IPO Proceeds Breakdown

Krystal Integrated Services raised a total of Rs 3,001.25 million through its IPO in March 2024. Here's a breakdown of the proceeds and their utilization:

Allocation and Utilization of Net Proceeds

The company has meticulously allocated and utilized its net proceeds as per the stated objectives:

Key Highlights

• Full Utilization: The company has successfully utilized the entire net proceeds of Rs 1,633.69 million as per the disclosed objectives.
• Timely Deployment: Funds were deployed across various quarters, with complete utilization achieved by Q2 FY26.
• No Deviations: The monitoring agency report confirms that there were no deviations from the objects disclosed in the offer document.
• Remaining Funds: A balance of Rs 6.63 million remains in the public offer account, earmarked for pending issue-related expenses.

Management Commentary

The report indicates that the Audit Committee has reviewed the Monitoring Agency Report, and it has been taken on record by the Company's Board of Directors. This demonstrates the company's commitment to transparency and adherence to regulatory requirements.

Investor Implications

The full utilization of IPO proceeds as per the stated objectives may be viewed positively by investors, as it reflects the company's ability to execute its plans effectively. The timely deployment of funds towards debt repayment, working capital, and capital expenditure could potentially strengthen Krystal Integrated Services' financial position and operational capabilities.

Investors and stakeholders can access the detailed Monitoring Agency Report on the company's website at https://krystal-group.com for further information on the utilization of IPO proceeds.

As Krystal Integrated Services continues to grow post-IPO, market participants will likely keep a close eye on how these investments translate into business performance and financial results in the coming quarters.

Krystal Integrated Services Limited (KISL), a leading provider of integrated facility management solutions in India, has announced its financial results for the second quarter and first half of fiscal year 2026, along with a key executive appointment to drive future growth.

Q2 and H1 FY26 Financial Highlights

KISL reported a steady performance in Q2 FY26, with revenue growing 6.5% year-over-year to ₹283.40 crore. For the first half of FY26, the company achieved a more robust 15.9% revenue growth, reaching ₹606.48 crore.

Key financial metrics for Q2 and H1 FY26 are summarized in the table below:

While Q2 growth was moderate, the company maintained its EBITDA margin at 6.32%. The slight decline in profitability was attributed to a conservative approach to taxation and increases in finance costs and depreciation.

Corporate Business Growth and Customer Acquisition

A standout feature of KISL's performance was the strong growth in its corporate business segment, which saw revenues increase by 53% in H1 FY26. The company added 92 new corporate clients during this period, following 114 additions in FY25. These new engagements are described as recurring, margin-accretive, and strategically aligned.

Operational Expansion

KISL has expanded its national presence, increasing its branch network from 26 to 33 locations over the past year. This expansion supports the company's ability to serve a wider range of clients across India.

Strategic Focus on High-Value Projects

CEO and Whole-time Director Sanjay Dighe noted that the company has maintained a disciplined approach to project selection, particularly in the government sector. He stated, "We continued to exercise strong commercial discipline and consciously avoided bidding for projects that did not meet our margin or scale benchmarks. This is a deliberate strategic choice to protect profitability and ensure quality of earnings, rather than pursuing volume for its own sake."

New Executive Appointment

In a move to strengthen its leadership team and drive future growth, KISL has appointed Dr. (hc) Dhananjay Mayur Dave as President – Business Development, effective November 14, 2025. Dr. Dave brings over 35 years of global leadership experience across sectors including infrastructure, petrochemicals, clean energy, and facilities management.

Looking Ahead

Despite some short-term challenges, including delays in government tender finalizations, KISL's management remains optimistic about the company's prospects. The company expects deferred government tenders to move into execution in H2 FY26, which, coupled with the ongoing scaling of its corporate business, positions KISL for stronger performance in the coming quarters.

KISL is also advancing its capabilities in emerging businesses such as water treatment, waste management, and operations & maintenance services, which are expected to become meaningful contributors to revenue and profitability over the medium term.

As Krystal Integrated Services continues to navigate the evolving landscape of integrated facility management in India, its focus on strategic growth, operational efficiency, and expanding its service portfolio positions the company to capitalize on the sector's long-term potential.