Kapston Services Limited (KAPSTON) AI Stock Analysis

Kapston Services Limited

(NSE:KAPSTON)

Select Model

Rating:59Neutral

Action:reiterated

Date:08/30/26

The overall score reflects solid revenue and earnings growth offset by weak and recently negative cash flows and high leverage, which introduce meaningful financial risk. A relatively rich P/E multiple without dividend support further tempers the outlook, while the lack of clear technical signals keeps the trading view neutral rather than strongly positive.

Positive Factors

Strong Revenue Scale-UpThe sustained expansion indicates growing demand for Kapston’s staffing and facility-management services. A larger operating base can improve client coverage, deployment scale and future contract opportunities, provided execution and pricing remain disciplined.

Negative Factors

Weak Cash ConversionRepeated negative operating and free cash flow indicates that reported profits are not consistently converting into liquidity. This can constrain self-funded expansion, increase dependence on borrowing and make the business more vulnerable to working-capital pressure.

Kapston Services Limited Business Overview & Revenue Model

Company Description

Kapston Services Limited, established in 2009, operates as an integrated facilities management specialist throughout India, with its headquarters located in Hyderabad. The company assumed its current name in February 2022, having previously been know...

How the Company Makes Money

KAPSTON primarily makes money by providing outsourced manpower and facilities support to client organizations under service contracts. Revenue is typically generated on a recurring basis through (1) staffing/manpower deployment where the company bill...

Kapston Services Limited Financial Statement Overview

Summary

Strong revenue and net income growth support the score, but persistent negative operating and free cash flow alongside elevated debt and leverage materially weaken overall financial quality.

Income Statement

78Positive

Balance Sheet

62Positive

Cash Flow

39Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	8.76B	8.30B	6.89B	5.19B	3.97B	2.71B
Gross Profit	638.72M	528.01M	377.72M	322.58M	163.60M	142.77M
EBITDA	542.88M	454.58M	317.50M	237.52M	157.08M	128.50M
Net Income	318.61M	281.34M	178.37M	125.71M	50.70M	24.73M
Balance Sheet
Total Assets	4.06B	3.49B	2.99B	2.07B	1.80B	1.62B
Cash, Cash Equivalents and Short-Term Investments	155.24M	141.48M	247.78M	61.59M	57.31M	63.71M
Total Debt	1.97B	1.84B	1.69B	1.02B	922.52M	847.11M
Total Liabilities	2.54B	2.33B	2.10B	1.35B	1.21B	1.09B
Stockholders Equity	1.51B	1.16B	888.78M	715.76M	586.62M	535.44M
Cash Flow
Free Cash Flow	0	-38.10M	-474.29M	28.24M	-2.67M	-245.05M
Operating Cash Flow	0	-4.94M	-83.33M	45.34M	10.20M	-228.72M
Investing Cash Flow	0	-56.24M	-389.96M	-23.33M	-12.25M	-16.03M
Financing Cash Flow	0	119.35M	474.85M	-19.15M	-139.43M	-81.00M

Kapston Services Limited Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:KAPSTON against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:KAPSTON	59Neutral	―	41.89	―	―	13.87%	34.06%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
IN:A2ZINFRA	53Neutral	INR 2.43B	66.09	―	―	5.88%	-62.07%
IN:VASCONEQ	50Neutral	INR 6.90B	23.87	―	―	-20.20%	-80.22%
IN:SALZERELEC	49Neutral	INR 8.25B	18.86	―	0.53%	20.81%	-37.15%
IN:RKEC	43Neutral	INR 466.62M	-0.90	―	―	-70.62%	-400.50%

* General Sector Average

Performance Comparison

IN:KAPSTON and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:A2ZINFRA	A2Z Infra Engineering Limited	13.06	-3.83	-22.68%
IN:KHFM	KHFM Hospitality & Facility Management Services Ltd.	48.55	-21.35	-30.54%
IN:RKEC	RKEC Projects Ltd.	20.42	-46.23	-69.36%
IN:SALZERELEC	Salzer Electronics Limited	480.70	-284.39	-37.17%
IN:VASCONEQ	Vascon Engineers Limited	31.22	-37.61	-54.64%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 30, 2026

Kapston Services Limited AI Stock Analysis