HRH Next Services
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 27 Dec 2023 – 29 Dec 2023
- Listing date
- 03 Jan 2024
- Face value
- ₹10 per share
- Issue price
- ₹36 per share
- Lot size
- 3,000 shares
- Issue type
- Fixed Price issue
- Total issue size
- ₹9.57 Cr
- Market cap at offer price
- ₹33.14 Cr
- Promoter holding
- 97.88% → 69.61% pre-issue → post-issue
- ISIN
- INE0R3501012
- Registrar
- Cameo Corporate Services Ltd.
- Lead managers
- Finshore Management Services Ltd.
- Registered office
- 4-1-976, Abid Road, Telangana
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Market maker | 1,35,000 | — | — |
Application size
Minimum 3,000 shares per lot, in multiples, at ₹36
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 3,000 | ₹1,08,000 |
| S-HNI (min) | 2 | 6,000 | ₹2,16,000 |
| S-HNI (max) | 9 | 27,000 | ₹9,72,000 |
| B-HNI (min) | 10 | 30,000 | ₹10,80,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 5.31 | 3.28 |
| P/E (×) | 6.78 | 10.98 |
| Price to book (×) | 2.14 | — |
| Market cap | — | ₹33.14 Cr |
Key performance indicators
- Return on net worth
- 33.29%
- ROCE
- 46.57%
- Debt / equity
- 0.12
- PAT margin
- 6.80%
- EBITDA margin
- 13.40%
- NAV per share
- ₹16.85
- Price to book
- 2.14
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About HRH Next Services
Incorporated on February 02, 2007 as HRH Next Services Private Limited and converted into a public limited company (renamed HRH Next Services Limited) on August 25, 2023, the company is a domestic contact-centre/BPO services provider headquartered in Hyderabad. It operates seven call centres — the registered/corporate office and GJ House, Triveni Complex and Uppal DSL Abacus IT Park branches in Hyderabad, Kazipet (Hanumakonda), Tapaswiji Arcade (Bangalore), Corporate Castle (Coimbatore) and Nizamabad IT Tower — staffed by 284 employees plus 1,635 associate employees deployed at branch offices as of November 30, 2023. The company is ISO 9001:2015 certified for quality management and ISO/IEC 27001:2022 certified for information security management, and its client base spans foodtech, telecom, autotech, fintech, edutech, medtech, retail, entertainment, e-commerce, healthcare, public sector and banking, with the top ten customers contributing 95.16% of FY2023 revenues. Revenue from operations grew from ₹2,416.24 lakhs in FY2021 to ₹5,113.63 lakhs in FY2023 (PAT ₹347.79 lakhs in FY2023), and it proposes to set up two additional 150-seat call centres at Palakkad (Kerala) and Raichur (Karnataka), partly funded by IPO proceeds.
Company Analysis
from RHPHRH Next Services Limited is a Hyderabad-based, ISO-certified domestic business process outsourcing (BPO) company providing call-centre services — inbound, outbound, backend, chat and email support — from seven centres across Telangana, Karnataka and Tamil Nadu to clients spanning foodtech, telecom, autotech, fintech, edutech, medtech, retail, e-commerce, healthcare, government and banking.
Incorporated on February 02, 2007 as HRH Next Services Private Limited and converted into a public limited company (renamed HRH Next Services Limited) on August 25, 2023, the company is a domestic contact-centre/BPO services provider headquartered in Hyderabad. It operates seven call centres — the registered/corporate office and GJ House, Triveni Complex and Uppal DSL Abacus IT Park branches in Hyderabad, Kazipet (Hanumakonda), Tapaswiji Arcade (Bangalore), Corporate Castle (Coimbatore) and Nizamabad IT Tower — staffed by 284 employees plus 1,635 associate employees deployed at branch offices as of November 30, 2023. The company is ISO 9001:2015 certified for quality management and ISO/IEC 27001:2022 certified for information security management, and its client base spans foodtech, telecom, autotech, fintech, edutech, medtech, retail, entertainment, e-commerce, healthcare, public sector and banking, with the top ten customers contributing 95.16% of FY2023 revenues. Revenue from operations grew from ₹2,416.24 lakhs in FY2021 to ₹5,113.63 lakhs in FY2023 (PAT ₹347.79 lakhs in FY2023), and it proposes to set up two additional 150-seat call centres at Palakkad (Kerala) and Raichur (Karnataka), partly funded by IPO proceeds.
Objects of the Issue
- Expansion of our Services by launching 2 (two) Call Centres (Palakkad, Kerala and Raichur, Karnataka; 150 seats each) ₹135.19 lakhs p.75
- Capital Expenditure towards purchase of Computer Systems (600 computer systems and 3 servers) ₹429.87 lakhs p.77
- Working capital requirements ₹91.82 lakhs p.75
- General corporate expenses/purposes ₹150.00 lakhs p.79
- Issue related expenses ₹150.00 lakhs p.80
Issue Structure
- Total Issue
- 26,58,000 equity shares of face value ₹10/- each at ₹36/- per equity share, aggregating to ₹956.88 Lakhs (of which 1,35,000 shares / ₹48.60 Lakhs is reserved for the Market Maker)
- Fresh Issue
- ₹956.88 Lakhs (entirely a fresh issue of 26,58,000 equity shares)
- Offer for Sale
- Nil
- Price Band
- Fixed Price Issue at ₹36/- per equity share (including share premium of ₹26/- per share)
- Lot Size
- Minimum lot size of 3,000 equity shares
- Face Value
- ₹10/- per equity share
Business Model
The company earns revenue by providing outsourced call-centre/BPO services under service agreements and tie-ups with clients: manpower is deployed per contract, attendance/activity reports are collected from client locations, invoices are raised on clients and payments are realised in roughly 30–60 days from government and 30–90 days from non-government clients. Income flows from voice (inbound/outbound), chat, email and backend support lines; in FY2023 Outbound Services contributed ₹3,583.51 lakhs of the ₹5,113.63 lakhs total revenue from operations.
Business Segments
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Ankit Sanjay Shah | Promoter; Managing Director | 45.82% | 32.59% |
| Parikshit Pankaj Shah | Promoter; Non-Executive Director | 9.47% | 6.73% |
| Tara Sanjay Shah | Promoter | 37.88% | 26.94% |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.