Coreintegra Consulting Services Limited completed its SME IPO on NSE Emerge, with the issue opening on March 27, 2024, and closing on April 1, 2024.28 September 2026SME IPO - NSE SME · 6 min read

Coreintegra Consulting Services — Pre-IPO Research Report

Coreintegra Consulting Services Limited is an HR services company focused on staffing, recruitment, and payroll management, primarily serving the IT and non-IT sectors. The company recently completed its SME IPO on the NSE Emerge platform in April 2024, making it relevant for investors tracking newly listed small and medium enterprises.

Founded

2012

Headquarters

Bengaluru, Karnataka, India

Promoters

Mr. Ravindra Babu Gadi, Mrs. Srilakshmi Gadi

IPO Exchange

NSE Emerge (SME Platform)

IPO Type

Fresh Issue of Equity Shares

What the company is (and how it makes money)

Provides staffing solutions, including temporary and permanent placements, across various industries.
Offers recruitment services, assisting clients in identifying and hiring suitable candidates for their needs.
Manages payroll processing and compliance for client companies, reducing their administrative burden.
Focuses on both IT and non-IT sectors, catering to a diverse client base for human resource requirements.
Generates revenue primarily through service fees charged to clients for staffing, recruitment, and payroll management.

Financial snapshot (officially disclosed only)

Total revenue for the nine months ended December 31, 2023, was INR 2,059.88 Lakhs, per the RHP filed with SEBI.
Profit after tax for the nine months ended December 31, 2023, was INR 176.22 Lakhs, per the RHP filed with SEBI.
Total revenue for the financial year ended March 31, 2023, stood at INR 2,497.05 Lakhs, per the RHP filed with SEBI.
Profit after tax for the financial year ended March 31, 2023, was INR 206.50 Lakhs, per the RHP filed with SEBI.

The moat

Established client relationships and a track record in the staffing industry can create stickiness, especially for recurring payroll and temporary staffing services.
Expertise in navigating complex Indian labour laws and compliance requirements, which is valuable for clients seeking to outsource HR functions.
Diversification across IT and non-IT sectors may provide some resilience against downturns in specific industries.
A technology-enabled platform for HR operations, if robust, can improve efficiency and scalability of services, though specific details on proprietary tech are not always highlighted.

Where it is in the IPO pipeline

The company filed its Draft Red Herring Prospectus (DRHP) with SEBI on December 29, 2023.
The Red Herring Prospectus (RHP) was filed on March 22, 2024, detailing the final offer terms.
The IPO comprised a fresh issue of 1,200,000 equity shares, indicating that all proceeds went to the company for its stated objectives, with no Offer for Sale (OFS) component.
The IPO opened for subscription on March 27, 2024, and closed on April 1, 2024, with listing on NSE Emerge on April 5, 2024.
The net proceeds from the fresh issue were earmarked for meeting working capital requirements and general corporate purposes, as stated in the RHP.

What most investors miss

**SME IPO Liquidity**: As an SME IPO, liquidity in the secondary market post-listing can be significantly lower compared to mainboard listings, potentially affecting ease of entry and exit.
**Client Concentration Risk**: Investors should scrutinize the DRHP/RHP for details on client concentration. High dependence on a few large clients can pose a significant revenue risk if those relationships are disrupted.
**Human Capital Dependency**: The staffing and HR services business is inherently human-capital intensive. The company's ability to attract, train, and retain skilled recruiters and consultants is crucial, and high attrition rates could impact service quality and profitability.
**Working Capital Management**: Given the nature of staffing, managing working capital, especially receivables from clients and timely payments to contract employees, is critical. The utilization of IPO proceeds for working capital highlights its importance.
**Regulatory Compliance Burden**: The staffing industry in India is subject to numerous and evolving labour laws and regulations. Any non-compliance or adverse changes in these regulations could significantly impact operations and profitability.
**Fragmented Market Competition**: The HR services market in India is highly fragmented with numerous local and regional players, alongside larger national and international firms. Coreintegra's competitive edge in this crowded space warrants close examination beyond standard offerings.

Red flags and what to scrutinise

**Dependence on Key Personnel**: The success of a service-oriented business often hinges on key management personnel and their relationships. Loss of such individuals could disrupt operations and client relationships.
**Ability to Scale Operations**: Scaling a human-intensive service business while maintaining service quality and profitability can be challenging, especially in a competitive market.
**Impact of Economic Downturns**: The demand for staffing and recruitment services is often cyclical and sensitive to broader economic conditions. A slowdown could lead to reduced client hiring and project cancellations.
**Litigation and Regulatory Scrutiny**: Investors should review any past or ongoing litigations or regulatory actions mentioned in the DRHP/RHP, particularly those related to labour law compliance.
**High Competition**: The staffing industry faces intense competition from both organized and unorganized players, which can put pressure on pricing and margins.
**Supplier/Employee Relationship Management**: The company's ability to manage its network of contract employees and maintain positive relationships is crucial, as any issues could impact service delivery and reputation.

How to evaluate it (a diligence checklist)

**Review the RHP**: Thoroughly read the Red Herring Prospectus (RHP) available on the SEBI website for comprehensive details on the business, financials, risks, and promoter background.
**Analyze Financial Performance**: Examine the trends in revenue growth, profitability, and cash flows over the last three to five years, paying attention to margins and working capital cycles.
**Assess Client Relationships and Concentration**: Look for information on client diversification, average contract values, and the duration of key client relationships to understand revenue stability.
**Understand Use of IPO Proceeds**: Evaluate how the fresh issue proceeds are being utilized, particularly for working capital, and whether this aligns with the company's growth strategy and financial needs.
**Evaluate Management and Governance**: Scrutinize the background and experience of the promoters and key management personnel, along with the company's corporate governance practices outlined in the RHP.
**Industry and Competitive Landscape**: Research the broader HR services and staffing industry in India, identifying key trends, competitive pressures, and Coreintegra's positioning within this landscape.

Official references

SEBI - Draft offer documents & public issues SEBI - Securities and Exchange Board of India NSE India - listings & filings BSE India - listings & filings MCA - company master data & financial filings

The company's Red Herring Prospectus (RHP) on the SEBI website
The company's listing documents on the NSE Emerge platform
The company's official website

Frequently asked questions

What services does Coreintegra Consulting Services Limited offer?

The company primarily offers staffing and recruitment services (both temporary and permanent), payroll management, and other HR-related consulting services to clients across IT and non-IT sectors.

Who are the promoters of Coreintegra Consulting Services Limited?

The promoters of the company are Mr. Ravindra Babu Gadi and Mrs. Srilakshmi Gadi, as stated in the company's RHP.

What was the structure of Coreintegra's IPO?

The IPO was a fresh issue of 1,200,000 equity shares, meaning all proceeds went directly to the company for its stated objectives, with no Offer for Sale component.

Where did Coreintegra Consulting Services Limited list its shares?

The company's shares are listed on the NSE Emerge platform, which is the SME board of the National Stock Exchange of India.

What are the primary uses of the IPO proceeds?

As per the RHP, the net proceeds from the fresh issue were intended for meeting the company's working capital requirements and for general corporate purposes.

This report is prepared by Neoma Capital for information and investor-education purposes only. It is not investment advice, a recommendation, or an offer to buy or sell any security. Unlisted and pre-IPO shares are illiquid, high-risk and may never list. Any figures mentioned are only those officially disclosed by the company, SEBI, the stock exchanges or the MCA, and may change. Neoma Capital does not guarantee accuracy or completeness. Verify everything independently from official sources and consult a SEBI-registered adviser before making any decision. Neoma Capital, 28 September 2026.