Dear Stakeholders.As we commence the second decade of Happiest Minds, it gives me immense satisfaction to report that your Company continues its path-breaking and highly successful run. We represent a unique model which combines the highest standards of corporate governance and people-centric culture with industry-leading results of profitability and growth.

In FY 2022-23, Happiest Minds delivered a growth of 23.7% in revenue (constant currency) and an EBITDA margin of 26.2%. Our EBITDA margin was second only to the largest listed IT Services company. We have delivered an enviable EBITDA margin of 26.2%, exceeding the upper band of our guidance of 22% - 24%. On a metric of revenue growth plus EBITDA margin, at 56.8%, we continue to be amongst the best in the industry.

This year, we have chosen the “Excellence in Governance and Growth” theme for our Integrated Annual Report FY 2022-23. At Happiest Minds, we have established corporate governance practices well before the company was listed in 2020, fundamentally striving to function like an exemplary public entity since our inception. As part of our vision to be known for the best corporate governance standards, we have made continuous strides to deploy leading-edge tech for the dissemination of information and educating our stakeholders on cyber risks within the organizational network, driving sustained, long-term business value while ensuring collaborative, and transparent communication at all levels of the organizational network.

I would like to highlight a few of the accomplishments we earned in the last financial year. Happiest Minds stands for excellent corporate governance, and the awards represent a triple confirmation of our disclosure, transparency, and governance practices.

I was humbled on being conferred ICSI’s Lifetime Achievement Award for Corporate Governance. I have accepted this award on behalf of all Happiest Minds and the many teams who have worked with me to create institutions recognized for excellence in Corporate Governance.

We are also delighted to be recognized by Great Place to Work® Institute (GPTW). For the second time in a row, Happiest Minds was recognized among the Top 10 India’s Best Workplaces in Health and Wellness 2022. We continued to receive recognition from GPTW as one of the most attractive employers. We were named among the Top 50 India’s Best Workplaces Building a Culture of Innovation by All 2023, Top 25 India’s Best Workplaces in IT & IT-BPM 2022, and Top 50 India’s Best Workplaces for Women 2022.

Your Company’s growth was broad-based, with all our business units, operating geographies, and Centers of Excellence delivering excellent results. These results were enabled by the contributions of our delivery teams, technology and domain groups, and the support of all our corporate functions under the leadership of our Executive Board. Customer Satisfaction, as measured by our internal survey, showed a Net Promoter Score (NPS) of 60 and an overall satisfaction level of 7.9 on a scale of 9.0. We believe these numbers to be in the top tier, along with comparable companies.

We are driven by a mindful approach, choosing to do what best serves our people, our customers and business outcomes. Our people are collaborative and have a superlative commitment to value creation for our customers. We continue to strive hard to partner with our people, customers, and the community so that we are unitedly committed to a single purpose and shared success.

Several strategic decisions made in the past year mark our growth story. We purchased a Grade A, fully built-up commercial property with a super-built area of 240,000 sq. ft., in Electronic City, Bengaluru, and an expansion in a newer location like Bhubaneswar. We increased the delivery capacity of our Noida facility (“Smiles 5”) to leverage the diverse high-technology talent pool in NCR. I am also excited to share that in the last quarter of the year, your Company acquired Sri Mookambika Infosolutions (SMI). The new entity, SMI, brings in deep domain capabilities which add to our healthcare vertical strengths and align very well with our Product Engineering Services business unit.

Another indicator of our confidence in growth for FY 2023-24 is Happiest Minds’ people addition plan. We aim to add a record number of 1300 persons. This is in stark contrast to some of our peer organizations who have announced deferment of campus hiring etc. We plan to continue with a robust guidance on revenue growth while sustaining EBITDA margin in the 22-24% range.

Sustainable development is key to our growth. Happiest Minds, for its part, is dedicated to achieving carbon neutrality in its operations by 2030. We have deployed a 183 kWp solar power plant that will generate 256 MWh of electricity annually. It is estimated to reduce 210 MT of carbon emissions annually and 5200 MT over its lifecycle. This new solar power plant at our Bengaluru campus and our array of CSR initiatives are important Smilestones on our ESG roadmap to be vocal about a cleaner energy future and building long-term business sustainability.

As we look ahead to the future, we are optimistic and excited about the tremendous opportunity that awaits us.

I would like to express my gratitude to our customers for their continued faith and trust in Happiest Minds. I am also grateful to all Happiest Minds for their commitment and dedication to enable the happiness of our customers. I am grateful to our Board of Directors, our shareholders, and all other stakeholdersfor their wishes, guidance and support that help us accelerate our digital and agile journeys.

Let me close by wishing all of you good health and happiness.

With warm regards.

Ashok Soota

Executive Chairman