Happiest Minds Technologies Limited — Investor Presentation 2021

May 12, 2021

Happiest Minds Technologies Limited

(formerly known as Happiest Minds Technologies Pvt Ltd) Regd. Office : #53/1-4, Hosur Main Road, Madivala, Bangalore-560068, Karnataka, India CIN of the Co. L72900KA2011PLC057931 P: +91 80 6196 0300, F: +91 80 6196 0700 www.happiestminds.com

May 12, 2021

Listing Compliance & Legal Regulatory BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai 400 001 Stock Code: 543227

Listing & Compliance National Stock Exchange of India Limited Exchange Plaza, Bandra Kurla Complex Bandra East, Mumbai 400 051 Stock Code: HAPPSTMNDS

Dear Sir/Madam,

Sub: Earnings Presentation on the financial results of Q4 & FY'21

Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed a copy of the Earnings Presentation of the financial results of the Company for the quarter and financial year ended March 31, 2021 that will be circulated to the Investors/Analysts for the Earnings Call scheduled on May 13, 2021.

This is for your information and records.

Thanking you, Yours faithfully, For Happiest Minds Technologies Limited

Praveen Kumar Darshankar Company Secretary & Compliance Officer Membership No. F6706

Investor Presentation & Fact sheet: Q4 FY 21 May 2021

This presentation may contain certain forward-looking statements, which involves risks and uncertainties that could cause our future results to differ materially from those in such forwardlooking statements. The COVID-19 pandemic could decrease our customers' technology spend, delaying prospective customers' purchasing decisions, and impact our ability to provide services; all of which could adversely affect our future revenue, margin and overall financial performance. Our operations could also be negatively impacted by a range of external factors not within our control including those due to the pandemic. We do not undertake to update any of our forward-looking statements that may be made from time to time by us or on our behalf.

Next Generation Digital Transformation, Infrastructure, Security and Product Engineering Services Company

IPOIn September 2020•100 % digitallyexecuted IPOHeavily•oversubscribed with	DigitalDigital	Agile	Active clients46 Fortune2000 / Forbes200 /Billion $ corporations87% of repeat business1	RoCE2RoE
healthy listing gainsMission StatementReflects•Our growth andprofitabilityManagement Team•SMILES Values& Corporategovernance	Sharing, Mindful, Integrity,Learning, Excellence, SocialResponsibility	HappiestMindsacross 7Countries	•RankedAmongstITServicesTopIndia's Best Workplaces•for Women•TopIndia's Best Workplaces	ratingon Glassdoor#2 amongst Indian ITServices
PromoterAshok Soota				2019

*All logos are properties of their respective owners Note 1: Trailing 12 months Revenue from existing customers; 2: ROCE / ROE is for full year FY 21

Particulars	Q4FY21	Q3FY21	QoQ	Q4FY20	YoY	FY21	FY20	YoY
($'000)Revenues	30235,	26202,	154%	25613,	180%	104592,	98348,	63%
lakhs)Revenues(₹	22071,	19284,	145%	18635,	184%	77341,	69821,	108%
Otherlakhs)Income(₹	303	845	(641)%	386	(215)%	2422,	1602,	512%
Totallakhs)Income(₹	22374,	20129,	112%	19021,	176%	79765,	71423,	117%
lakhs)EBITDA(₹	5883,	5969,	(14)%	2563,	1295%	21573,	11312,	907%
%	263%	297%		135%		270%	158%
lakhs)PBT(₹	4924,	5327,	(76)%	720	5839%	18602,	7361,	1527%
%	220%	265%		38%		233%	103%
Tax	1319,	1112,	186%	190	5942%	2356,	190	11400%
%	59%	55%		10%		30%	03%
lakhs)PAT(₹	3605,	4215,	(145)%	530	5802%	16246,	7171,	1266%
%	161%	209%		28%		204%	100%

Digital % of Revenue 97.2% 96.9% 96.8% 96.3% 97.1% 96.6% 96.6% FY 19 FY 20 FY 21 Q1 21 Q2 21 Q3 21 Q4 21

Agile

% of Revenue

Onsite Offshore

	FY18	FY19	FY20	FY21Q1	FY21Q2	FY21Q3	FY21Q4	FY21
CustomerIndustrygroup
Edutech	180%	213%	213%	270%	270%	249%	241%	256%
Hitech	246%	210%	210%	205%	195%	202%	135%	182%
BFSI	179%	182%	175%	174%	163%	174%	148%	164%
TravelMediaand,(TME)Entertainment	110%	138%	171%	129%	130%	144%	140%	136%
Retail/CPG	0%7	69%	5%7	7%5	45%	22%	86%	4%5
Industrial	62%	81%	70%	64%	69%	70%	77%	71%
Manufacturing	32%	38%	37%	7%5	68%	69%	1%7	66%
Others	123%	69%	49%	46%	60%	70%	102%	71%
DigitalServiceOfferings
Digitalinfrastructure/Cloud	-	409%	312%	437%	411%	410%	442%	416%
SaaS	-	286%	294%	236%	246%	216%	209%	227%
SecuritySolutions	-	102%	149%	76%	74%	87%	91%	87%
Analytics/AI	-	91%	116%	121%	135%	144%	129%	133%
IoT	-	84%	98%	93%	105%	110%	95%	105%
Total	-	972%	969%	963%	971%	966%	966%	968%
Automation%oftotalasa
revenue			207%	242%	243%	278%	244%	252%

	FY18	FY19	FY20	FY21 Q1	FY21 Q2	FY21 Q3FY21 Q4		FY 21
Location of external customer
USA	73.5%	75.5%	77.5%	77.3%	77.3%	72.2%	68.4%	73.4%
India	11.7%	11.9%	11.9%	10.9%	10.9%	13.4%	11.7%	11.8%
Europe	11.4%	9.5%	7.2%	9.8%	9.2%	10.6%	11.6%	10.4%
ROW	3.4%	3.1%	3.4%	2.0%	2.6%	3.8%	8.4%	4.4%
Million $ Customers1
$ 10 M +		1	1	1	1	1	1	1
$ 5M to $ 10M	2	2	-	1	-	2	3	3
$ 3M to $ 5M	2	1	9	4	6	5	6	6
$ 1M to $ 3M	12	17	15	17	17	17	16	16
Total	16	21	25	23	24	25	26	26
Revenue Mix
Onsite	21.4%	22.0%	22.5%	21.0%	21.9%	19.0%	15.0%	19.0%
Offshore 2	78.6%	78.0%	77.5%	79.0%	78.1%	81.0%	85.0%	81.0%
Revenue Model
Fixed Price	18.4%	16.8%	19.0%	18.8%	19.3%	22.2%	26.0%	22.0%
Time and Material	81.6%	83.2%	81.0%	81.2%	80.7%	77.8%	74.0%	78.0%
Active customers
# of active customers	173	163	157	148	152	155	173	173
Billion $ corporation
# of customers			37	36	39	38	46	46

16 www.happiestminds.com Note: 1: Based on quarter revenue annualized 2: Offshore: Revenues from customers served from India;

	FY18	FY19	FY20	FY21Q1	FY21Q2	FY21Q3	FY21Q4	FY21
HappiestMinds
Onsite	105	132	123	124	133	145	166	166
Offshore	2148	2330	2,543	2,534	2,588	2,740	3062	3062
Total	,2,253	,2,462	2,666	2,658	2,721	2,885	,3,228	3,228
HappiestMindsbydeliverycentres
Onsite	4.7%	5.4%	46%	4.7%	49%	5.0%	5.1%	5.1%
1Offshore	953%	946%	954%	953%	951%	950%	949%	949%
Utilization
Utilization%	684%	77.3%	769%	749%	78.7%	816%	826%	79.5%
Diversity
WomenHappiestMinds	220%	230%	240%	234%	233%	240%	24.5%	24.5%
DaysSalesOutstanding
Billed	74	80	60	51	51	46	50	57
Unbilled	6	11	23	32	26	31	24	28
TotalDSO(Days)	80	91	83	83	77	77	75	85
Share)EPS(₹Per
Year(Diluted)Full			5.36					1145
CapitalReturnRatios%
on CapitalEmployedRoCEReturn			289%					312%
on EquityReturnRoE			271%					298%

(Allfiguresin₹Lakhs)	FY18		FY19		FY20		FY21Q1		FY21Q2		FY21Q3		FY21Q4		FY21
BusinessRevenuebyUnits
InfrastructureManagementSecurityServices&	9862,	202%	12943,	215%	15361,	215%	3641,	195%	3959,	211%	4334,	215%	4487,	201%	16421,	206%
DigitalBusinessServices	15403,	315%	18090,	301%	19167,	268%	4598,	246%	4710,	251%	4985,	248%	6995,	313%	21288,	267%
ProductEngineeringServices	21024,	430%	28003,	465%	35293,	494%	9463,	506%	9615,	512%	9965,	495%	10589,	473%	39632,	497%
TotalRevenue	46289,	946%	59036,	981%	69821,	978%	17702,	947%	18284,	973%	19284,	958%	22071,	986%	77341,	970%
Otherincome	2623,	4%5	1145,	19%	1602,	22%	997	3%5	507	27%	845	42%	303	14%	2424,	30%
Totalincome	48912,	100%	60181,	100%	71423,	100%	18699,	100%	18791,	100%	20129,	100%	22374,	100%	79765,	100%

Summary Profit & Loss statement
(AllfiguresinLakhs)₹	FY18	FY19	FY20	FY21Q1	FY21Q2	FY21Q3	FY21Q4	FY21
Income
Operatingrevenue	46289,	59036,	69821,	17702,	18284,	19284,	22071,	34177,
Otherincome	2623,	1145,	1602,	997	507	845	303	2424,
Totalincome	48912,	60181,	71423,	18699,	18791,	20129,	22374,	79765,
Costofrevenue	32652,	36987,	42927,	9978,	10401,	11155,	12849,	44382,
marginGross	13637,	22049,	26894,	7724,	7884,	8129,	9222,	32959,
%	29.5%	37.3%	38.5%	43.6%	43.1%	42.2%	41.8%	42.6%
SG&A	15498,	16566,	17184,	3939,	3452,	3005,	3642,	13810,
EBITDA	762	6628,	11312,	4782,	4939,	5969,	5883,	21573,
%	1.6%	11.0%	15.8%	25.6%	26.3%	29.7%	26.3%	27.0%
Depreciation	2075,	2478,	2023,	512	512	516	734	2274,
EBIT	(1313),	4150,	9289,	4270,	4427,	5453,	5149,	19299,
%	-2.7%	6.9%	13.0%	22.8%	23.6%	27.1%	23.0%	24.2%
Financecost	995	1594,	802	186	160	126	225	697
PBTbeforeexceptionalitems*	(2308),	2556,	8487,	4084,	4267,	5327,	4924,	18602,
%	-4.7%	4.2%	11.9%	21.8%	22.7%	26.5%	22.0%	23.3%
+ExceptionalItems	-	1258,	1126,	-	-	-	-	-
PBT*	(2308),	1298,	7361,	4084,	4267,	5327,	4924,	18602,
%	-4.7%	2.2%	10.3%	21.8%	22.7%	26.5%	22.0%	23.3%
Currenttax	-	-	190	851	682	1105,	889	3527,
Deferredtax	(61)	(123)	-	(1785),	177	7	430	(1171),
PAT*	(2247),	1421,	7171,	5018,	3408,	4215,	3605,	16246,
%	-4.6%	2.4%	10.0%	26.8%	18.1%	20.9%	16.1%	20.4%

Condensed Balance Sheet

(AllfiguresinLakhs)₹	31.03.2018	31.03.2019	31.03.2020	30.06.2020	30.09.2020	31.12.2020	31.03.2021
Assets
Non-currentAssets
Property,plantandequipment	264	214	93	77	60	72	69
Goodwill	2,961	1,736	610	610	611	611	7,644
Financial&Otherassets	7,685	6,003	5,598	6,266	5,788	5,040	10,029
Total(A)non-currentassets	10,910	7,953	6,301	6,953	6,459	5,723	17,742
Currentassets
OtherFinancial&assets
i.Tradereceivable	9,437	12,927	11,487	9,851	10,302	9,765	12,192
ii.Cash&Cashequivalents,Investments&Otherfinancialassets	16,928	19,610	31,967	39,196	52,387	54,286	60,928
iii.Otherassets	1,424	862	1,060	1,308	1,721	1,531	1,333
Total(B)currentassets	27,789	33,399	44,514	50,355	64,410	65,582	74,453
Total(A+ B)assets	38,699	41,352	50,815	57,308	70,869	71,305	92,195
EquityandLiabilities
Totalequity(A)	(10,888)	(6,605)	26,531	31,901	46,380	50,836	54,599
Non-currentliabilities
Financialliabilities	5,797	3,814	1,863	1,674	1,518	1,248	7,339
Provisions&Deferredliabilitytax	935	940	1,255	1,508	1,513	1,662	2,378
Totalliabilities(B)non-current	6,732	4,754	3,118	3,182	3,031	2,910	9,717
Currentliabilities
ContractFinancial&liabilities
i.Tradepayable	2,498	2,878	3,442	3,600	6,307	3,781	4,101
ii.Others	38,866	38,591	15,947	15,907	12,402	10,931	20,340
Provisions&Otherliabilitiescurrent	1,491	1,734	1,777	2,718	2,749	2,847	3,438
Totalliabilities(C)current	42,855	43,203	21,166	22,225	21,458	17,559	27,879
(D+ C)Totalliabilities= B	49,587	47,957	24,284	25,407	24,489	20,469	37,596
equityliabilities(A+ D)Totaland	38,699	41,352	50,815	57,308	70,869	71,305	92,195
					20		www.happiestminds.com

investors@happiestminds.com

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