Happiest Minds Technologies Ltd has communicated to its shareholders regarding the tax deduction at source (TDS) on dividend income, effective under the provisions of the Income Tax Act, 2025. This disclosure is significant for shareholders as it clarifies the tax implications on their dividend earnings and the compliance mechanism adopted by the company.

The company dispatched an email communication on July 03, 2026, to all shareholders holding registered email addresses with the company or depositories. This communication included a link to a detailed note titled 'HappiestMinds TDS-Note.pdf', which outlines the process of withholding tax from dividends paid at the prescribed rates.

The detailed note provided to shareholders contains necessary annexures and explains the specific procedures for tax deduction. This initiative ensures that investors are aware of the regulatory requirements and the impact on their dividend receipts.

Key Details of the Communication

The communication was signed by Praveen Kumar Darshankar, Company Secretary & Compliance Officer of Happiest Minds Technologies Limited. The intimation was submitted to both BSE Limited and National Stock Exchange of India Limited to ensure broad dissemination and regulatory compliance.

Happiest Minds Technologies has filed its Business Responsibility and Sustainability Report for the financial year 2025-26 with the stock exchanges. The filing, made pursuant to Regulation 34(2)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, details the company's adherence to the National Guidelines on Responsible Business Conduct (NGRBC). The report highlights the company's commitment to ESG principles, including a target to achieve carbon neutrality in its operations by 2030 and a 100% reduction in Scope 1 and Scope 2 greenhouse gas emissions.

The company reported that 83.08% of its total turnover for the year was derived from exports, serving a diverse portfolio of over 300 global customers. In terms of workforce composition, the total headcount stood at 5,218, comprising 5,098 employees and 120 workers. Women accounted for 26.34% of the total employee strength, while the Board of Directors included two female members out of seven. The report also noted that 16% of inputs were sourced sustainably during the year.

Sustainability and Environmental Targets

Happiest Minds has set specific commitments to mitigate environmental risks, including achieving carbon neutrality by 2030 and significantly reducing water consumption and waste generation by 2030. The company maintained solar energy utilization at 12.13%, compared to 10% in the previous year. Additionally, 100% of wastewater generated at its leased facility was recycled via a Sewage Treatment Plant (STP) and reused for gardening and washrooms.

Governance and Compliance

The report confirmed that the company has not incurred any fines, penalties, or punishments from regulatory bodies during the financial year. It maintains an Integrity Policy and an Anti-Bribery Policy to uphold ethical standards. The CSR Committee of the Board is responsible for decision-making on sustainability-related issues. The company also stated that it does not fall under the purview of External Assessment or Assurance as per SEBI requirements.

Financial and Operational Metrics

The following table summarizes key operational and financial figures disclosed in the report:

The company continues to focus on integrating ESG principles into its core business strategies to address emerging risks and enhance operational efficiency.