Dear Shareholders

India entered into FY2022 with the threat of 2nd Covid wave loomingover. Despite the pandemic situation markets continued to have a buliish run as bothindices touched all-time high in the month of October 2021. There was an increasing retailparticipation in capital markets witnessed during the year as the industry added all-timehigh demat accounts along with record fund mobilization through IPO route. With tensionsarising due to Russia Ukraine conflict market witnessed a free fall. Subsequentlymarkets bounced back and erased some of its losses by March 2022.

FY2022 added another feather in our cap as we continued to reach newhighs on several parameters. We reported highest ever consolidated revenues of Rs 4320crore and PAT of Rs 1311 crore. Our operating PAT touched an all-time high of Rs 905crore registering a growth of 69% YoY. Our ROE excluding other comprehensive incomestood at 30% in FY2022. Our focus on knowledge talent processes technology brand &culture and inter-segment synergies have helped us in achieving key milestones across allbusiness verticals. We continue to remain optimistic on the growth potential of our allbusiness verticals given the robust fundamental structure.

On the capital markets front Indian equity markets continued theirbullish run for most part of the financial year. The industry witnessed a record of 3.5crore new demat accounts being opened. While FIIs were on a selling spree in FY2022 DIIsoffset the pressure and recorded highest ever inflows. The success of "PhygitalBusiness model" of our broking business has continued to yield positive results as werecorded highest ever Broking revenues profit and ADTO in FY2022. We successfully added8.8 lakh clients in FY2022 taking the total retail client base to ~28.5 lakh. We have oneof the highest ARPUs in the industry. Our cash market share was at multi period high inFY2022. Our distribution AUM at ' 16764 crore has huge head-room for growth. We have madesignificant investments in this business in talent and digital marketing. In Institutionbusiness our rankings and clientele continued to remain robust. We were awarded #1Domestic Brokerage and Overall Sales in Asia Money Brokers Poll 2021. Our InvestmentBanking business made a turnaround in performance this year as we closed 13 deals. Wecontinue to engage on a wide cross-section of mandated transactions across capital marketsand advisory.

Our AMC AUM which includes MF PMS and AIF stood at ' 49020 crore inFY2022. SIP inflows crossed ' 200 crore monthly milestone in FY2022 with highest evermonthly inflows recorded in March 2022. Our gross sales at AMC level increased by 49% YoYled by 125% growth in Alternate sales. Further improvement in performance coupled withdecline in redemptions has resulted in strong positive net sales in FY2022 as compared tonet outflows in FY2021. We have witnessed strong traction in our Passive offerings ourAUM crossed ' 10000 crore mark. Fee earning PE and RE AUM crossed ' 10000 crore. Weexited from all investments of IBEF I and the fund had delivered a XIRR of ~27%. Duringthe year we launched IBEF IV the biggest PE fund with a target size of ' 4500 crore.We have witnessed overwhelming response to this fund as it has achieved its 2nd close at '4000 crore.

IREF V which was launched in FY2021 attained its close at ' 1215crore. Our wealth management business recorded 53% YoY growth in revenue led by 36% YoYgrowth in AUM at ' 34389 crore and strong net sales of ' 5400 crore. Strong operatingleverage was visible in this business which was led by improvement in RM productivity. Wecontinue to invest in this business by adding RMs. With improvement in the vintage of RMsthe profitability of our wealth management is poised for further traction.

On our housing finance business our efforts to strengthen theorganisation in terms of processes systems manpower culture and structure has yieldedresults as we recorded highest ever profitability in FY2022. During the year CRISIL/ICRAupgraded/assigned AA rating to long term borrowings of MOHFL. Our full year disbursementsgrew by 136% YoY to ' 643 crore. We have joined hands with U.S. International DevelopmentFinance Corporation (DFC) world's largest development finance institution during thecourse of FY2022. DFC has committed USD 50 million as a long term loan under ECB route.Apart from that we continued to have strong Liability Mobilizations from various Banks& Institutions at competitive rates. Our cost of borrowings for FY2022 stood at 8.2%down by 105 bps YoY. Further we have expanded our sales force with 600+ sales employeescurrently in place and expanded our presence in Northern India. In our fund basedbusinesses (comprising of sponsor commitments to quoted equity and private equity funds)we recorded gains on investments at ' 407 crore. As per IND-AS these gains are a part ofour reported earnings. Our QGLP philosophy niche expertise in equities proven trackrecord and belief in 'skin in the game' augurs well for our fund based business.

Some of the key highlights of FY2022 include group's asset under advicecrossing ' 3 lakh crore mark 68% growth in PAT of Capital Markets business 116% growthin PAT of Wealth Management business successful launch of IBEF IV fund and highest everNIM and lowest ever COF for Home Finance business.

Our strategy to diversify our business model towards linear sources ofearnings continue to show positive results. Capital Market business which is our oldestand cash cow business has achieved new high on various parameters and continues tobenefit from industry consolidation led by knowledge driven Phygital offerings. Our AssetManagement business is likely to gain from strong product performance and its nicheofferings. Going forward with ample room for scalability of our Housing Finance and otherbusinesses we remain excited for the future prospects of the Company.

IMF has estimated a growth rate of 8.2% in FY2023 with India retainingits tag as the fastest growing major global economy. India is gradually becoming apreferred investment hub for many global MNCs. The growing demand for affordable housingindustry stands positive for our business. Sustenance of macros at reasonable levelsaugurs well for our business and industry as a whole. As these macro trends open upopportunities our experience and emphasis on 'Knowledge First' give us the ability tocapture these growth prospects.

I sincerely thank all the employees for their unwavering commitmenttowards the Company in the thick and thin of the journey. I also thank all thestakeholders who have shown support and rendered well-wishes for the Company. I have nodoubts that the new financial year will bring its own challenges and opportunities andthat this fine team will be up and running to face them.

With best wishes