Your Directors hereby present the 31^st Board’s Report on the business, operations and state of affairs of the Company
together with the audited financial statements for the financial year ended March 31,2026: -

FINANCIAL PERFORMANCE

I. Consolidated Financial Performance:

II. Standalone Financial Performance:

SHARE CAPITAL

During the year under review, 6,99,927 Equity Shares of the face value of ' 1 each were allotted on exercise of the
Employee Stock Options (ESOPs)/Employee Stock Appreciations Rights (SARs) granted under Edelweiss Employee
Stock Incentive Plan, 2011 and Edelweiss Employee Stock Appreciation Rights Plan, 2019.

Consequently, as at March 31,2026, the total paid-up share capital of the Company stood at ' 946.53 million divided
into 94,65,31,653 Equity Shares of the face value of ' 1 each.

Except the ESOPs and SARs, the Company has not issued any sweat equity to the employees of the Company. The
Company doesn’t have any scheme involving provision of money for the purchase of the Company’s own shares
by employees or by trusts. The disclosures with regard to the ESOPs and SAR as required under the Securities and
Exchange Board of India (SEBI) (Share Based Employee Benefits and Sweat Equity) Regulations, 2021 is available on
the website of the Company at www.edelweissfin.com.

DIVIDEND

The Board of Directors at its Meeting held on April 30, 2026, has recommended a dividend of ' 1.50 per Equity Share
of the face value of ' 1 each, subject to the approval of Members at the forthcoming Annual General Meeting (AGM).
The payment of dividend shall be subject to deduction of income tax at source.

Pursuant to Regulation 43A of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015 (the Listing
Regulations), the Dividend Distribution Policy is provided as Annexure I to this Report and is also available on the
website of the Company at www.edelweissfin.com.

No amount is proposed to be transferred to the General Reserves.

INFORMATION ON THE STATE OF AFFAIRS OF THE COMPANY

In accordance with the Listing Regulations, the information on the operational and financial performance of the
Company is given in the Management Discussion and Analysis Report and forms part of this Report.

FINANCIAL STATEMENTS

The financial statements (both standalone and consolidated) have been prepared in accordance with the Companies
Act, 2013 and the Rules framed thereunder (the Act) and the applicable Accounting Standards and forms part of this
Report.

The Reports issued by M/s. Nangia & Co. LLP, Chartered Accountants, the Auditors of the Company on the financial
statements for the financial year ended March 31,2026, are unmodified and is annexed to the financial statements.

SUBSIDIARIES

During the year under review, EAAA Transinfra Managers Limited was incorporated on April 18, 2025, as subsidiary
of EAAA India Alternatives Limited and, in turn, of the Company. Further, Edelweiss Retail Finance Limited (ERFL),
a subsidiary, was merged with ECL Finance Limited, a subsidiary, w.e.f. September 30, 2025. Consequently, ERFL
ceased to exist pursuant to the said merger. During the year under review, Edelweiss Asset Management Limited
(EAML) and Edelweiss Trusteeship Company Limited (ETCL) ceased to be the subsidiaries of the Company with effect
from December 17, 2025 and became jointly controlled entities.

The salient features of the financial statements of the subsidiaries and jointly controlled entities as required under
the Act is provided in the financial statements in Form AOC-1. The financial statements of these entities are available
on the website of the Company at www.edelweissfin.com. Any Member interested in obtaining a copy of financial
statements of these entities may write to the Company Secretary.

FINANCE

During the year under review, the Company had raised funds by issue of Non-convertible Debentures (NCDs) through
public issuance and private placement. The Company had also raised funds by issue of Commercial Papers.

The NCDs are listed on BSE Limited.

LOANS, INVESTMENTS AND GUARANTEES

The particulars of loans given, investments made, guarantees given and securities provided are reported in the financial
statements, forming part of this Annual Report.

RELATED PARTY TRANSACTIONS

All the related party transactions entered by the Company during the financial year ended March 31, 2026, were
at arm’s length and in the ordinary course of business. The Company has not entered into transactions with the
Promoters, Directors and Key Managerial Personnel, which have any potential conflict of interest with the Company
and its subsidiaries and jointly controlled entities.

In accordance with the provisions of the Listing Regulations, the Company has formulated the Related Party
Transactions Policy, which is available on the website of the Company at www.edelweissfin.com.

The particulars of contracts or arrangements with the related parties as prescribed in Section 188 of the Act is provided
in the financial statements in Form AOC-2. The related party transactions as required under the applicable Accounting
Standards have been reported in the financial statements.

DIRECTORS AND KEY MANAGERIAL PERSONNEL

(i) Independent Directors

In accordance with the provisions of Section 149 of the Act and the Listing Regulations, the Independent Directors
have given a declaration that they meet the criteria of independence as provided in the said Section and in the
Listing Regulations.

Mr. Ashok Kini (DIN: 00812946) resigned as an Independent Director of the Company with effect from the close of
business hours of April 30, 2026, due to personal health reasons. Mr. Kini has confirmed that there were no other
material reasons for his resignation. The Board places on record its sincere appreciation of the services rendered
by Mr. Kini during his association with the Company as an Independent Director of the Company.

Pursuant to the recommendations of the Nomination and Remuneration Committee, the Board had appointed
Mr. Rajiv Jalota (DIN: 00152021) as an Independent Director of the Company for the 1^st term of 5 years with effect
from April 30, 2026. The approval of the Shareholders for the appointment of Mr. Jalota is being sought by Postal
Ballot.

In the opinion of the Board, the Independent Directors are persons of integrity and possess relevant expertise,
experience and proficiency.

(ii) Retirement by rotation

Ms. Vidya Shah (DIN: 00274831) retires by rotation at the forthcoming AGM and, being eligible, has offered
herself for re-appointment.

(iii) Key Managerial Personnel

As at March 31,2026, the following persons were the Key Managerial Personnel of the Company:

Mr. Rashesh Shah - Chairman & Managing Director

Ms. Ananya Suneja - Chief Financial Officer

Mr. Tarun Khurana - Company Secretary.

NUMBER OF BOARD MEETINGS HELD

During the year ended March 31,2026, the Board met 4 times. The details of the Board Meetings and the attendance
of the Directors at the Meetings are provided in the Corporate Governance Report, which forms part of this Report.

REMUNERATION POLICY

The Company has formulated a Remuneration Policy pursuant to Section 178 of the Act and the Listing Regulations.
The Policy is provided as Annexure II to this Report.

PARTICULARS OF EMPLOYEES

In accordance with the provisions of Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2014, the particulars of the employees are set out in the Annexure to this Report. In terms of the provisions of
Section 136 of the Act, the Report is being sent to the Members excluding the Annexure. Any Member interested in
obtaining a copy of the Annexure may write to the Company Secretary.

Further, disclosure on Managerial Remuneration as required under Section 197 read with Rule 5 of the Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014 is provided as Annexure III to this Report.

EVALUATION OF THE PERFORMANCE OF THE BOARD

A Board Evaluation Policy (the Policy) for evaluating the performance of the Board, its Committees, the Chairman,
the Managing Director, the Executive Director, the Non-executive Directors and the Independent Directors has been
adopted by the Company.

The Policy inter alia provides the criteria for performance evaluation such as Board effectiveness, quality of discussion,
contribution at the Meetings, business acumen, strategic thinking, time commitment, relationship with the stakeholders,
corporate governance practices, review of the terms of reference of the Committees and the contribution of the
Committees to the Board in discharging its functions, etc.

A separate Meeting of the Committee of the Independent Directors was held wherein the annual performance of the
Non-Independent Directors, performance of the Board as a whole (including the Committees) and also that of the
Chairman, in terms of the provisions of the Act, the Listing Regulations and the Guidance Note issued by SEBI in this
regard, was discussed.

INTERNAL FINANCIAL CONTROLS AND RISK MANAGEMENT

The Company has in place adequate internal financial controls with reference to financial statements. The Company’s
internal control system is designed to ensure operational efficiency, protection and conservation of resources, accuracy
and promptness in financial reporting and compliance with the laws and regulations. The internal control system is
also supported by an internal audit process. The Statutory Auditors and the Internal Auditors of the Company have
confirmed that the internal financial control framework is operating efficiently and effectively.

The risk management is an integral part of the Company’s business strategy that seeks to minimise adverse impact on
business objectives and capitalize on opportunities. The Risk Committee oversees the risk management framework of
the Company through regular and proactive intervention by identifying risks and formulating mitigation plans. Further
details are provided in the Management Discussion and Analysis Section forming part of this Report.

AUDIT COMMITTEE

As of date, the Audit Committee comprises of the following Independent Directors of the Company:

Mr. Shiva Kumar (Chairman)

Dr. Ashima Goyal
Mr. C. Balagopal.

Further details of the composition of the Audit Committee and attendance of the Members during the financial year
ended March 31,2026, are provided in the Corporate Governance Report forming part of this Report.

WHISTLE BLOWER POLICY/ VIGIL MECHANISM

The Company has adopted a Whistle Blower Policy to report genuine concerns/grievances. The Policy is available on
the website of the Company at www.edelweissfin.com.

The Policy provides for adequate safeguards against the victimisation of the person who uses the vigil mechanism.
The vigil mechanism is overseen by the Audit Committee.

CORPORATE SOCIAL RESPONSIBILITY COMMITTEE

The Board has constituted the Corporate Social Responsibility (CSR) Committee in accordance with the provisions of
the Act. The CSR Committee comprises of: -

Mr. Rashesh Shah - Managing Director (Chairman of the Committee)

Ms. Vidya Shah - Non-executive Director
Mr. Shiva Kumar - Independent Director.

The Company has made contributions under CSR mainly through its philanthropic arm EdelGive Foundation, a wholly
owned subsidiary. The CSR Projects of the Company largely focuses on the broad areas such as sustainable livelihood,
quality education, women empowerment, climate action, reducing inequality, promotion of sports and various sectors
as covered under Schedule VII of the Act.

CSR REPORT

The CSR Report on the CSR activities undertaken during the year under review is provided as Annexure IV to this
Report. The CSR Policy is available on the website of the Company at www.edelweissfin.com.

AUDITORS

The Members at the 28^th AGM of the Company held on September 26, 2023, had appointed M/s. Nangia & Co. LLP,
Chartered Accountants, (Firm Registration Number 002391C/N500069), as Auditors of the Company, for a term of 5
years to hold the office until the conclusion of the 33^rd AGM to be held in the year 2028.

As per the Circular dated January 7, 2026, issued by the National Financial Reporting Authority on ‘Effective
Communication between Statutory Auditors and Those Charged with Governance’, the Company has established
a framework in accordance with the Circular. A Meeting of the Auditors and the TCWG was held on April 29, 2026.

SECRETARIAL AUDIT REPORT

The Members at the 30^th AGM of the Company held on September 26, 2025, had appointed M/s. SVVS & Associates
Company Secretaries LLP (SVVS), Practicing Company Secretaries (CP No: 11745 and Peer Review Certificate No.
5764/2024), as Secretarial Auditors of the Company, for a term of 5 consecutive financial years commencing from the
financial year 2025-26.

The Report of the Secretarial Auditors is unmodified and is provided as Annexure V to this Report. As required under
the Listing Regulations, the Secretarial Audit Report of Edelweiss Life Insurance Company Limited (ELIC), a material
unlisted subsidiary of the Company, for the financial year ended March 31, 2026, forms part of this Report. The
Secretarial Audit Report of ELIC is unmodified.

PREVENTION OF SEXUAL HARASSMENT OF WOMEN AT WORKPLACE

The Company has a Policy on Prevention of Sexual Harassment of Women at Workplace (the Policy). No cases under
the Policy were reported during the year under review and no case was outstanding as on March 31, 2026. The
Company has complied with the provisions relating to the constitution of Internal Complaints Committee under the
Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE
EARNINGS/ OUTGO

A. Conservation of energy

i) The steps taken or impact on conservation of energy - The operations of the Company are not energy
intensive. However, adequate measures have been taken for conservation of energy wherever possible.

ii) The steps taken by the Company for utilizing alternate sources of energy - Though the operations of the
Company are not energy intensive, the Company explores alternative sources of energy, as and when the
necessity arises.

iii) The capital investment on energy conservation equipments - Nil

B. Technology absorption

i) The efforts made towards technology absorption - The Company extensively uses the information technology
in its operations and has absorbed the technology required in this regard.

ii) The benefits derived like product improvement, cost reduction, product development or import substitution
- The Company has leveraged the technology to optimise cost reduction and product development.

iii) I n case of imported technology (imported during the last three years reckoned from the beginning of the
financial year):

(a) the details of technology imported: Not Applicable

(b) the year of import: Not Applicable

(c) whether the technology has been fully absorbed: Not Applicable

(d) if not fully absorbed, areas where absorption has not taken place, and the reasons thereof: Not
Applicable

iv) the expenditure incurred on Research and Development - Not Applicable.

C. Foreign exchange earnings and outgo:

During the year under review, the Company has not earned foreign exchange (previous year: ' 4.05 million) and
there was outgo of foreign exchange of ' 2.53 million (previous year: ' 1.99 million).

OTHER DISCLOSURES

i) There are no significant material changes and commitments affecting the financial position of the Company that
occurred between the end of financial year and the date of this Report.

ii) There has been no change in the nature of business of the Company.

iii) There was no revision in the financial statements of the Company.

iv) There was no application made or proceedings pending against the Company under the Insolvency and
Bankruptcy Code, 2016. There was no instance of one-time settlement with any Bank/Financial Institution in
respect of loan taken by the Company.

v) No significant or material orders were passed by the Regulators or Courts or Tribunals which impact the going
concern status and Company’s operations in future.

vi) No fraud has been reported by the Auditors to the Audit Committee and the Board.

vii) Disclosure pertaining to maintenance of cost records as specified under the Act is not applicable to the Company.

viii) The Company has not issued equity shares with differential voting rights as to dividend, voting or otherwise.

ix) The Company has not accepted any deposits covered under Chapter V of the Act.

x) The Company has complied with the applicable Secretarial Standards issued by the Institute of Company
Secretaries of India.

xi) The Company has complied with the applicable provisions pertaining to the Maternity Benefit Act, 1961.

ANNUAL RETURN

Pursuant to Sections 92 and 134 of the Act, the Annual Return as at March 31, 2026 in Form MGT-7, is available on
the website of the Company at www.edelweissfin.com.

CORPORATE GOVERNANCE

The Company is committed to maintain the highest standards of Corporate Governance and adheres to the Corporate
Governance requirements set out by the SEBI. The Company has implemented several best governance practices.

Pursuant to the Listing Regulations, the Report on Corporate Governance together with the certificate issued by M/s.
SVVS & Associates Company Secretaries LLP, Company Secretaries, on compliance with the conditions of Corporate
Governance during the financial year ended March 31,2026, is provided in Annexure VI and forms part of this Report.

BUSINESS RESPONSIBILITY & SUSTAINABILITY REPORT

The Business Responsibility & Sustainability Report for the financial year ended March 31, 2026, pursuant to the
Listing Regulations is provided in Annexure VII and forms part of this Report.

DIRECTORS’ RESPONSIBILITY STATEMENT

Pursuant to Section 134 of the Act, the Directors confirm that:

i) in the preparation of the annual accounts, the applicable Accounting Standards have been followed;

ii) such accounting policies have been selected and applied them consistently and made judgments and estimates
that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company as at
March 31, 2026 and the profit of the Company for the financial year ended on that date;

iii) proper and sufficient care had been taken for the maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting fraud
and other irregularities;

iv) the annual accounts have been prepared on a going concern basis;

v) internal financial controls have been laid down and the same are adequate and were operating effectively; and

vi) proper systems had been devised to ensure compliance with the provisions of all applicable laws and that such
systems were adequate and operating effectively.

ACKNOWLEDGEMENTS

The Board acknowledges the valuable guidance and continued support extended by the Securities and Exchange
Board of India, the Reserve Bank of India, Insurance Regulatory and Development Authority of India, Ministry of
Corporate Affairs, Stock Exchanges, other government authorities, Banks and other stakeholders. Your Directors
would also like to take this opportunity to express their appreciation for the dedicated efforts of the employees of the
Company and the subsidiaries of the Company.

For and on behalf of the Board
Edelweiss Financial Services Limited

Rashesh Shah

Chairman & Managing Director
DIN:00008322

April 30, 2026