RATING RATIONALE

23Mar2026

Hello Verify India Pvt. Ltd.

Brickwork Ratings assigns the ratings for the Bank Loan Facilities of Rs. 80.00 Crs. of Hello Verify India Pvt. Ltd.

Particulars

Facilities**	Amount(Rs.Crs.)	Tenure	Rating#
Fund Based	80.00	Long Term	BWR BBB - /Stable Assignment
Grand Total	80.00	(Rupees Eighty Crores Only)

#Please refer to BWR website www.brickworkratings.com for definition of the ratings
**Details of Bank Loan facilities,consolidation or instruments are provided in Annexure
Note: The sanctioned facilities consist of Rs. 56.10 crore, while the proposed facilities amount to Rs. 23.90 crore, which have been assessed based on the company’s projections and underlying assumptions. Ratings assigned to the proposed facilities are valid only until the facilities are availed. A mandatory review will be undertaken once the facilities become operational. RATING ACTION / OUTLOOK

Brickwork Ratings has assigned a long-term rating of BWR BBB-/Stable to the bank loan facilities aggregating Rs. 80.00 crore of Hello Verify India Pvt Ltd.

The rating is based on the assessment of the company’s audited financial statements for FY23, FY24 and FY25, along with the provisional financials for 9MFY26 (up to December 2025) as provided by the company.

The rating factors in, inter alia, the experienced promoters, established client relationships, and a moderate financial risk profile. However, the rating is constrained by talent acquisition and retention challenges, intense industry competition, and limited revenue diversification. Going forward, the company’s ability to successfully execute its expansion plans, maintain long-term contracts with quality clients, enhance its operational scale, and improve its overall financial profile will remain key rating sensitivities.

The Stable outlook reflects Brickwork Ratings’ expectation that the business risk profile of Hello Verify India Pvt Ltd will remain stable over the medium term. The Stable outlook indicates a low likelihood of a rating change during this period. The outlook may be revised to Positive in the event of sustained improvement in the company’s financial risk profile, while it may be revised to Negative in case of deterioration in the company’s financial risk profile.

KEY RATING DRIVERS

Credit Strengths:

Experienced promoters and strong client relationships :
Hello Verify (HVPL) benefits from an experienced promoter group comprising Mr Varun Mirchandani and Karan Mirchandani, who possess strong expertise in business development, technology, and operations. Varun Mirchandani’s prior association with Merrill Lynch and Hello Verify’s global recognition through Y Combinator support its strategic positioning. The company maintains established relationships with reputed global clients, including Cognizant, Infosys, Wipro, HCL and Accenture. Additionally, the promoters’ collective net worth of Rs. 73.29 crore reflects a strong financial commitment.
Moderate financial risk profile :
HVPL demonstrated steady financial improvement, with TOI rising from Rs.75.17 crore in FY23 to Rs.94.90 crore in FY25. Profitability strengthened significantly, as OPBDIT increased from Rs.4.68 crore to Rs.19.90 crore and operating margins expanded from 6.23% to 21% over the same period. PAT improved to Rs.8.57 crore in FY25, with net margins at 9.04%. Liquidity and debt coverage indicators remain comfortable, reflected in a current ratio of 3.15x and healthy DSCR and ISCR of 1.36x and 4.24x, respectively, in FY25. Overall, the company maintains a moderate yet improving financial risk profile.

Credit Risks:

Talent acquisition and retention challenges :
Hello Verify operates in a competitive IT and technology services landscape, characterised by sustained demand for skilled professionals in emerging technologies. This exposes the company to elevated attrition risk and challenges in maintaining a stable and experienced workforce. Any constraints in attracting and retaining qualified talent may lead to execution delays, higher recruitment and training costs, and potential pressure on service quality, thereby impacting overall operational efficiency and business performance.
Exposure to intense competition and limited revenue diversity :
The company operates in a highly competitive technology-enabled services segment, which exerts pressure on pricing, client acquisition, and retention. Further, the company’s end-user industry mix remains relatively concentrated, with a predominant focus on private corporates and multinational companies. Limited diversification across customer segments may increase vulnerability to demand fluctuations in these categories, thereby constraining revenue stability.

ANALYTICAL APPROACH - Standalone

The ratings of the company are arrived at on a standalone basis after independent evaluation of its financial risk profile. For arriving at its ratings, BWR has applied its rating methodology as detailed in the rating criteria hyperlinks.

RATING SENSITIVITIES

Positive: The key monitorables will include the management’s ability to successfully execute expansion plans and maintain long-term contracts with quality clients. Additionally, the rating may witness a positive movement in case of sustained improvement in scale of operations with TOI reaching the projected level of around Rs. 150.00 crore, coupled with improvement in the capital structure with Total Debt/TNW remaining below 2.0x.

Negative: Any major decline in the clientele base resulting in a sustained drop in revenue and impacting revenue visibility will remain a key monitorable. The rating may also face downward pressure in case of financial performance remaining below projected levels. Further, any deterioration in the capital structure with Total Debt/TNW rising above 5.5x may lead to a negative rating action.

LIQUIDITY INDICATORS - Adequate

The liquidity position of the company remains adequate, with expected cash accruals projected to sufficiently meet scheduled debt repayment obligations. The company maintained a free cash balance of ₹8.36 crore as of March 31, 2025.

The average working capital utilisation over the past 12 months stood at 75% of sanctioned limits from State Bank of India and 89% of the overdraft facility from ICICI Bank.

Further, the company’s liquidity indicators remain comfortable, with the current ratio standing at 3.15x in FY25.

ABOUT THE ENTITY

Macro Economic Indicator	Sector	Industry	Basic Industry
Information Technology	Information Technology	IT - Software	Computers - Software & Consulting

HelloVerify India Pvt Ltd, founded in 2018 by Varun Mirchandani and Karan Mirchandani, is a technology-enabled background screening company headquartered in Noida.It provides background verification services to organisations and individuals, helping prevent fraud and support informed hiring decisions by verifying identity, court records, educational credentials, employment history, and other personal data through an AI-driven platform.

The company serves enterprises, startups, small businesses and individual users, offering a range of checks with quick turnaround and structured verification processes.

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 22 - 23 (Audited - Annual)	FY 23 - 24 (Audited - Annual)	FY 24 - 25 (Audited - Annual)
Operating Revenue	Rs.Crs.	75.17	86.54	94.90
EBITDA	Rs.Crs.	4.68	17.03	19.93
PAT	Rs.Crs.	1.06	7.22	8.57
Tangible Net Worth	Rs.Crs.	-2.30	0.41	1.92
Total Debt / Tangible Net Worth	Times	-7.37	89.43	29.49
Current Ratio	Times	1.41	8.34	9.04

KEY COVENANTS OF THE FACILITY RATED

The terms of the sanction include standard covenants normally stipulated for such facilities.

STATUS OF NON-COOPERATION WITH PREVIOUS CRA

Not Applicable

RATING HISTORY FOR LAST THREE YEARS (including withdrawal and suspended)

Facilities	Current Rating (2026)			2025		2024		2023
Type	Tenure	Amount (Rs.Crs.)	Rating	Date	Rating	Date	Rating	Date	Rating
Fund Based	LT	80.00	BWR BBB-/Stable (Assignment)	NA	NA	NA	NA	NA	NA
Grand Total		80.00	(Rupees Eighty Crores Only)

Hyperlink/Reference to applicable Criteria

Analytical Contacts
Mukul Singh Sahu Ratings Analyst mukulsingh.s@brickworkratings.com	Ravi Rashmi Dhar Director - Ratings ravi.d@brickworkratings.com
1-860-425-2742 \| media@brickworkratings.com	Customer Support \| CustSupport@brickwrokratings.com

Hello Verify India Pvt. Ltd.

ANNEXURE-I

Details of Bank Facilities rated by BWR

SL.No.	Name of the Bank/Lender	Type Of Facilities	Long Term(Rs.Crs.)	Short Term(Rs.Crs.)	Total(Rs.Crs.)	Complexity of the Instrument
1	Axis Finance Limited	Loans against Property - Sanctioned	25.00	_	25.00	Simple##
2	ICICI Bank	Over Draft - Sanctioned	5.00	_	5.00	Simple##
3	ICICI Bank	Term Loan - Out-standing	5.02	_	5.02	Simple##
4	ICICI Bank	Term Loan - Out-standing	2.93	_	2.93	Simple##
5	ICICI Bank	Term Loan - Out-standing	4.12	_	4.12	Simple##
6	ICICI Bank	Term Loan - Out-standing	6.98	_	6.98	Simple##
7	ICICI Bank	Term Loan - Out-standing	2.15	_	2.15	Simple##
8	Kotak Mahindra Bank	Term Loan - Proposed	23.90	_	23.90	Simple##
9	State Bank Of India (SBI)	Cash Credit - Sanctioned	4.90	_	4.90	Simple##
Total			80.00	0.00	80.00
TOTAL (Rupees Eighty Crores Only)

## BWR complexity levels are meant for educating investors. The BWR complexity levels are available at www.brickworkratings.com / download / ComplexityLevels.pdf. Investors queries can be sent to info@brickworkratings.com.

ANNEXURE-II

INSTRUMENT DETAILS

Instrument	Issue Date	Amount (Rs.Crs)	Coupon Rate (%)	Maturity Date	ISIN Particulars	Complexity of the Instrument
Nil	Nil	Nil	Nil	Nil	Nil	Nil

ANNEXURE-III

List of entities consolidated

Name of Entity	% Ownership	Extent of consolidation	Rationale for consolidation
Nil	Nil	Nil	Nil

Print and Digital Media

The Rating Rationale is sent to you for the sole purpose of dissemination through your print, digital or electronic media. While it may be used by you acknowledging credit to BWR, please do not change the wordings in the rationale to avoid conveying a meaning different from what was intended by BWR. BWR alone has the sole right of sharing (both direct and indirect) its rationales for consideration or otherwise through any print or electronic or digital media.

About Brickwork Ratings

Brickwork Ratings (BWR), a Securities and Exchange Board of India [SEBI] registered Credit Rating Agency and accredited by Reserve Bank of India [RBI], offers credit ratings of Bank Loan, Non- convertible / convertible / partially convertible debentures and other capital market instruments and bonds, Commercial Paper, perpetual bonds, asset-backed and mortgage-backed securities, partial guarantees and other structured / credit enhanced debt instruments, Security Receipts, Securitization Products, Municipal Bonds, etc. BWR has rated over 11,560 medium and large corporates and financial institutions’ instruments. BWR has also rated NGOs, Educational Institutions, Hospitals, Real Estate Developers, Urban Local Bodies and Municipal Corporations. BWR has Canara Bank, a leading public sector bank, as one of the promoters and strategic partner.

Disclaimer

Brickwork Ratings India Pvt. Ltd. (BWR), a Securities and Exchange Board of India [SEBI] registered Credit Rating Agency and accredited by the Reserve Bank of India [RBI], offers credit ratings of Bank Loan facilities, Non- convertible / convertible / partially convertible debentures and other capital market instruments and bonds, Commercial Paper, perpetual bonds, asset-backed and mortgage-backed securities, partial guarantees and other structured / credit enhanced debt instruments, Security Receipts, Securitization Products, Municipal Bonds, etc. [ hereafter referred to as "Instruments"]. BWR also rates NGOs, Educational Institutions, Hospitals, Real Estate Developers, Urban Local Bodies and Municipal Corporations.

BWR wishes to inform all persons who may come across Rating Rationales and Rating Reports provided by BWR that the ratings assigned by BWR are based on information obtained from the issuer of the instrument and other reliable sources, which in BWR's best judgment are considered reliable. The Rating Rationale / Rating Report & other rating communications are intended for the jurisdiction of India only. The reports should not be the sole or primary basis for any investment decision within the meaning of any law or regulation (including the laws and regulations applicable in Europe and also the USA).

BWR also wishes to inform that access or use of the said documents does not create a client relationship between the user and BWR.

The ratings assigned by BWR are only an expression of BWR's opinion on the entity / instrument and should not in any manner be construed as being a recommendation to either, purchase, hold or sell the instrument.

BWR also wishes to abundantly clarify that these ratings are not to be considered as an investment advice in any jurisdiction nor are they to be used as a basis for or as an alternative to independent financial advice and judgment obtained from the user's financial advisors. BWR shall not be liable to any losses incurred by the users of these Rating Rationales, Rating Reports or its contents. BWR reserves the right to vary, modify, suspend or withdraw the ratings at any time without assigning reasons for the same.

BWR's ratings reflect BWR's opinion on the day the ratings are published and are not reflective of factual circumstances that may have arisen on a later date. BWR is not obliged to update its opinion based on any public notification, in any form or format although BWR may disseminate its opinion and analysis when deemed fit.

Neither BWR nor its affiliates, third party providers, as well as the directors, officers, shareholders, employees or agents (collectively, "BWR Party") guarantee the accuracy, completeness or adequacy of the Ratings, and no BWR Party shall have any liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of any part of the Rating Rationales or Rating Reports. Each BWR Party disclaims all express or implied warranties, including, but not limited to, any warranties of merchantability, suitability or fitness for a particular purpose or use. In no event shall any BWR Party be liable to any one for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of any part of the Rating Rationales and/or Rating Reports even if advised of the possibility of such damages. However, BWR or its associates may have other commercial transactions with the company/entity. BWR and its affiliates do not act as a fiduciary.

BWR keeps certain activities of its business units separate from each other in order to preserve the independence and objectivity of the respective activity. As a result, certain business units of BWR may have information that is not available to other BWR business units. BWR has established policies and procedures to maintain the confidentiality of certain non-public information received in connection with each analytical process.

BWR clarifies that it may have been paid a fee by the issuers or underwriters of the instruments, facilities, securities etc., or from obligors. BWR's public ratings and analysis are made available on its web site, www.brickworkratings.com. More detailed information may be provided for a fee. BWR's rating criteria are also generally made available without charge on BWR's website.

This disclaimer forms an integral part of the Ratings Rationales / Rating Reports or other press releases, advisories, communications issued by BWR and circulation of the ratings without this disclaimer is prohibited.

BWR is bound by the Code of Conduct for Credit Rating Agencies issued by the Securities and Exchange Board of India and is governed by the applicable regulations issued by the Securities and Exchange Board of India as amended from time to time.