Quick Heal Technologies Ltd Management Discussions

Global Economic Overview and Outlook

Despite an unstable climate characterised by increased policy uncertainty and continued geopolitical tensions, the global economy exhibited resilience in CY 2025. Global economic growth was 3.4% driven by supportive monetary conditions and robust private investments in advanced economies. The global economy registered strong disparity between advanced economies and emerging markets and developing economies (EMDEs), with the latter recording higher growth rates at 4.4%.

Global inflation remained moderate. Corporate investment was supported by sharp increase in investments related to artificial intelligence (AI) technology, boosting productivity and reducing downside risks caused by trade policy shocks.

Growth in CY 2026 is expected to remain stable at 3.3%, pending resolution of ongoing geopolitical conflicts.

Downside risks emanate from the prolongation of conflicts, which might result in sustained volatility in global energy prices and disruptions within supply chains. Governments are increasing defensive spending to protect critical national infrastructure from physical and cyber-attacks. Further, fiscal spending is being directed towards future-proofing of key [text truncated in source].

Indian Economic Overview and Outlook

Against a volatile global backdrop, the Indian economy emerged as a pillar of macroeconomic stability, remaining among the fastest-growing major economies in the world. Real GDP growth for the fiscal year is estimated to be 7.7%.

The fiscal year was characterised by several positive indicators.

As per MOSPI

• Monetary Easing: Financial conditions eased significantly as the RBI implemented a 100-basis point cut in interest rates, reducing them to 5.25%.
• Fiscal Strength: The Union Budget FY 2026-27 signalled a strong commitment to growth through a budgeted increase in capital expenditure of 11.5%, amounting to ?12.22 lakh crore.
• Trade Milestones: India concluded the India-European Union Free Trade Agreement in early 2026, further integrating the nation into the global value chain.
• Growing Addressable Market for Cybersecurity: Indias internet penetration has now exceeded 70% supported by the rapid scaling of broadband infrastructure through the BharatNet Project and the National Broadband Mission. This rapid onboarding of users and devices necessitates a corresponding escalation in resilient security frameworks. Additionally, Indias Unified Payments Interface (UPI) has emerged as the worlds largest real-time payments platform, processing over 66 crore transactions daily. Securing the digital payments ecosystem is driving the demand for advanced fraud prevention solutions.
• Critical Infrastructure Incentives: The Union Budget 2026-27 introduced tax holidays till 2047 for eligible foreign greenfield investments in Data Centres, reinforcing Indias position as a global hub for cloud and AI infrastructure. This expansion of the physical-digital footprint directly increases the demand for enterprise-grade protection for mission-critical data.

The outlook for the Indian economy remains highly optimistic, with growth expected to remain resilient in FY 2026-27. This positive trajectory is supported by a favourable policy environment, easing financial conditions and a sustained rebound in manufacturing.

Indias AI Mission continues to drive productivity improvements while attracting FDI in the economy. Coupled with the National Broadband Mission, the initiative aims to improve connectivity through 2030, ensuring a growing and permanent addressable market for digital protection services across previously underserved rural and semi-urban clusters. Further, the Digital Swaraj Mission addresses the significant economic and security vulnerabilities, aiming to achieve self-reliance in key technological areas including cloud, cybersecurity and AI by 2030.

Industry Overview: Global Cybersecurity Market

Cybersecurity remains one of the foundational pillars of the contemporary digital economy, securing all of the massive amounts of personally identifiable information, financial data and other sensitive information stored on the internet. The growing need to protect critical infrastructures such as healthcare systems, financial institutions and electricity distribution networks is prompting governments across the world to prioritise their own national security.

In CY2025, the global cybersecurity market was valued at an estimated $220 billion, driven by a rapid acceleration in digitalisation, the development of online services and stricter compliance requirements of regulatory frameworks worldwide.

Increasing levels of sophistication among hackers and cybercriminals has made it imperative to invest into better security measures as healthcare, hospitality and BFSI sectors are still considered prime targets because of the valuable nature of data assets stored on their networks. Governments are constantly targeted by both countries and individual cybercriminals.

However, efforts of law enforcement agencies are now supported by technical knowledge gained through cooperation between the public and private sectors and international cybersecurity organisations.

The combination of these economic impacts and the need for resilient AI indicates a positive outlook for the sector. In the coming years, the global cybersecurity market is expected to grow at an annual compound rate of about 13%.

Recent Trends in Cybersecurity

The cybersecurity landscape is transitioning into an era of cognitive intrusions, where adversaries increasingly leverage artificial intelligence to automate reconnaissance, evasion and persistence. The threat landscape is evolving from traditional code-based exploits to context-aware attacks that mimic legitimate user behaviour. By leveraging predictive AI solutions, businesses can shift from a reactive posture towards anticipating potential threats and taking actions well ahead of a possible incident.

• AI-powered Attacks: One of the significant trends emerging this year involves the realisation of AI-powered attacks as a strategic level threat. This has led to an increasing reallocation of investment into the development of AI-against-AI defence systems with ability to recognise and mitigate the threat automatically.
• Demand for Integrated solutions: Businesses have become more focused on developing a cohesive platform for their security operations rather than using fragmented solutions. Instead of developing their own IT and security infrastructure, companies are increasingly resorting to third-party vendors who provide managed services based on their professional expertise with AI-based detection and continuous monitoring.
• From Reactive to Anticipatory Defence: AI-driven threat prediction, anomaly detection and telemetry correlation enable organisations to anticipate attacks before impact. By investing in cross-layer visibility, covering endpoints, identity and network, business are focusing on identifying behavioural deviations in real time.
• Global Mandates: Mandates like the EUs NIS2 and Indias DPDP Act are forcing a shift from control-centric to resilience-centric mindsets in businesses. Instead of relying on periodic compliance audit, businesses opt to continuously monitor their IT operations via AI-powered solutions to avoid any issues.

Risks Shaping the Global Cybersecurity Landscape

• Geopolitical Risk: Global geopolitical tensions, including the Russia-Ukraine and Israel-Iran conflicts, have further escalated cybersecurity risks, driving attacks from hacktivist groups.
• Evolving Delivery Mechanisms: While infostealers continued to be delivered through cracked software, phishing pages and public code repositories, new delivery mechanisms were observed, such as fake CAPTCHA verification pages, cloud-based file hosting services and embedded links in video platforms as well as other high-traffic low-cost delivery vectors.
• Emergence of Agentic AI: Agentic AI is rapidly being used by employees and developers, creating new attack surfaces. No-code/low-code platforms expand this further, driving unmanaged AI agent proliferation, unsecured code and potential regulatory compliance violations.
• Exploiting the AI Model Creation Stack: Enterprises creating custom AI solutions have led to AI model creation stacks becoming a valuable target for hackers looking to gain remote code execution through unsecured API endpoints. This indicates a new trend in cyber-attacks, targeting the underlying infrastructure for creating AI models.
• Post-quantum Cryptography: Post-quantum cryptography is reshaping cybersecurity strategies by prompting organizations to identify, manage and replace traditional encryption methods, while prioritizing cryptographic agility. By investing in these capabilities and prioritizing migration now, assets will be secured when quantum threats become a reality.
• Threat Awareness: Low cyber hygiene awareness among rural and small business populations support phishing, QR-code scams and fraudulent loan app incidents.
• Cryptomining Expansion: Attackers now deploy miners that automatically adapt CPU usage to avoid detection. The combination of miner payloads and compromised enterprise compute resources suggests monetization-driven persistence campaigns running parallel to espionage or ransomware operations.
• Modular Trojans: Families like Trojan.Agent, Trojan.Flaxif.E5, and Trojan.KillAv.DR demonstrate modular evolution—each designed to deploy, disable, or adapt. Once a system is compromised, these trojans establish persistence, disable protections, and act as conduits for ransomware or espionage modules, effectively turning endpoints into multi-purpose launchpads.
• Zero-Day Weaponisation: The time span for weaponising zero-day vulnerabilities has reduced from weeks to days, highlighting the lack of timely patch management to be a top exploit vector and making automated patching essential.
• Revival of Host-Based Exploits Against Legacy Vulnerabilities: Along with the emergence of sophisticated threats, basic techniques of cyber-attacks continue to remain resilient. In 2025, Seqrite detected more than 8 million cases of attacks using the LNK exploit, which abuses the Windows shortcut mechanism to execute code through removable or mapped drives.

Global Fraud Detection and Prevention Market

The Fraud Detection and Prevention ecosystem evolved in 2025 driven by the convergence between advances in AI capabilities and the imperative of global cyber resilience. According to the World Economic Forum, cyber-enabled fraud has now reached unprecedented levels. CEOs now cite fraud as the number one cyber threat, superseding the traditionally top-ranked concern of ransomware.

Key Trends diagram (text content):

• Self-Reliance: Against a backdrop of heightened geopolitical tensions, nations and organizations seek to secure their digital frontiers with sovereign and resilient technology stacks. This shift reflects a broader movement toward self-reliance, shifting demand from foreign monopolies to regional technology vendors.
• The AI and Agentic Shift: The rise of Agentic AI has created an imperative for Identity and Access Management (IAM) to undergo revisions, particularly around machine-based automation and machine-centric access.
• Identity Threat Detection and Response (ITDR): Identity-based threats, including those using deepfakes for fraud, have raised the importance of ITDR as Chief Information Security Officers (CISOs) grapple with expanding digital attack surfaces.

Indian Cybersecurity Market & Government Initiatives

Indian Cybersecurity Market

The cybersecurity market in India stands on an inflection point, transitioning from a mere cost centre to a business enabler. Expansion of robust cybersecurity solutions is supported by the sheer volume of the digital public infrastructure of India and growing demand from BFSI, IT/ITeS, Telecommunications and E-commerce sectors. The market is valued at $5.6 billion in 2025.

Regulatory Catalyst

The regulatory environment is becoming a primary catalyst for adoption of cybersecurity solutions. Firstly, the Digital Personal Data Protection Act, 2023 (DPDP Act) sets the legal basis for data sovereignty, while the release of the draft 2025 DPDP rules for consultation is an important step towards implementation. Businesses are legally required to meet strict organisational requirements related to the process of cross-border data transfer and breach notification. Consequently, ITDR is becoming indispensable for companies based in India.

Over the next three years, enforcement of the DPDP law is projected to drive over ?10,000 crore in corporate spending on privacy automation and compliance services.

Government Initiatives Supporting Cybersecurity

• Financial Fraud Risk Indicator (FRI): The Department of Telecommunications (DoT) has launched the Financial Fraud Risk Indicator (FRI) system, which identifies suspicious mobile numbers in three categories, i.e., Medium, High or Very High-risk.
• CyTrain Portal: The CyTrain portal has managed to register over 1,05,796 policemen. Until now, 82,704 certificates have been issued to train the frontline workers for effective cybercrime investigations.
• Indian Computer Emergency Response Team (CERT-In): CERT-In functions as the countrys national cybersecurity incident response body. It monitors the incidents, identifies any threat and vulnerabilities, and sends out necessary advisories regarding the same. Whenever incidents of data breach or phishing attacks are detected, CERT-In ensures timely risk containment and improves resilience across government and industry sectors.
• Budgetary Allocation and CFCFRMS: In the Union Budget 2025-26, ?600 crores were set aside for cybersecurity initiatives as part of the countrys national security risk management program. Also, the Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS) has enabled financial organizations to protect their assets worth ?5,489 crore from 17.82 lakh complaints.
• National Cyber Crime Reporting Portal: The National Cyber Crime Reporting Portal enables the citizens to report cyber-crimes from anywhere, with a special focus on offences targeting women and children. In addition, the 1930 helpline provides instant support to victims of financial fraud by facilitating prompt reporting and blocking fraudulent transactions where possible.
• National Mission on Interdisciplinary Cyber-Physical Systems (NM-ICPS): NM-ICPS aims to fight cyber fraud through promoting innovative research and discoveries in areas of cybersecurity and artificial intelligence. The initiative supports the development of threat detection mechanisms, safeguarding national security by mitigating potential cyber-attacks.

Threat Landscape in FY2025-26

Threat Landscape in FY2025-26

• Emergence of Tier 2 and Tier 3 Cities: With rising economic importance, cities such as Surat, Jaipur and Ahmedabad have seen increasing incidences of cyberattacks as they fail to have a mature cybersecurity ecosystem as compared to Tier 1 cities.
• Critical Healthcare Infrastructure: With increasing digitisation, the health sector today represents the highest-pressure area, constituting 21.82% of all malware attacks. The industry is resorting to a balanced approach to cybersecurity in healthcare infrastructure, which includes technology development as well as governance and capacity building.
• AI-driven Supply Chain Vulnerabilities: Nearly one-third of the cyberattacks reported in 2025 comprised of cyber threats related to AI-driven supply chain and multi-vector attacks. This demonstrates trend towards growing exploitation of the automation systems by cybercriminals for their benefit.
• Legacy Infrastructure: As digital transformations speed up, legacy infrastructure and lack of resources still continue to make Indian businesses targets for highly advanced cyberattacks.

Despite the persisting challenges, the outlook for the industry appears positive driven by growing awareness and regulatory tailwinds. Looking ahead, market is forecasted to reach $12.9 billion in 2030, exhibiting a high CAGR of 18.3% over the forecast period.

Key Highlights during 2025-26

Category	Details
Total Detections	265.52M over 8 million endpoints
Top Sectors Impacted	Education, Healthcare and Manufacturing
Malware & Threat Types	Trojans ( 88.4M) and File Infectors ( 71.1M) together made up nearly 70% of all malware detections
Frequency	Recording 12.5 million detections and accounting for 47% of the total volume
Behaviour Based Detections (NGAV + Anti-Ransomware)	Averaging 505 detections every minute
Most Affected Indian States	Maharashtra: 36.1M; Gujarat: 24.1M; Delhi: 15.4M
Blocked advanced threats	34M advanced threats, including fileless and encryption-based attacks
Network-Based Exploits	Exceeded 9.2 million scans, specifically targeting WordPress, Apache Tomcat, and SysAid systems
Cryptojacking	Recorded 6.5M detections, outpacing Ransomware ( 0.81M) and indicating a shift toward stealth monetisation

Geographical Hotspots (Source: India Cyber Threat Report 2026)

State	Detections	Share
Maharashtra	36.13mn	24.31%
Gujarat	24.13mn	16.24%
Delhi NCR	15.41mn	10.37%
West Bengal	14.35mn	9.66%
Uttar Pradesh	13.94mn	9.38%

• National Threat Intelligence featuring Public-Private Partnerships: Ensuring better national security by integrating telemetry technology with government organisations such as CERT-In to create an intelligent environment. This facilitates threat sharing for protection of critical infrastructure from highly sophisticated and coordinated cyber-attacks. Focus on data sovereignty requires that sensitive personal and financial data remain within Indian borders. This necessitates a localised infrastructure of data centres and cloud security services, moving away from offshore solutions.
• Ensuring Data Sovereignty through Automation: Ensuring the implementation of DPDP Act with the help of automation via professional service providers. The automation of data discovery, classification and breach notifications will ensure continuous compliance and data sovereignty under the evolving domestic regulations.
• Resilient Digital Frameworks: In an era of heightened geopolitical volatility, businesses are pivoting towards self-resilient, end-to-end architectures that ensure sovereign control over critical digital infrastructure. In response, Ransomware Recovery-as-a-Service (RRaaS) has the potential of ensuring business continuity and maintaining digital trust.
• Cybersecurity Mesh Architecture (CSMA): The shift to CSMA remains relevant, as organisations seek integrated stacks that offer unified visibility across cloud, endpoint and network layers to manage the complexities of hybrid work.

India Cybersecurity Maturity

The India Cyber Threat Report 2026, published by Seqrite, evaluates cybersecurity maturity across 180 organisations. The report identified critical gaps in predictive threat detection, incident response agility and data privacy governance. In response, we fortified our enterprise suite, leveraging Seqrites unified threat telemetry which captured 265.52 million detections across over 8 million endpoints in India, averaging 505 detections per minute. The substantial volume of detections highlights the persistent and sophisticated nature of threats facing Indian enterprises, characterised by a complex mix of legacy malware, fileless intrusions, AI-augmented phishing and Ransomware-as-a-Service (RaaS) models.

Survey Insights

Threat Exposure and Attack Patterns	Cyber Resiliency
56.9% of participated organisations were unsure whether they had experienced a cyberattack	50.8% reported no impact despite being targeted
16.6% reported experiencing a cyberattack at some point in the past 12 months	9.4% faced business disruption
8.8% reported facing multiple cyberattacks, occurring weekly or monthly	7.7% suffered data loss
1.1% experienced cyber-attacks very often	5.5% faced financial loss
3.8% suffered regulatory implications

[Image: Man in blue shirt looking at laptop with digital graphics]

Most Observed Threat Types (diagram text)

• Social engineering (phishing/vishing/smishing) – highest
• Malware attacks
• Web application attacks
• ~10% attributed to ransomware
• ~6% linked to AI/ML based attacks
• ~5% supply chain attacks
• Spoofing attacks remain concerning

Top 5 Challenges in Cybersecurity Adoption

1. Lack of knowledge/experience
2. Lack of manpower/skilled resources
3. Budget constraints
4. Lack of senior management support
5. Low priority within the organisation

Low cyber maturity across organisations is driving a paradigm shift towards managed security frameworks. Enterprises are increasingly adopting MDR and XDR solutions to outsource continuous threat detection and response. This transition is supporting heightened demand for specialised consulting services and awareness-led cybersecurity adoption to fortify foundational defences.

India Fraud Detection and Prevention Market

The most significant risk associated with Indias digitisation initiative lies in its human component. According to the National Cyber Crime Reporting Portal, Indian citizens made over 24 lakh complaints against financial fraud in CY 2025. This amount of fraud is primarily driven by deepfake-enabled and credential-based scams.

Information security and risk management investments in India are projected to reach $3.4 billion by 2026, highlighting the shift from point-in-time fraud prevention methods. The industry is now investing in Continuous Control Monitoring (CCM) systems that offer real-time insight into transactional irregularities. Companies are beginning to implement Zero-Trust principles in their financial processes in order to counter internal fraud and APP frauds, which we mentioned previously as being new threats.

Outlook

The future of Indias Fraud Detection and Prevention industry depends largely on accelerated evolution towards being identity-driven and autonomous to address the challenge of industrialised, automated fraud.

With increasing levels of integration between financial ecosystems and Indias Digital Public Infrastructure, the industry is expected to move away from stand-alone fraud prevention solutions towards creating robust identity-based trust infrastructures focused on Identity Threat Detection and Response. To secure Indias vast digital ecosystem, AntiFraudAI stands as Quick Heals category-defining innovation, pioneering proactive, scalable threat defence.

The passage of the DPDP Act will create a structural change prompting companies to implement automated identity threat detection and response. Driven by the success of programmes such as the Financial Fraud Risk Indicator, the outlook includes increased collaboration to counter frauds by combining public policies with technological advancements.

Business Overview

Quick Heal Technologies Ltd. operates as a globally recognised leader in the cybersecurity domain, delivering a comprehensive suite of security solutions designed to protect and defend digital assets across an extensive array of devices and platforms. With a strategic focus on versatility, the Companys product portfolio is meticulously engineered to address the specific security imperatives of a diverse clientele, including individual consumers, small-to-medium enterprises (SMEs), government entities and large-scale corporate organisations. It is the first publicly listed cybersecurity products and solutions company in India. Further, the Company provides one of the few Indian integrated AI-led cybersecurity platforms with both consumer and enterprise capabilities.

Leveraging over three decades of specialised institutional knowledge, the Companys R&D initiatives including the largest malware analysis centre & first fraud prevention lab remain dedicated to pioneering advancements in device, application, data, network security, threat management, AI and cybersecurity mesh architecture (CSMA), ensuring resilient protection in an increasingly complex digital landscape. Driven by sustainability, the Company integrates ethical and carbon-conscious business practices into its operations. Quick Heal Academy further empowers future cybersecurity professionals and corporate employees through industry-integrated training and awareness programmes, bridging the existing skill gap.

Key Business Highlights

Metric	Value
Domain expertise	30+ years
Offices in India	23
Presence	70+ Countries
Patents granted	9
Cybersecurity Professionals	900+
Market Leadership	Consumer and SMB Space
Seqrite Labs	Indias Largest Malware Analysis Lab
Strong Dealer Network	35,000
After-sales support	24*7 multi-lingual
Indias First Fraud Prevention Solution	AntiFraud.AI

The Companys purpose is to innovate to simplify the process of securing digital experiences.

Three Pillars:

• Innovate: Focus on grassroots research and adoption of new tech — New Products and Services; Threat Management; Integrated Architecture; Deep Malware Research; Common Taxonomy; Use Cases and Playbooks; Innovative AI/ML models; Democratise.
• Simplify: Ease of manageability & operations for the end customers — Open and Modular; Platformisation; Managed Services; Single Pane of Glass; Single Policy Framework; Common Playbook; Robust, Resilient and Scalable; Ease of Deployment/Use.
• Secure: Staying one step ahead of the threat actors to protect customers — Getting the Job Done; High True Positives; Adaptive and Future Proof; Sentient; Error-Proof; Transparent; Zero Touch; Zero Trust.

Seqrite Labs

Seqrite Labs is Indias largest malware analysis facility and the intelligence backbone, driving next-generation cyber defence through advanced research, AI-led threat intelligence, and proactive cyber resilience. Having evolved from a traditional malware-centric research facility into a cognitive resilience hub, Seqrite Labs is leading the shift from static, signature-based detection to dynamic, behaviour-based anomaly detection powered by its patented GoDeep.AI technology.

Monitoring over 8.44 million endpoints across India and recording an average of 505 detections every minute, Seqrite Labs transforms large-scale telemetry into actionable intelligence mapped against the MITRE ATT&CK framework. Its capabilities span malware analysis, adversarial AI simulation, red teaming, digital risk protection, dark web monitoring, and threat attribution, enabling organizations to proactively identify vulnerabilities and strengthen cyber resilience against increasingly sophisticated threats. Last years threat forecasts achieved a 70% validation rate, accurately anticipating the surge in AI-powered attacks, hybrid warfare operations (Operation Sindoor), and the evolution of ransomware into data-extortion ecosystems.

Seqrite Labs has consistently demonstrated leadership in cybersecurity research and threat response. The Labs were among the first globally to solve the highly sophisticated EXPRIO infector, reinforcing their expertise in advanced malware analysis. Its technical whitepapers were also selected for presentation at the prestigious Virus Bulletin Conference. During the multi-front digital assault of Operation Sindoor, Seqrite Labs served as a critical defence centre for Indias digital infrastructure, tracking and identifying over 650 coordinated cyber incidents, including spear-phishing, malware, and DDoS attacks linked to 35 state-backed and hacktivist groups. Seqrite Labs uncovered several advanced persistent threat (APT) campaigns, including Swan Vector APT-targeting institutions across Taiwan and Japan, SideCopy APT-linked to Pakistan and Silent Lynx APT-targeting national infrastructure of Kyrgyzstan, further demonstrating the labs pivotal role in uncovering high-impact, transnational cyber espionage networks.

Additionally, the Companys Fraud Prevention Lab is a specialized innovation hub powered by AI, behavioural analytics, and threat intelligence to counter emerging cyber frauds across India. In recognition of its excellence, Seqrite Endpoint Protection received the AV-TEST Best Performance Award for Corporate Users 2025, adding to the AV-TEST Best Performance 2024 Award, it had already won for consistently delivering minimal system impact alongside high-grade protection.

Consumer Business

Consumer Business

Quick Heals consumer business continues to build on a strong three-decade legacy of trust, innovation, and deep market reach, maintaining leadership in Indias consumer cybersecurity segment with over 30% estimated market share. In an increasingly digital and fraud-prone environment, the Company is strategically evolving beyond traditional antivirus into a comprehensive AI-powered digital safety ecosystem focused on privacy, fraud prevention, identity protection, and predictive security. Backed by one of Indias largest cybersecurity distribution networks with over 35,000 partners and resellers, Quick Heal combines strong offline penetration with growing digital-first engagement to serve both emerging and tech-savvy consumers.

During the year, the Company strengthened its consumer portfolio through innovations such as Quick Heal Total Security version 26, powered by GoDeep.AI, SIA (Security Intelligent Assistant), and integrated fraud prevention capabilities, alongside the launch of Quick Heal AntiFraud.AI Freemium version, Indias first all-in-one fraud prevention solution designed to combat AI-driven scams, phishing, banking fraud, QR scams, and digital identity theft in real time. Quick Heals product line further includes Quick Heal Total Security, Quick Heal Internet Security, Quick Heal Antivirus Pro, Quick Heal Mobile Security, among others, spanning Windows, Mac, Android and other devices and platforms.

Tagline: "Digital Bharat ka Bharosa, Fraud se Suraksha" — Quick Heals long-term promise to its customers!

Channel Strategy and Market Approach — Channel Structure

Quick Heals consumer distribution operates through multi-tiered channels:

• Tier 1 Distributors purchase directly from Quick Heal. Bag Engineers, IT dealers and rest of the tier partners purchase from T1 distributors and engage consumers on the ground.
• Online, products are available through the companys D2C website and major e-commerce platforms.

Profit-Sharing Programme: The Profit-Sharing Programme ensures partners receive credit for renewals across all channels, with monthly incentive payouts reinforcing long-term partnerships. Quick Heal does extensive BTL activities to ensure prominent visibility of the brand across categories of towns. This includes signage, posters, banners, on-ground activities and partner meets.

Go-To-Market: The Company continues to fortify its global partner network, leveraging strategic alliances across sales, marketing and distribution channels to drive market penetration and brand equity in key geographies. The Companys hybrid engagement model effectively synchronises digital outreach with an extensive, long-standing retail and partner network. With a distribution system comprising over 35,000 dealers and resellers, Quick Heal ensures localised trust and accessibility, facilitating deep penetration into Tier 2 and Tier 3 markets where physical presence remains a critical driver of influence. This omnichannel approach balances online discovery and engagement, through tele-calling, SEO, in-product renewals, auto-renewals, etc., for digital-native segments with the tangible reliability of physical Quick Heal shops, thereby optimising the customer journey across all touchpoints.

Go-To-Market (contd.), Tech Support & AntiFraud.AI

The Companys Go-to-Market (GTM) strategy for AntiFraud.AI integrates mass-market education with targeted, persona-driven adoption phases. Through digital-first awareness initiative, alongside retail-led consumer education efforts, the Company is driving greater awareness around financial fraud, scam prevention and digital safety. Acknowledging the substantial economic impact of fraud across all demographics, the Company is prioritising high-risk segments in the initial phase, including senior citizens, heavy UPI/mobile banking users and families seeking enhanced digital protection for dependents. The Company is also leveraging its existing user base and partner ecosystem to accelerate adoption and create new revenue opportunities around anti-fraud and privacy-first solutions.

Multi-channel and Multi-lingual Tech Support Ecosystem

The Company has enhanced its pre- and post-sales experience through a structured, multi-channel technical support ecosystem, including:

Channel	Description
Phone Support	India + multiple international centres
Email Support	support@quickheal.com
Live Chat Support
Remote Support capability	agents can connect to user systems
Self-service portals, FAQs and video tutorials

This multi-lingual and globally distributed framework, supported by extensive self-service tools and tutorials, reflects the Companys dedication to delivering world-class service and maintaining high levels of customer satisfaction.

AntiFraud.AI

With financial fraud and social-engineering attacks emerging as the most rapidly expanding category of digital crime in India, the Companys solution features AntiFraud.AI. Unlike traditional security solutions that focus primarily on malware and ransomware detection, AntiFraud.AI is specifically engineered to mitigate real-time deception and AI-powered scams. As Indias first all-in-one fraud prevention system, it incorporates specialised capabilities such as fraud app detection, dark web monitoring, screen share alerts, unauthorised access alerts, fraud call alerts, banking protection and QR scam prevention, addressing critical gaps inherent in conventional antivirus tools.

• Optimised the onboarding flow, resulting in a 3X improvement in sign-up completion rates.
• Added new features such as: USB Data Leak Detection; Dark Web Monitoring 2.0; SCAM Protection for social media apps; Enhanced Fraud App Detection; Coin-drop sound notifications for financial transactions; and an improved Fraud/SPAM Call Detector.
• Simplified feature enablement flows to drive better feature adoption and overall user experience.

AntiFraud.AI is accessible via the Companys official online platforms for major operating systems, including Android, iOS and Windows. The recent introduction of a Freemium model is expected to significantly accelerate customer acquisition and develop a dedicated community around the product. Features such as Fraud Protect Buddy and real-time banking alerts are meticulously tailored to these specific personas, highlighting the Companys position as a category leader in personalised digital safety.

Quick Heal Total Security & Consumer Focus Areas

Quick Heal Total Security

Quick Heal Total Security version 26 is positioned as a unified platform that converges privacy protection, AI-powered predictive capabilities and fraud prevention. The synergy between Quick Heal Total Security and AntiFraud.AI is designed such that Quick Heal Total Security provides the technological backbone through GoDeep.AI and the Security Intelligent Assistant (SIA), while AntiFraud.AI contributes specialised intelligence for fraud defence. This integration forms a robust security infrastructure designed to anticipate and neutralise threats with high precision.

The integration of AntiFraud.AI within Quick Heal Total Security v26 empowers users with multi-layered defence mechanisms, including real-time scam blocking and UPI fraud prevention. Central to this is GoDeep.AI, a predictive model that continuously learns from vast datasets of historical malware and fraud patterns to enhance accuracy and resilience. Further, the inclusion of next-generation dark-web monitoring provides identity protection by scanning for leaked credentials, such as Aadhaar, PAN and passport details, thereby strengthening user trust and brand reputation.

Security Intelligent Assistant (SIA)

SIA is Quick Heals security assistant designed for a simpler, stress-free user experience, with smart, real-time protection with AI-powered threat detection. The Privacy-First Protection ensures digital identity and personal data are safeguarded at all times. metaProtect helps the customer manage multiple devices with privacy alerts enabling full remote control from one console. The platform is optimised for lightweight performance with an Antivirus that runs silently in the background without slowing down the device. SIA empowers customers for a fearless digital experience with safe banking, fake website/apps protection, fraud prevention, ransomware defence, malware protection and more.

Key Focus Areas for Consumer Business

The Company is executing a definitive strategic shift from traditional antivirus (AV) software to a holistic Consumer Digital Safety Ecosystem. This evolution centres on a unified platform that integrates AI-powered prediction, privacy protection and identity security. Focusing on consistent omnichannel experience and personalised engagement model that features tailored security and privacy scores, providing users with actionable insights to strengthen their defensive posture. The Company maintains a flexible PSP designed to safeguard partner earnings even in instances where customers choose to renew directly. The program is supported by efficient incentive disbursements via direct bank transfers. The Company is repositioning its growth strategy by aggressively targeting the SOHO (Small Office/Home Office) segment to broaden its market reach.

The Company is steadily increasing its global presence, strengthening partner networks internationally to leverage alliances for sales, marketing and distribution. The Company is focused on keeping overdues under control by reducing channel exposure.

On the consumer front, Quick Heal is transitioning from a traditional antivirus provider into an AI-driven digital trust and cyber-resilience company.

Enterprise Business

The enterprise cybersecurity landscape continues to evolve at a pace that demands architectural rather than incremental responses. With India recording over 265 million cyberattacks annually, more than 500 per minute, and approximately 70% of incidents driven by trojans and file-based malware, the scale and persistence of threats have become defining operational realities for CISOs and security leaders. Parallelly, the threat model is shifting with ransomware becoming increasingly targeted and post-compromise in nature, AI-driven phishing on the rise and identity-led attacks reshaping the perimeter. The escalation of cyberwarfare as a primary instrument of geopolitical leverage has led to heightened cybersecurity sensitivity in organisations. In this environment, Seqrite stands as a comprehensive, integrated cybersecurity platform provider serving large enterprises, government institutions and mid-market organisations.

Enterprise Business: Portfolio, Channel & GTM

Seqrites core strategic premise is the consolidation of security capability instead of the proliferation of point solutions. Multivendor environments introduce manageability complexity and increase the total cost of ownership (TCO) which forms a persistent concern for CISOs managing constrained budgets against expanding threat surfaces. Seqrite addresses this by offering a personalised, use-case-driven and integrated portfolio spanning Endpoint Protection (EPP), Endpoint Detection and Response (EDR), Managed Detection and Response (MDR), Extended Detection and Response (XDR), Data Loss Prevention (DLP), Data Privacy, Zero Trust Network Access (ZTNA), Mobile Device Management (MDM), Bring Your Own Device (BYOD), Seqrite Malware Analysis Platform (SMAP), Digital Risk Protection Services (DRPS), Ransomware Recovery-as-a-Service (RRaaS), Seqrite Intelligent Assistant (SIA) and SOHO, all operating within a common telemetry and data layer. This architecture enables correlated signals, unified workflows and a single context-rich console, reducing both operational burden and response latency.

The Companys data privacy product line is aligned with the global frameworks including the National Institute of Standards and Technology (NIST), General Data Protection Regulation (GDPR), Indias Digital Personal Data Protection (DPDP) Act, 2023, etc. Solutions are designed to deliver end-to-end protection across devices, applications, networks and data, enabling enterprises to adopt a unified security posture in place of fragmented deployments.

Channel Strategy and Market Approach — Channel Partner Ecosystem

Quick Heals enterprise channel strategy targets key verticals including Government, BFSI, IT/ITeS, e-commerce, healthcare and digital natives. The Company operates under a tiered channel strategy with targeted programmes for small and medium businesses (SMB), mid-size business and large organisations. Additionally, the Company is expanding its international footprint with strategic alliances to drive broad-based revenue growth.

Go-To-Market

Seqrites go-to-market model is segmented and architecture-driven, calibrated to the distinct requirements of small and medium businesses (SMB), mid-market and large enterprise customers. The SMB segment is served through a deep reseller-led channel ecosystem. For mid-market and large enterprise accounts, the Company engages Value Added Distributors (VADs), enterprise-focused resellers, large system integrators and independent consultants to enable solution-oriented sales engagement across the globe. Seqrite is successfully executing its data privacy go-to-market strategy for large organisations. The Company has demonstrated clear market validation by securing initial contract wins with major banking and financial services clients.

Brand recall is supported through strategic presence at high-impact industry events, account-based marketing (ABM) programmes and a structured channel partner programme. The Company is actively deepening partner relationships through presence at global events including GITEX, GISEC, and Black Hat. At Annual Information Security Summit 2025, Seqrite launched the Seqrite India Cyber Threat Report 2026, reinforcing the brands commitment to insight-led cybersecurity awareness and industry preparedness. Customer testimonials, partner success stories and outcome-based case studies are deployed to transition market perception from product awareness to solution preference to platform adoption. Seqrite strengthened customer engagement through regular threat newsletters, advisories and insight-led communication for Institute for Development and Research in Banking Technology (IDRBT) and other enterprise customers.

Marketing investments are evaluated through a data-driven attribution model, tracking leads by source through qualification, pipeline and revenue conversion. For international markets, the Company is replicating this tiered partner model to enable efficient geographic scale. The Company was listed as a preferred vendor by Gartner for Disinformation Security and its XDR solution was

Strategic Alliances

TruVisor has been onboarded as a Value-Added Distributor for the India business. T2/T3 channels and system integrators are supported through dedicated schemes and enablement programmes. In South-east Asia, collaboration with Terabytes cybersecurity portfolio enables Seqrite to expand to diverse markets including Singapore, Indonesia, Thailand, the Philippines, Vietnam and Malaysia. Seqrite has entered into a strategic partnership with SecureKloud, further strengthening its Indian footprint. Another strategic alliance with JISA reinforces Seqrites commitment to deliver integrated data protection and data privacy solutions for global enterprises to address the growing demand for data privacy and data security.

Partner onboarding prioritises value alignment, complementary capabilities, customer reach, and technical expertise.

Sales teams are trained in consultative selling, with emphasis on upsell and cross-sell within existing enterprise accounts. In FY26, the Company partnered with a large enterprise to implement Customer Relationship Management and Sales Management platforms, further optimising operations. This model is being replicated across Southeast Asia, the Middle East & New Product Highlights & Seqrite Data Privacy Benefits

New Product Highlights

Capability	Function	Strategic Impact
DRPS	Digital Risk Protection Services focused on detecting, monitoring and mitigating risks.	Secures assets beyond the traditional network perimeter, across the surface web, deep web and dark web.
RRaaS	Ransomware Recovery-as-a-Service facilitates end-to-end recovery support, spanning assessment to system hardening.	Minimises downtime and data loss through specialised containment and rapid restoration protocols. Protection against ransom demands.
SIA	Seqrite Intelligent Assistant is a virtual security platform that simplifies security and accelerates response with the power of AI.	Reduces complexity, amplifies speed and improves efficiency in security operations by automating repetitive tasks, accelerating investigations and delivering clear, actionable insights.

SOHO

Small offices are particularly vulnerable to cybercriminals, facing risks such as ransomware, phishing and data theft. SOHO Total Edition ensures robust protection while simplifying security management, making it an ideal solution for small offices with limited IT expertise.

Seqrite Data Privacy — Key Benefits (diagram text)

• Reduced downtime and improved business continuity
• Enterprise-grade security for SOHOs
• Seamless protection for remote users
• Cloud and On-premise flexibility
• Centralised management with real-time alerts and reports
• Multi-layered defence against ransomware and malware

[Note: Page begins mid-sentence from previous page: "...2023, following the notification of DPDP Rules in 2025, has created a clear and expanding addressable market for integrated privacy and cybersecurity solutions."]

Organisations across sectors now face defined obligations around consent management, data protection safeguards, breach reporting and accountability.

Seqrite Data Privacy is positioned as a unified platform integrating privacy governance with enterprise cybersecurity operations in a single environment.

The platform offers over 100 prebuilt classifiers, including for Aadhaar, PAN and passport numbers, covering major Indian data types and 22 Indian languages, along with 500+ enterprise data source connectors. It scans structured sources (databases), unstructured sources (documents, emails, cloud storage) and endpoints employing OCR techniques and AI/ML-based document classification to detect sensitive information in scanned documents, images and PDFs. Automated Data Subject Request (DSR) handling, consent and cookie management, encryption, tokenisation, DPIA and RoPA assessments and breach notification workflows are integrated within a single-dashboard, workflow-driven interface designed for both privacy and security operational teams.

The convergence of cybersecurity and privacy capability within a single deployment is emerging as a meaningful revenue driver for the enterprise business, enabling larger deal sizes, cross-sell opportunities and improved customer retention. Several customers have completed proof-of-concept evaluations and early-stage deployments are underway across data discovery, consent and rights management, breach workflows and compliance reporting.

Indigenous Capability as a Strategic Differentiator

Seqrites cybersecurity solutions are indigenously developed, providing a distinct strategic advantage in government and critical infrastructure engagements. The Companys alignment with Make in India policy, with a focus on data localisation and digital sovereignty, and its reduced dependency on foreign technology in sensitive environments together constitute a trust architecture that is difficult for global vendors to replicate. Operating Indias largest malware research laboratory and leveraging deep domestic threat intelligence, Seqrite is positioned as a credible national alternative for sovereign and regulated use cases. This competitive advantage will remain increasingly relevant as Government procurement increasingly prioritises indigenous technology.

Key Focus Areas for Enterprise Business

The Companys enterprise strategy is anchored in delivering an integrated security architecture, spanning Data Privacy, EPP, EDR, XDR, DLP, DRPS, RRaaS, STI, SMAP, SIA and MDR from a single platform, reducing the need for multi-vendor deployments and the associated TCO and complexity burdens.

The convergence of cybersecurity and data privacy, anchored by Seqrite Data Privacy, is being pursued as a growth driver, enabling organisations to address both the technical and regulatory dimensions of data protection within a unified deployment.

Deepening capabilities in XDR and Endpoint Protection remains a core product priority, with SMAP and STI bringing AI-native security operations to large organisations. The roadmap is being shaped to counter increasingly cognitive and AI-driven threats.

Seqrite Labs continuously integrates security-by-design principles across its product portfolio, ensuring that privacy protection, risk mitigation and secure data handling are embedded at the platform level rather than addressed through add-on measures.

Building vertical depth across Government, BFSI, Healthcare and IT/ITES sectors is a strategic priority, with targeted solutions and go-to-market programmes calibrated to sector-specific regulatory and operational requirements.

The Company is accelerating its international expansion across South-east Asia (SEA), Middle East and Africa (MEA) and Latin America (LATAM), replicating a tiered channel model and leveraging its integrated portfolio for market entry and scale.

A shift in sales engagement, from transactional product selling to consultative, outcome-driven interaction, is being institutionalised through structured enablement programmes focused on solution selling, domain expertise and strategic account management.

The Companys continued focus on improving customer engagement, with efficient multilingual and instant technical support, after sales service and effective guidance to domestic and overseas customers, ensures that customer retention continues to improve.

Quick Heal Academy is designed to address the skills gap in the industry by expanding cybersecurity education and enhancing workforce readiness.

The Company continues to drive innovations centred on monetising threat intelligence, expanding data-driven security services and deploying generative AI-powered capabilities across our Threat Intelligence and Security Information Analytics (SIA) platforms.

The Company is focused on capturing a large share of the growing demand from the Indian government sector, supported by the data sovereignty imperative.

Escalating Cyber Threat Environment

The scale and persistence of cyberattacks on Indian organisations continues to expand at a pace that is structurally driving demand for advanced cybersecurity solutions. Between October 2024 and September 2025, Seqrite Labs recorded 265.52 million threat detections across more than 8 million monitored endpoints in India. Ransomware detections exceeded 1 million during the same period.

Indias threat ecosystem has transitioned towards continuous, automation-driven attack patterns, with monthly detection volumes fluctuating between 17.6 million and 23.1 million throughout the year. This sustained threat intensity directly supports enterprise security budgets and accelerates replacement cycles, both of which translate into addressable market expansion for the Companys endpoint protection, Extended Detection and Response (XDR) and threat intelligence offerings. The URLCAT connector enriches suspicious URLs with reputation and categorisation intelligence from Seqrite URLCAT. This enables analysts to quickly assess threats, accelerating incident investigation and decision-making.

Enterprise Segment—Accelerating Market Adoption

The most significant growth driver of FY 2025-26 has been the maturation of the Companys enterprise business. The enterprise segment now represents over 50% of the Companys total revenue.

The Companys endpoint security stack now protects over 2 million end users in the B2B segment. During FY 2025-26, the enterprise pipeline translated into concrete customer wins across sectors including logistics, insurance, BFSI, media, healthcare, staffing, and government.

The government sector has further emerged as a significant contributor to enterprise growth during the year, with a strong uptick in government business driven in part by Indias broader digitalisation agenda and prevailing geopolitical environment.

DPDP Act

The Digital Personal Data Protection (DPDP) Act, 2023, and the notification of the associated Rules in 2025, have created a defined and expanding addressable market for integrated data privacy and cybersecurity solutions. FY 2026-27 is expected to be the year of active DPDP implementation by Indian organisations and the Company has positioned itself ahead of this demand cycle.

Quick Heal has strengthened its data discovery and classification, having developed the full software stack required for end-to-end DPDP compliance. The stack includes cookie and consent management, encryption, tokenisation breach and attack simulation modules and data subject rights workflows. The Company has also established partnerships with services firms providing gap assessments and consulting, enabling it to address the complete customer compliance journey instead of individual components. Implementation of this stack is currently underway for several large BFSI customers.

The DPDP Acts extraterritorial scope, applying to organisations outside India that process personal data of Indian citizens, further expands the relevant customer base. For the Company, this regulatory catalyst represents both a meaningful new revenue stream within the enterprise segment and a material improvement in average deal size as customers seek to consolidate privacy and security functionality within a single deployment.

Thought Leadership

Quick Heals investment in proprietary threat research provides a strong growth driver across multiple dimensions. The Companys R&D efforts inform product roadmaps, differentiate the brand, strengthen customer engagement and build institutional credibility with government and enterprise stakeholders.

The annual India Cyber Threat Report, produced by Seqrite Labs is the primary driver of the Companys thought leadership journey.

The annual Cybersecurity Maturity Survey, conducted with participation from over 180 organisations, provides a data-backed view of enterprise preparedness gaps that directly informs Seqrites product development priorities and customer engagement narratives.

The Data Security Council of India (DSCI) signed up with Seqrite to extend advanced threat intelligence services to its member base, delivering unmatched cybersecurity insights and leadership powered by Indias largest malware analysis laboratory.

Quick Heals institutional research engagement extends to the international stage. The Company is the first Indian cybersecurity-focused organisation to join the United States Artificial Intelligence Safety Institute Consortium, advancing responsible AI development in global digital ecosystems. It collaborates with the US National Institute of Standards and Technologys National Cybersecurity Centre of Excellence (NIST-NCCoE) on data classification initiatives, reflecting the Companys role within the global policy conversation on AI-security governance. Quick Heals collaboration with the National Forensic Sciences University, Research and Innovation Council reflects its focus on research, innovation and talent development in cybersecurity and forensic science. During the year, two of the Companys whitepapers were submitted to the Virus Bulletin conference held in Germany. These included unmasking the GrassCall Campaign led by a Russian-speaking group Kevland and uncovering the Silent Lynx cyber espionage campaign in Central Asia.

The Company collaborated in the establishment of a state-of-the-art cybersecurity lab at the Bankers Institute of Rural Development (BIRD), Lucknow, marking a significant step forward in reinforcing cybersecurity within Rural Financial Institutions (RFIs) across India.

The Companys research credibility was further demonstrated through its response to Operation Sindoor in May 2025, during which Seqrite Labs uncovered and documented over 650 coordinated cyberattacks targeting national institutions. The attack campaign involved both state-sponsored APT groups and hacktivist collectives.

The Company holds nine patents, including in signatures behaviour-based detection, anti-ransomware technology, and methods for protecting computer systems from malware, further differentiating its research-led product development from competitors relying on licensed or commoditised technology stacks.

AI-Led Product Innovation Widening the Competitive Moat

The Companys R&D investment over the past five years has produced a materially expanded product portfolio that spans the full security lifecycle, covering detection, response, intelligence, privacy and recovery. This breadth of offering enables multi-product deal structures and increases customer lifetime value.

GoDeep.AI serves as the unified intelligence engine across the Seqrite ecosystem, capturing organisational interest by transitioning defences from traditional signature matching to advanced behavioural analysis. By correlating real-time telemetry and automatically initiating protective actions like blocking execution or isolating systems, it eliminates manual intervention to deliver a faster response to emerging threats. GoDeep.AIs coordinated machine-learning framework continuously refines its detection models, enabling rapid incident investigation and automated containment across endpoints, networks and data environments.

Consumer Business-Category Creation

While the consumer segment faces industry-level structural headwinds from the commoditisation of traditional antivirus, the Company has initiated a category expansion through the launch of AntiFraud.AI in October 2024 and launched Freemium version in 2025.

The Companys Fraud Prevention Lab is a dedicated capability that monitors digital fraud patterns across India using AI, simulations and behavioural analytics and provides the intelligence infrastructure supporting this product.

The scale of the opportunity is significant with the Company maintaining its legacy as Indias leading retail antivirus business. The Companys distribution base that offers meaningful cross-sell potential for the fraud prevention category.

International Expansion-Early Traction in High-Potential Markets

International markets present a significant growth potential for the Company from a relatively low base. The Company is investing in dedicated personnel to grow specific territories, with Southeast Asia and the Middle East as priority geographies. In select Southeast Asian markets, the Company has witnessed multi-fold revenue growth compared to prior years.

The geopolitical shift in vendor preference described above, away from US and Israeli cybersecurity suppliers, has increased receptivity to the Companys integrated portfolio in markets across Africa, Europe, the UK and Southeast Asia, where partners and customers are seeking credible, AI-powered, and locally adaptable solutions.

Marketing, Brand Building and Consumer Awareness

A defining strategic shift underway in the consumer business is the deliberate repositioning of Quick Heal from a technical antivirus brand toward a broad digital safety platform for the everyday Indian citizen.

Increasing population of Tier 2 and Tier 3 cities who are driving UPI transactions, mobile banking and social media interactions, often for the first time, are frequently unaware of the associated risks. The Companys Digital Bharat messaging is designed specifically for Indias next wave of internet users, ensuring users are aware of the associated threats and proactively mitigate risks.

Quick Heal Digital Bharat Ka Bharosa, Fraud Se Suraksha

The Companys new brand tagline highlights the positioning transition to ensure always-on visibility across top Hindi & regional news platforms via TV, CTV, YouTube, mobile and owned channels. The Company is building a strong and consistent presence in key Hardware Security Module (HSM) to maximize reach, trust and brand recall.

On the enterprise front, the Company is actively deepening partner relationships through presence at global events including GITEX, GISEC, and Black Hat. During FY26, Seqrite participated in several business conferences, including the Bharat privacy & AI Conference and AISS 2025 Conference in Delhi, Maha Privacy & Security Summit 2026 in Mumbai and the SMB Forum, Jaipur.

The Company has the largest share of voice amongst the Indian cybersecurity industry, highlighting its market leadership and the strong trust that it has nurtures within the cybersecurity

People and Culture Overview

In a domain where the sophistication of threats evolves continuously, the quality, agility, and alignment of the workforce make a material competitive variable. Quick Heal Technologies Limited ensures that the People and Culture (P&C) function operates on the premise that sustainable business growth requires deliberate investment in talent, culture and capability, not merely headcount. The Companys people agenda during FY 2025-26 has been shaped around four interconnected priorities:

1. Building a strong talent pipeline.
2. Deepening the learning and development ecosystem—AI capability-building, cybersecurity talent development and future-ready workforce transformation.
3. Establishing a high-performance culture grounded in defined values and behaviours.
4. Reinforcing employee engagement through structured, continuous dialogue.

Culture Book

During FY 2025-26, the Company launched Culture Book 2.1 to articulate and embed shared values, behaviours and ways of working across the organisation. Distributed to all employees, the Culture Book encompasses the Companys mission, vision, core values, culture flywheel, high-performance frameworks, psychological safety principles, talent density norms, feedback frameworks, decision-making models and OKR-setting guidance.

The Culture Refresh Programme translates the Culture Book from document to practice, embedding cultural behaviours into pre and post-onboarding experiences, job description design, rewards and recognition programmes and quarterly communication and engagement cycles. Reinforcement through storytelling and leadership role-modelling is a defined component of the programme.

The implementation has had tangible impact across three dimensions.

Alignment and Clarity

The 3x3y Blueprint aligns individual employee objectives with the companys growth ambition. The OKR framework and CLEAR (Context, Listen, Evaluate, Act and Reflect) decision-making model have reduced ambiguity, accelerated decision velocity and strengthened accountability at the team level.

Psychological Safety and Innovation

The institutionalisation of psychological safety as a shared responsibility has created measurable improvements in employee participation. During the companys annual Innovation Week, over 200 ideas were submitted across functions in a single week, several of which have been incorporated into product features and process improvements.

Continuous Performance and Feed forward us Improvement

A Culture of Performance is an organisational approach where clear goals, continuous performance conversations, and accountability drive outcomes. It emphasizes ongoing alignment to business priorities, regular feedforward and coaching, and strong ownership at all levels. This shift from periodic reviews to continuous performance management enables faster decision-making, improves productivity, and builds a high-performing, future-ready workforce.

Employee Engagement and Experience

Employee Pulse and Voice of Employee (VOE) Survey

The annual VOE survey is the Companys primary mechanism for systematically capturing employee feedback on sentiment, concerns and areas for improvement. Participation has increased by 14% (participation - 92%) reflecting employee trust in the process and the organisations responsiveness to its outputs.

People and Culture Partner Connects and Engagement Programmes

Focussed P&C Partner connects along with Leadership through Skip Level Meetings, Focus Group Discussions, Ask-me-anything sessions, Town Halls, Quarterly Diversity connect, Policy Revamp initiative and Pulse Connects provide a structured, consistent channel through which employees can raise concerns, discuss career and performance matters and receive guidance. The programme creates the conditions for psychological safety and open dialogue, deepening the sense of belonging and ensuring a more personalised approach to people management.

Culture of Recognition

Culture of Recognition focused on consistently acknowledging and rewarding employee contributions, behaviours, and achievements that align with organisational goals. It promotes timely, meaningful appreciation, both formal and informal, to reinforce high performance, motivate teams and strengthen engagement. By embedding recognition into daily practices, the Company supports a positive, performance-driven environment that enhances retention, morale and overall productivity.

HiPo Programme

High-potential employees are identified through regular performance reviews and supported through targeted development interventions, stretch assignments and leadership grooming programmes.

Code of Conduct

The recently refreshed Code of Conduct has strengthened ethical safeguards and reporting confidence across the organisation, supporting a safer and more inclusive workplace.

Key Focus Areas for People and Culture

The P&C function is advancing a structured talent acquisition architecture, combining campus engagement, early-career programmes and cybersecurity-specific partnerships to establish Quick Heal as the employer of choice within the technical community. Career development is being institutionalised through defined technical and managerial tracks, transparent promotion criteria, and an active Internal Job Posting process. This will reduce reliance on external hiring and building business-specific capability over time. Strengthening of product training through structured modules covering product overviews, feature deep dives, customer use cases and release updates, which are to be made available across sales, delivery and customer success functions.

The OKR-based performance management framework is being deepened to strengthen the co-creation of goals between managers and employees, improving alignment and individual ownership of outcomes.

Revamping PLI structure to build motivation towards growth.

Highlights for FY 2025-26

• Voice of Employee (VOE) 2026 Survey: The Company achieved a strong 91% (791) participation rate marking a substantial increase from last years 78%. This also reflects the trust employees place in the process and in our collective leadership. The focus now moves to insightful analysis and meaningful action.
• Culture of Recognition: As a result of sustained focus on people practices, the recognition culture score improved by over 32 percentage points, moving from 45% to 77% compared to last year.
• Launch of Quick Heals Emerging Talent Program: 83 onboarded with focussed Diversity hiring of 52% aimed at attracting, developing, and retaining high-potential early-career professionals. This programme is designed to strengthen our long-term talent pipeline, build critical future skills and support succession planning, while enhancing our employer brand among early talent demographics.
• Enhanced Employee Experience and Engagement: Pre-onboarding automation and Onboarding experience remains strong across 7, 30 and 90-day milestones, with consistently high positive sentiment with 94-96% response, driven by effective onboarding and positive culture. Managers connect and leadership accessibility continue to be the strongest drivers of engagement, trust, and belonging.

The Company attained 100% completion of its Objectives and Key Results (OKRs), demonstrating robust cross-functional alignment with the Companys core strategic objectives.

The Company recorded a 5.9% increase in annualized attrition with Voluntary attrition at 15.5%, serving as a key indicator of evolving workforce dynamics and areas requiring continued focus on employee retention strategies defined above.

Growing Steadily

Gross revenue from operations stood at ?288.2 Crores (Net revenue ?261.02) during Financial Year 2025-26. The Gross Enterprise sector revenue recorded ?148.4 Crores, while the Gross Consumer sector recorded ?139.8 Crores.

Financial Overview

Operating Expenses: The procurement of security software products, benefit plan costs, amortisation and other costs are the principal charges listed under the heading Operating Costs.

Employee Benefits Expenses: Expenses stood at 182.90 Crores.

Web Publishing Charges: Charges stood at 0.38 Crores as compared to 0.37 Crores in FY 2024-25.

Technology Subscription Charges and Fees for Technical Services: Fees stood at 13.00 Crores as compared to 11.31 Crores in FY 2024-25.

Rent Expenses: Rent stood at 1.43 Crores as compared to 1.60 Crores in FY 2024-25.

Rates and Taxes: Taxes were 0.80 Crores as compared to 0.85 Crores in FY 2024-25.

Insurance: The Company covers various risks to safeguard and protect its assets. The insurance cost amounted to 0.38 Crores in FY 2025-26, as compared to 0.45 Crores for FY 2024-25.

Repairs and Maintenance: The Companys overall repairs and maintenance costs were at 3.91 Crores as compared to 2.55 Crores in FY 2024-25.

Business Promotion, Advertising and Sales Promotion Expenses: For FY 2025-26, the advertising and sales promotion costs stood at 14.54 Crores, while business promotion costs stood at 2.29 Crores.

Travelling and Conveyance Expenses: The volume of travel and transportation stood at 4.40 Crores in FY 2025-26 as compared to 4.84 Crores in FY 2024-25.

Communication Expenses: The cost of communication stood at 16.50 Crores as compared to 20.76 Crores in FY 2024-25.

Office Expenses: The office expenses were 2.62 Crores, as compared to 2.83 Crores in FY 2024-25.

Legal and Professional Fees: The Companys legal and professional fees stood at 21.76 Crores in FY 2025-26, as compared to 17.23 Crores in FY 2024-25.

Provision for Doubtful Debts and Advances/Bad Debts Written off: During the year, the provision for doubtful debts and bad debts was 9.48 Crores.

Miscellaneous Expenses: During the year, the miscellaneous expenses stood at 1.79 Crores in FY 2025-26, as compared to 1.61 Crores in FY 2024-25.

Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA): EBITDA (excluding other income) was 29.37 Crores for FY 2025-26, as compared to 6.59 Crores for FY 2024-25.

Interest: The amount, reflected under finance cost represents a notional charge recognised in accordance with the accounting standards applicable to the Company and does not arise from any external borrowing or debt obligation.

Depreciation: Depreciation expense amounted to 13.90 Crores for FY 2025-26, as compared to 12.96 Crores for FY 2024-25.

Profit After Tax: Profit/(Loss) after tax amounted to 10.93 Crores for FY 2025-26, as compared to 5.04 Crores in FY 2024-25.

Equity: Total Share Capital remained at 54.24 Crores as of March 31, 2026, as against 54.00 Crores, as on March 31, 2025.

Retained Earnings: During the year, retained earnings changed to 303.26 Crores as of March 31, 2026, compared to 311.54 Crores, as on March 31, 2025.

Property, Plant, and Equipment (PPE) and Intangible Assets: During the year, PPE (excluding CWIP and including investment property) balances changed to 121.06 Crores, as of March 31, 2026, from 118.88 Crores, as of March 31, 2025.

Non-Current Financial Assets: The investment under non-current financial assets as on March 31, 2026, stood at 7.50 Crores, as compared to 7.28 Crores, as on March 31, 2025.

Income Tax Assets: Income tax assets stood at 25.04 Crores as of March 31, 2026, as compared to 17.20 Crores on March 31, 2025.

Current Financial Assets — Investments: Investments reflect the Companys cash flow and are made in generally conservative assets while the money is still being used for its operations. As on March 31, 2026, the total current investment stood at 205.19 Crores as compared to 172.01 Crores as on March 31, 2025.

Trade Receivables: The trade receivables, stood at 137.59 crores, as on March 31, 2026, compared to 166.73 crores, as on March 31, 2025.

Other Current Assets: The Companys other current assets amounted to 5.83 Crores as of March 31, 2026, as compared to 7.92 Crores as of March 31, 2025.

Dividend: Total dividend paid in FY 2025-26 was Nil. For FY 2024-25 it was 16.13 Crores.

Key Financial Ratios & Strategic Roadmap

Key Financial Ratios

S No.	Ratio	Formula	March 31, 2026 (FY 26)	March 31, 2025 (FY 25)	Variation	Reason (if > 25%)
(a)	Current Ratio	Current Assets / Current Liabilities	3.40	4.49	-24.14%	-
(b)	Return on Equity Ratio	Profit after tax x 100 / Average Shareholders Equity	(0.02)	0.01	-316.98%	Return on equity ratio has decreased on account of (loss) in the current year as compare to profit in previous year.
(c)	Inventory Turnover Ratio	Cost of Goods Sold / Average Inventory	1.78	2.84	-37.35%	Inventory Turnover ratio has decreased on account of decrease in cost of good sold.
(d)	Trade Receivables Turnover Ratio	Net Credit Sales / Average Trade Receivables	1.89	2.06	-7.89%	-
(e)	Trade Payables Turnover Ratio	Net Credit Purchases / Average Trade Payables	0.12	0.18	-30.18%	Trade payable turnover ratio has decreased on account of decrease in purchases.
(f)	Net Capital Turnover Ratio	Revenue / Average Working Capital	0.95	0.97	-1.49%	-
(g)	Net Profit Ratio	Net Profit / Net Sales	(0.04)	0.02	-332.24%	Net profit ratio has decreased on account of (loss) in the current year as compare to profit in previous year.
(h)	Return on Capital Employed	EBIT / Capital Employed	(0.05)	0.00	-1,789.31%	Return on capital employed has decreased on account of (loss) in the current year as compare to profit in previous year.
(i)	Return on Investment	Net Income / Net Investment	0.06	0.07	-16.59%	-

Strategic Roadmap

• The Companys revenue profile has undergone a strategic shift, with the Enterprise segment now contributing approximately 50% to the total top-line.
• The Company is focused on transitioning up the value chain, migrating from a consumer-centric model to serving Small and Medium Businesses (SMBs), mid-market enterprises and large organisations.
• As a globally recognised full-stack cybersecurity provider, the Company is continuously broadening its solution suite to address the complexities of an evolving threat landscape.
• Significant investments are being made towards the development of next-generation products, ensuring the Company stays at the forefront of technological innovation. The Company is forming partnerships with Original Equipment Manufacturers (OEMs) to offer comprehensive, end-to-end cybersecurity ecosystems to its clients.
• Building on initial overseas successes, the Company has initiated strategic investments in select international geographies to drive global market penetration and brand presence.

Sustainability Overview

Sustainability is embedded in the Companys core values, aligning our ESG practices to drive growth and empower communities through the corporate decision-making processes. The Company believes that by engaging with stakeholders - including employees, clients, and partners - it can do our part to improve sustainability, better serve our community and simultaneously deliver our performance for the company. This begins with leading in those areas where we have the skills and ability to make an impact, be it on a local, national, or global level.

Environment, Social and Governance (ESG)

The Companys ESG strategic priorities are overseen and core policies are approved by the steering committee. The Committee is led by the chief financial officer and the chief of operational excellence. The Companys ESG governance structure ensures that every sustainability goal is directly aligned with the broader business strategy and meets all evolving regulatory requirements.

Quick Heals ESG focus is guided by three pillars:

Pillar	What It Means	Where You See It
Giving Back to Nature	Reducing our environmental footprint through energy efficiency, renewable energy, e-waste responsibility, and building products that are lighter on the planet.	Energy & Emissions
E-Waste	Sustainable Product Design
Community & People	Empowering humans in and around our ecosystem, employees, partners, and communities through skill development, education, safety, and inclusion.	CSR Foundation
Workplace Culture	Partner Training
Ethics & Governance	Upholding the highest standards of transparency, accountability, and responsible conduct in our products, our disclosures, and our decisions.	Governance Policies
Compliance	Risk Management	Cyber Resilience

Corporate Social Responsibility (CSR)

Quick Heals CSR philosophy is deeply rooted in creating sustainable social impact through technology, education and awareness focused on youth development. Driven by a commitment and passion to give back to society and build a cyber-safe nation, the Companys CSR initiatives are executed on the ground by Quick Heal Foundation, its dedicated CSR arm, under the vision of "Securing Futures."

The Companys CSR objectives focus on empowerment, awareness and accessibility.

Key pillars of CSR activities include:

• Cyber Safety & Digital Awareness
• Education & Youth Development

Cyber Safety & Digital Awareness

Quick Heal Foundation develops need-based programmes that transition citizens from passive technology users to informed digital participants, anchored in the core belief that "Cybersafety is a fundamental right for all".

Cyber Shiksha for Cyber Suraksha

The CSCS programme is Quick Heal Foundations flagship initiative. This youth-led, community-first programme operates through structured workshops, street plays, digital campaigns, mass outreach activities, and institutional partnerships with law enforcement and government bodies, including Maharashtra Cyber. The programme culminates in the annual Cyber Shiksha for Cyber Suraksha Awards, which recognize outstanding contributions by students, mentors, and institutions. Aligned with UN SDGs 4, 5, 8, 9, and 17, and national missions including Digital India, Skill India and Atmanirbhar Bharat, it ensures that grassroots action translates directly into a more digitally resilient nation.

Evidence-Backed Impact

The Company employs a rigorous evidence-based methodology, including pre- and post-session assessments covering 10.4 lakh students across Maharashtra and Karnataka. Findings from this structured survey indicate that post-programme awareness of key cyber safety concepts is approximately 90%, demonstrating significant, measurable behavioural change among participants.

Cyber Warriors

The Company equips student volunteers with personality development, youth leadership and presentation skills, preparing them to become confident, community-responsible future leaders of the country. Through this initiative, the company is actively nurturing a generation of change-makers in the digital world.

Societal Outcome

Beyond awareness, the Company facilitates the formal reporting of cyber fraud cases, extending direct support to victims of digital crime and strengthening community trust in digital systems.

Performance Monitoring

The Company tracks the effectiveness of its awareness initiatives through integrated MIS systems, structured activity reports, and comprehensive impact assessments, ensuring accountability and continuous programme improvement.

[Note: Page begins mid-sentence: "...8 million lives, the Company focuses on practical skill-building, responsible internet usage, and developing the next generation of digitally empowered individuals."]

Earn & Learn Initiative

This programme engages trained student volunteers from colleges and schools, empowering them with leadership, communication and project execution skills while providing essential financial support in the form of stipends and real-world exposure, motivating active participation in the CSCS mission.

Strategic Collaborations

The Company scales its CSR efforts through high-level collaborations with entities such as Maharashtra Cyber, PCMC Smart City, Nasscom, and various non-governmental organisations, amplifying reach and ensuring programme sustainability across geographies.

Academic Integration

In alignment with the National Education Policy (NEP), the Cyber Shiksha for Cyber Suraksha project has been formally integrated into the academic framework as a two-credit cybersecurity course at 9 institutions, creating a lasting and institutionalised impact on Indias digital education landscape.

In the past, the Company has also undertaken initiatives in mental wellness and healthcare, conducting the Arogyam Mansampada programme to address stress, anxiety and trauma among underprivileged students, covering over 11,500 lives in Pune. Through its Arogya Yan mobile medical van initiative, the Company donated 18 fully equipped vans across 10 states, reaching 5 lakh+ rural and tribal community members.

9 Million+ Lives Impacted To date

Risk Management

Quick Heal operates in a dynamic threat landscape and actively manages risks across regulatory, operational, competitive, and technological dimensions. The following section outlines key risks and the mitigation measures in place.

Governance, Risk, and Compliance (GRC) at Quick Heal and Seqrite provides the foundational architecture through which the Company defines security accountability, manages the risk landscape and fulfils its evolving regulatory and contractual mandates.

A strong GRC framework enables:

• Responsible decision-making in cybersecurity operations
• Proactive identification, assessment, and mitigation of cybersecurity risks
• Consistent compliance with applicable legal and regulatory standards
• Sustained trust with consumers, enterprises, government bodies, and investors
• GRC ensures cybersecurity is managed as a long-term organisational responsibility rather than a reactive technical function.

Intellectual Property Risk

Risk	Risk Impact	Mitigation Strategy
Intellectual Property Risk	The extent of protection available to the Companys patents, copyrights, trade secrets and other intellectual property may need to adapt across jurisdictions.	Quick Heal has established legal protection for its key brands and innovations across major international markets. The Quick Heal™ trademark is officially registered and protected in Canada, China, European Union, Japan, New Zealand, South Africa and West African countries. Seqrite™ trademark registrations have been secured in Australia, China, Canada, European Union, Japan, South Korea, and the United States to support current operations and planned expansion. The Company has also secured trademark for its new product, AntiFraud.AI, designed especially to detect and prevent frauds in India. In total, the Company has 20+ trademarks registered in India under different classes. Continuous monitoring of trademark applications is conducted to identify marks that are similar to the Companys trademarks and appropriate steps are taken to protect Companys trademark. The Company holds five granted Patents in the United States and four granted Patents in India.

Risk Table

Risk	Risk Impact	Mitigation Strategy
Channel Partner Dependency Risk	The Company depends on a network of channel partners, including distributors, resellers, and system integrators, for the sale and support of its solutions. Partner agreements are non-exclusive, creating the risk that partners may prioritise competing products.	To mitigate this, the Company

Risk Management

Risk	Risk Impact	Mitigation Strategy
Channel Partner Dependency Risk	The Company depends on a network of channel partners, including distributors, resellers, and system integrators, for the sale and support of its solutions. Partner agreements are non-exclusive, creating the risk that partners may prioritise competing products.	To mitigate this, the Company operates a two-tier distribution model supported by a dedicated sales team that works directly with partners to enhance product availability and provide technical and commercial assistance. Continuous training programmes, coordinated with technical support centres, ensure that partners maintain high service standards for end users.
Credit Risk	The Consumer segment continues to operate through a distributor and reseller network that requires inventory deployment across various channel levels. Adverse macroeconomic conditions, changes in consumer demand, or liquidity constraints at channel partners may impact inventory movement, collections and working capital cycles. In the enterprise segment, increasing participation in large and government-linked projects may result in longer receivable realization periods and heightened credit exposure.	The Company manages credit risk through a structured credit control framework comprising defined credit limits, periodic assessment of customer and channel partner creditworthiness, ageing-based monitoring of receivables and regular collection reviews. The Company maintains disciplined credit extension practices and periodically reviews channel credit limits based on risk assessments and collection trends. For enterprise, government and international customers, enhanced monitoring is undertaken through customer-specific credit assessments, milestone-based or contractually agreed billing arrangements, and focused collection management to address extended collection cycles. The Company also periodically reviews expected credit loss provisions in accordance with applicable accounting standards.
Data Privacy and Regulatory Risk	The Company processes large volumes of endpoint data across its consumer and enterprise customer base. Ensuring data privacy while navigating an evolving regulatory environment is vital to safeguarding business reputation.	The Company processes large volumes of endpoint data across its consumer and enterprise customer base. As Indias Digital Personal Data Protection (DPDP) Act comes into force, the Company has reviewed and updated its data collection, processing, End User Licence Agreements (EULAs) and storage practices to align with applicable requirements. Data flows and storage are predominantly within India. Any instances where data processing extends beyond Indian borders are subject to additional compliance review and appropriate safeguards.
Competition Risk	Competing solutions may be offered at lower cost, bundled with other products, or provided free of charge, exerting pressure on the Companys average revenue per unit.	Quick Heal has established a strong market position in the Consumer segment, with a particularly deep presence in Tier II and Tier III cities. The Company sustains competitive differentiation through consistent marketing, strategic retail partnerships, and multilingual customer support across phone, email, SMS, online chat, and community forums. Preparedness for state-sponsored and targeted cyber threats is being strengthened as the Companys enterprise presence expands domestically and internationally.
Obsolescence Risk	The rapid evolution of cyber threats, technological advancement, and shifting regulatory requirements creates the risk that current tools and practices may become outdated.	The Company addresses this through sustained investment in research and development across hardware, software, operating systems, and network functions. Timely product updates and continuous feature improvements ensure that users benefit from current and effective protection. The Company regularly updates its technology stack, remaining relevant to the current threat landscape, to defend against advanced threats. The Companys researchers are focused on tracking APT groups, uncovering attack campaigns, identifying their modus-operandi, to come up with relevant defensive strategy across its products/platforms.

AI Risk, Internal Controls & Cautionary Statement

AI Risk

Risk Impact

Mitigation Strategy

AI presents a multi-dimensional risk to the Companys business. Employees leveraging tools can inadvertently introduce new data leakage vectors and compliance vulnerabilities. For the Companys customers, AI-driven adversarial attacks are evolving to become more sophisticated and highly targeted. Customers relying on traditional cybersecurity methods are at higher risk of breaches. Further, the Company itself is a high value target in the cybersecurity ecosystem. An AI-powered breach of its own infrastructure could compromise client data, erode trust and inflict reputational and financial damage.

The Company has been at the forefront of AI innovation. Quick Heals integrated GoDeep.AI is a proprietary deep learning and predictive threat engine that is capable of blocking never-before-seen attacks based on behavioral analysis. Expanding its consumer footprint, the Company launched AntiFraud.AI, Indias first AI-driven fraud prevention tool designed to flag scam calls, phishing links and bank fraud attempts in real time. The Company was one of the first members of the US AISIC—a consortium of over 200 leading IT companies dedicated to responsible AI adoption. To strengthen AI-cybersecurity awareness and enhance workforce readiness, the Quick Heal Academy is playing a significant role in addressing the skills gap in the industry.

Internal Control Systems and their Adequacy

Quick Heal maintains a robust internal control framework designed to support operational efficiency and ensure compliance with applicable policies and regulations. The framework is calibrated to the scale and complexity of the organisation and is subject to periodic review by both internal and statutory auditors. Findings are addressed promptly, and the Audit Committee meets regularly to evaluate audit reports and recommend improvements.

The Audit Committee, constituted in accordance with Section 177 of the Companies Act and Regulation 18 of the SEBI (LODR) Regulations, 2015, oversees the effectiveness of internal controls and provides prior approval for all Related Party Transactions.

The Company operates under a comprehensive Code of Conduct governing ethical and legal standards for employees, directors, and vendors. Key areas covered include conflict of interest, anti-bribery and anti-corruption, data protection, and intellectual property.

Quick Heals Whistle-Blower Policy and Vigil Mechanism provide employees a secure and confidential channel to report unethical behaviour or misconduct without fear of retaliation, reinforcing the Companys commitment to transparency and integrity.

A Vulnerability Disclosure Policy is in place to ensure that security vulnerabilities are identified and addressed in a responsible and timely manner. This reflects the Companys broader commitment to sound governance and risk management.

The Company has also deployed advanced IT security controls encompassing access management, data protection, and incident response protocols, ensuring a secure operating environment for all internal and external stakeholders.

Cautionary Statement

Forward-looking assertions about Quick Heal Technologies Limiteds financial performance and operations outcomes can be found in this paper. Forward-looking statements are, by their very nature, subject to risks and uncertainties and demand assumptions from the Company. Readers are advised not to put undue faith in forward-looking statements since a number of variables might lead to assumptions, actual results, and events diverging considerably from those predicted in the statements. As a result, the conclusions, limitations, and risk factors mentioned in the Management Discussion and Analysis of the Companys Annual Report 2025-26 apply to this document in entirety and are subject to the cautionary note.