Nazara Technologies announced its audited financial results for the quarter and financial year ended March 31, 2026, reporting its highest-ever EBITDA. The company posted FY26 revenue of INR 1,829 crores, a 13% year-on-year increase, while EBITDA surged 66% to INR 255 crores. Momentum accelerated through the year, with Q4FY26 revenue at INR 398 crores (post Nodwin deconsolidation), quarterly EBITDA growing 52% year-on-year to INR 78 crores, and EBITDA margins nearly doubling to 19.5%, an increase of 970 basis points year-on-year. On a sequential basis, Q4 consolidated net profit rose sharply to 557M Rupees from 88M Rupees, while revenue came in at 3.97B Rupees versus 4.06B Rupees in the prior quarter. EBIT improved to 285M Rupees from 80M Rupees, with the EBIT margin expanding to 7.17% from 1.98% quarter-on-quarter. In compliance with Regulation 47 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, Nazara Technologies published a newspaper advertisement dated May 14, 2026, in the Financial Express (English) and Loksatta (Marathi), confirming the Board's approval of the audited consolidated and standalone financial results at its meeting held on May 12, 2026.

FY26 and Q4FY26 Financial Performance

The latest results reflect broad-based improvement across profitability metrics. The following table summarises the key financial indicators for FY26 and Q4FY26:

Audited Consolidated Financial Results (₹ in Lakhs)

The audited consolidated and standalone financial results filed with the stock exchanges under Regulation 33 of the SEBI (LODR) Regulations, 2015, provide a detailed breakdown of Nazara Technologies' performance. The figures for the quarters ended March 31, 2026 and March 31, 2025 are balancing figures between audited full-year figures and published year-to-date figures up to the third quarter of the respective financial years.

On a standalone basis, Q4FY26 net profit after tax stood at ₹391 lakhs, with basic and diluted EPS of ₹0.11. For the full year FY26, standalone net profit after tax was ₹(93,497) lakhs, with basic and diluted EPS of ₹(25.52). Standalone reserves (excluding revaluation reserves) as per the audited balance sheet stood at ₹3,39,939 lakhs for FY26 and ₹2,82,800 lakhs for FY25.

Operational Highlights

Nazara generated a pre-tax operating cash flow (OCF) of INR 213 crores in FY26, up 81% YoY, driven by an 84% EBITDA to OCF conversion ratio. The EBITDA contribution from the Gaming segment increased significantly from 56% in FY25 to 90% in FY26 as the company sharpened its focus on its high-margin core gaming business. The company is converging toward a globally diversified gaming platform spanning mobile, PC & console, and offline gaming across India, North America, and Europe. The Centres of Excellence built across User Acquisition, Data Analytics, Artificial Intelligence, Growth and Product are now platform capabilities embedded across the full game lifecycle.

Strategic Developments and FY27-FY28 Outlook

The company's IP portfolio expanded substantially with the acquisition of Bluetile and BestPlay — Nazara's largest M&A to date — which adds 17 casual mobile IPs and 22 million monthly active users. The Bluetile acquisition is projected to significantly boost EBITDA, with the figure expected to double by FY27. Once consolidated, the acquisition is expected to add significant revenue and EBITDA scale in FY27. Looking ahead to FY27-FY28, Nazara plans to monetise non-core assets, including Sportskeeda and its AdTech business. Existing IPs also showed strong performance; Kiddopia sustained subscriber growth for the second consecutive quarter with improved unit economics, Animal Jam expanded margins while extending onto Roblox, and Fusebox successfully scaled its narrative engine across multiple reality-TV IPs, with further launches planned. The PC & console game Human Fall Flat, published by Nazara, crossed 58 million lifetime units globally.

Commenting on the results, Nitish Mittersain, Managing Director and CEO of Nazara Technologies, said, "FY26 was a pivotal year for Nazara. We delivered our highest-ever EBITDA at INR 255 crores, with EBITDA growing 66% year-on-year and Q4 EBITDA margins reaching 19.5%. Nazara today operates at a materially different scale than it did 12 months ago. The scale, quality and earnings capacity of the platform have expanded significantly. Operating leverage is real, and it is compounding. The years ahead are about scaling this platform globally."

Board Appointments and Restructuring

Nazara announced the appointment of Mithun Sacheti, Founder of CaratLane, as a Non-Executive Director and Muraarie Rajan as an Independent Director on its Board. Mithun brings entrepreneurial and consumer brand-building experience, while Muraarie contributes over 35 years of global M&A and strategic advisory expertise. The Board approved the re-designation of Vikash Mittersain from Chairman & Managing Director to 'Founding Chairman' and Non-Executive Non-Independent Director effective June 01, 2026, with Nitish Mittersain's title consequently changed to Managing Director and Chief Executive Officer from the same date. The Board also appointed M/s. MAKK & CO., Chartered Accountants, as the Internal Auditors for FY 2026-27.

Corporate Actions

The Board approved the withdrawal of the Scheme of Amalgamation of Paper Boat Apps Private Limited, a wholly owned subsidiary, with Nazara Technologies Limited. The application for withdrawal will be filed with the Hon'ble National Company Law Tribunal, Mumbai Bench, in due course, following a change in the company's restructuring plans. In a separate regulatory filing dated May 13, 2026, the Company Secretary and Compliance Officer, Arun Bhandari, confirmed the availability of the audio recording of the Q4 & FY2026 earnings call, conducted via digital means, on the company's investor relations website in compliance with Regulation 30 read with Part A of Schedule III of the Listing Regulations.

Nazara Technologies has submitted its Monitoring Agency (MA) Report for the quarter ended March 31, 2026, to BSE Limited and the National Stock Exchange of India Limited. The report was filed pursuant to Regulation 32(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Regulation 162A of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. ICRA Limited, appointed as the Monitoring Agency under an agreement dated January 29, 2025, prepared the report to track the utilisation of proceeds raised through the company's preferential issue.

Issue Overview

The preferential issue involved the allotment of 50,00,000 fully paid-up equity shares of face value INR 4.00 each, at a price of INR 990.00 per share (including a premium of INR 986.00 per share), raising gross proceeds of INR 495.00 crore. Issue-related expenses incurred up to Q4 FY26 stood at INR 0.38 crore. The funds are earmarked for two primary objects, as detailed below.

Utilisation of Proceeds

ICRA confirmed no deviation from the objects of the issue. The report noted that utilisation is in line with the disclosures made in the offer document, with no material deviation observed over earlier monitoring agency reports. Both objects remain on schedule, with a completion timeline of within 36 months from the date of receipt of funds, as per the EOGM notice dated February 13, 2025.

The following table summarises the progress in utilisation of issue proceeds as at the end of Q4 FY26:

ICRA noted that for the expansion and growth object, INR 0.55 crore of the proceeds was utilised as reimbursement for expenditure funded earlier through internal accruals. The General Corporate Purposes head includes issue expenses of INR 0.38 crore.

Deployment of Unutilised Proceeds

The unutilised proceeds of INR 430.04 crore have been deployed across a range of mutual funds and a fixed deposit. As certified by Nikunj Raichura & Associates, the total market value of these investments stood at INR 446.56 crore at the end of the quarter, reflecting earnings of INR 16.52 crore. The deployment details are as follows:

Compliance and No-Deviation Confirmation

ICRA confirmed that all utilisation is as per the disclosures in the offer document, the means of finance for the disclosed objects have not changed, and no unfavorable events affecting the viability of the objects were reported. Shareholder approval for material deviations was noted as not applicable, as no material deviations were observed. The report was signed by Parul Goyal Narang, Vice President & Head – Process Excellence, ICRA Limited, and submitted to Nazara Technologies on May 12, 2026. The filing to the stock exchanges was made by Arun Bhandari, Company Secretary and Compliance Officer of Nazara Technologies.