Nazara Technologies , a leading gaming and sports media platform, has reported robust financial results for the first quarter of fiscal year 2026, along with several strategic initiatives to strengthen its market position.

Financial Highlights

Nazara Technologies posted impressive year-on-year growth in Q1 FY26:

The company's core gaming business delivered a healthy EBITDA margin of 24.4%.

Strategic Moves

Nazara has announced several key strategic initiatives:

1. Deconsolidation of Nodwin Gaming: Subject to shareholder approval, Nazara proposes to deconsolidate Nodwin Gaming, reclassifying it as an associate. This move aims to sharpen Nazara's focus on core gaming while allowing Nodwin to pursue its esports ambitions independently.

2. Leadership Enhancement: The company appointed Rohit Sharma as Executive Director, bringing over 25 years of experience in gaming and digital media to advance Nazara's IP-driven growth strategy.

3. Shareholder Initiatives: The board has approved a stock split, subdividing one equity share of face value ₹4 into two equity shares of face value ₹2 each. Additionally, a bonus issue in the ratio of 1:1 has been proposed.

Segment Performance

Gaming Segment

• Revenue grew by 160% year-on-year
• EBITDA grew by 311%
• Overall EBITDA margin stood at 24.4%

Curve Games

• Recently acquired Curve Digital Entertainment
• Revenue: ₹54.60 crore
• EBITDA: ₹20.70 crore

Fusebox Games

• Revenue: ₹73.00 crore (49% YoY growth)
• EBITDA: ₹10.40 crore

Kiddopia

• Revenue: ₹45.40 crore
• EBITDA: ₹8.50 crore
• EBITDA margin: 18.6%

Animal Jam

• Revenue: ₹26.40 crore (12.1% YoY growth)
• EBITDA: ₹5.90 crore (55% YoY growth)

Future Outlook

Nitish Mittersain, CEO & JMD of Nazara Technologies, expressed confidence in the company's growth trajectory: "We are seeing the early benefits of our sharpened focus on owning and scaling high-quality gaming IPs. Our Centers of Excellence in user acquisition and analytics are taking shape and will enable us to acquire, retain, and monetize players more efficiently going forward."

The company remains committed to its vision of building a globally relevant and highly respected, durable gaming company from India. With disciplined capital deployment, strong IP ownership, and operational excellence, Nazara aims to scale into a global gaming platform that can compete with the best in the industry.

Conclusion

Nazara Technologies' strong Q1 FY26 results, coupled with strategic initiatives like the proposed deconsolidation of Nodwin Gaming and shareholder-friendly moves, demonstrate the company's commitment to growth and value creation. As the gaming industry continues to evolve, Nazara's focus on IP-led growth and operational excellence positions it well for future success in the global gaming market.

Nazara Technologies , a leading player in the Indian gaming industry, has reported impressive financial results for the quarter, showcasing substantial growth across key metrics. The company's strategic moves and segment-wise performance paint a picture of robust expansion and targeted focus on core gaming operations.

Financial Highlights

Nazara Technologies posted a remarkable 99% year-on-year growth in revenues, reaching ₹498.80 crores for the quarter. The company's EBITDA also saw a significant uptick, rising 90% year-on-year to ₹47.40 crores. The gaming segment, in particular, demonstrated strong performance with a 24.4% EBITDA margin and an impressive 160% revenue growth.

Profit figures were equally encouraging, with Profit After Tax (PAT) from continued operations standing at ₹36.40 crores. The overall PAT showed a substantial increase of 118% year-on-year, reaching ₹51.30 crores.

Strategic Moves and Acquisitions

Nazara Technologies announced several strategic initiatives aimed at reshaping its business structure and expanding its portfolio:

1. Proposed Deconsolidation: The company plans to deconsolidate Nodwin Gaming, signaling a renewed focus on its core gaming operations.

2. Key Acquisitions:

   • 100% equity acquisition of Curve Digital Entertainment for ₹247.00 crores.
   • Completion of Smaaash acquisition through the NCLT process.

3. Corporate Actions: The board has approved a share subdivision, changing the face value from ₹4 to ₹2, along with a 1:1 bonus issue.

Segment Performance

Fusebox Games demonstrated strong growth with a 49% increase in revenue to ₹73.00 crores. Kiddopia posted revenues of ₹45.40 crores.

PokerBaazi reported its highest quarterly net revenue at ₹191.80 crores. However, it faced an EBITDA loss of ₹73.90 crores, primarily attributed to significant marketing expenditures:

• ₹85.00 crores for IPL marketing
• ₹25.00 crores for Shark Tank-related spending

Challenges and Outlook

While most segments showed growth, Sportskeeda faced headwinds with a 21% revenue decline. This downturn was attributed to a Google algorithm update that affected US organic traffic.

The gaming industry continues to evolve rapidly, and Nazara Technologies' results reflect both the opportunities and challenges in this dynamic sector. The company's strategic restructuring and focus on core gaming operations suggest a proactive approach to capitalizing on market trends and optimizing its portfolio for future growth.