Nazara Tech Posts Highest Ever Quarterly Revenue, Net Profit Soars 47%

BW Online Bureau Feb 07, 2024

Nazara Technologies disclosed a net profit of Rs 29.52 crore for the quarter ending on December 31, 2023, marking a substantial surge of 46.7 per cent from the Rs 20.12 crore profit recorded in the corresponding period of the previous year.

This noteworthy growth was primarily attributed to robust performance in the esports vertical during the quarter, although it was somewhat offset by lower profits in the gaming and adtech segments.

Revenue from operations stood at Rs 320.4 crore for the quarter, reflecting a modest two percent increase year-on-year (YoY) from Rs 314.8 crore reported in the same quarter of the preceding year.

Furthermore, EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a noteworthy uptick of 24 percent YoY, reaching Rs 37.7 crore for the quarter, compared to Rs 30.5 crore in Q3-FY23.

In a strategic move, Nazara Technologies also announced the appointment of Dhaval Sheth as its Head of Strategic Initiatives within the Founder's office. Sheth, previously serving as the CFO of Nazara Technologies subsidiary Kiddopia, brings valuable expertise to his new role.

Nazara Technologies, a diversified gaming and sports media firm, operates across three key sectors: gaming (including titles like World Cricket Championship, Kiddopia, Animal Jam, and Classic Rummy), esports (such as Nodwin Gaming and Sportskeeda), and advertising (through Datawrkz).

Founder of Nazara Technologies, Nitish Mittersain, expressed confidence in the company's strategy of acquiring global gaming IPs and driving user acquisition through data-driven product innovation. Mittersain highlighted the promising performance of Animal Jam in Q3 and emphasized the potential for significant scale-up opportunities in the future.

During the quarter, Nazara Technologies successfully raised Rs 250 crore from a mix of new and existing investors, including notable names like Zerodha co-founder Nikhil Kamath, Plutus Wealth, and ICICI Prudential Mutual Fund. This investment contributed to the company's achievement of its FY24 fundraising goal, totaling Rs 760 crore, including Rs 510 crore raised from SBI Mutual Fund and Zerodha co-founder Nikhil Kamath in the previous year.