Nazara Tech reports highest-ever quarterly revenue of Rs 320.4 crore; posts 47% rise in net profit

The Mumbai-based diversified gaming and sports media platform Nazara Technologies, which raised Rs 100 crore from billionaire Nikhil Kamath last year, has reported significant growth in the third quarter of fiscal year 2024.

Nazara Tech's Q3FY24 highlights:

1. Nazara Tech reported a net profit of Rs 29.5 crore, a significant 47% increase from the Rs 20.5 crore profit reported in Q3FY23.
2. The company also reported its highest-ever quarterly revenue, amounting to Rs 320.4 crore, which marks a 2% growth compared to the revenue of Rs 314.8 crore in Q3FY23.

Segment wise growth

The company's performance is attributed to the healthy growth in key segments like Animal Jam and Sportskeeda, which led to a 24% increase in EBITDA year-on-year.

Nazara's strategic acquisitions, including WildWorks, the creator of Animal Jam, and a 67% stake in Sportskeeda, have been pivotal in driving this growth.

The esports segment, in particular, witnessed a remarkable 79% EBITDA growth, underscoring the success of Nazara's acquisition-led growth strategy.

Diverse revenue streams

Nazara's revenue streams are diverse, with the esports division, including Nodwin and Sportskeeda, contributing 55% to the overall revenue.

The gaming division, housing edtech products like Kiddopia and Animal Farm, along with real money gaming firm Openplay, accounted for 36% of the revenues.

The remaining 9% came from the advertising tech business. Geographically, 46% of the revenue originated from India, while North America contributed 38%.