Nazara Technologies reports 17% fall in net profit in Dec quarter

Nazara Technologies reports 17% fall in net profit in Dec quarter

Revenue from operations increased 43 per cent to Rs 186 crore in the third quarter as against Rs 130 crore in the same quarter last fiscal.

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Ace investor Rakesh Jhunjhunwala-backed gaming and sports media company Nazara Technologies on Friday reported a 16.6 per cent year-on-year decline in its consolidated net profit at Rs 8.5 crore in the quarter ending 31 December, 2021. The company had posted a net profit of Rs 10.2 crore in the year-ago period.

Sequentially, the company's net profit dropped marginally from Rs 10.1 crore in the September quarter.

For nine months ended December 31, 2021, the company recorded over four-fold jump in its consolidated PAT at Rs 42.8 crore, from Rs 9.4 crore in the year-ago period.

The firm's revenue from operations also increased 35 per cent to Rs 446.6 crore in the three quarters ended December 31, 2021, from Rs 330.8 crore in the corresponding period of 2020-21.

Shares of Nazara on Friday closed 1.10 per cent lower at Rs 2002.20 apiece on BSE ahead of the quarterly results announcement.

“Nazara’s strategy of having a diversified portfolio across business segments in gaming continues to provide us with a stable and strong platform on which we can continue to build future growth and success. Nazara continues to remain committed to building multiple growth levers across gamified learning, freemium, esports and skill-based real money gaming via growth in its current portfolio and the addition of more offerings in the ‘Friends of Nazara’ network through strategic M&A,” Manish Agarwal, group CEO, Nazara Technologies, said.

Last month, Nazara Technologies had said it will acquire a 55 per cent stake in programmatic advertising and monetisation company Datawrkz for about Rs 124 crore.

Over the past few years, Nazara has acquired multiple companies and strengthened its position in esports, interactive gaming and gamified early learning space with its 'Friends of Nazara' network.

Nazara has acquired a majority stake in Nodwin Gaming (57.05 per cent); Next Wave Multimedia (52.38 per cent) - which operates mobile-based cricket simulation game World Cricket Championship (WCC), Absolute Sports that operates Sportskeeda (63.90 per cent), gamified early learning subscription app Paper Boat Apps (50.91 per cent) and skill gaming platform OpenPlay (100 per cent).