Shares of late investor Rakesh Jhunjhunwala-backed online gaming company Nazara Technologies gained over 7 per cent in early trade today amid a rally in broader market. Rakesh Jhunjhunwala held 10.03 percent or 65.88 lakh shares at the end of June quarter. Nazara Technologies stock rose 7.2 percent to a high of Rs 789 against the previous close of Rs 736 on BSE. The gaming company's stock opened higher at Rs 742 on BSE today.
The stock has gained 21 per cent in the last three sessions. However, shares of Nazara Technologies have lost 12.51 per cent in a year and fallen 31.83 per cent in 2022. A total of 2.87 lakh shares of Nazara Technologies changed hands amounting to a turnover of Rs 22.32 crore. The market cap of the company rose to Rs 5,120 crore on BSE. The stock hit a 52-week high of Rs 1,677.20 on October 11, 2021 and 52-week low of Rs 484 on June 22, 2022. The stock has risen 25 per cent since August end after the firm announced the acquisition of leading US children's interactive entertainment company WildWorks.
On August 30, Nazara Technologies announced the deal with WildWorks. The stock rose 2.64 per cent to an intraday high of Rs 647.35 in the same session. Nazara said it would acquire 100 per cent stake in WildWorks and its IP from existing shareholders in an all-cash transaction. Founded in 2003, WildWorks is an established game studios focused on the children's market for ages 8-12 and is the number 1 Grossing Apps in its category.
In terms of earnings, consolidated net profit in Q1 rose to Rs 16.5 crore against Rs 13.5 crore net profit in the corresponding quarter of the previous fiscal. On a sequential basis, net profit zoomed 237 per cent from Rs 4.9 crore in the March 2022 quarter. Revenue from operations rose 70 per cent to Rs 223.1 crore in Q1 against Rs 1,31.2 crore in the corresponding quarter of the last fiscal.
On a sequential basis, revenue rose 27 per cent from Rs 175.1 crore in the March 2022 quarter. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) zoomed 102 per cent on a sequential basis to Rs 30.1 crore in Q1 against Rs 14.9 crore in the March 2022 quarter.
Nazara Technologies is an India-based gaming and sports media platform known for its games on World Cricket Championship, Chhota Bheem and Motu Patlu series.
Copyright©2022 Living Media India Limited. For reprint rights: Syndications Today