Nazara Technologies (NAZARA) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 revenue was INR 406 crores, down 24.1% year-over-year due to NODWIN Esports deconsolidation, but EBITDA rose 29.4% to INR 67.8 crores, with margin expansion to 16.7% from a focus on higher-margin IP-based gaming.

• Nine-month FY26 revenue grew 29.7% year-over-year to INR 1,431.2 crores, and EBITDA increased 73% year-over-year to INR 177.2 crores, with margins at 12.4%.

• Board approved unaudited consolidated and standalone financial results for the quarter and nine months ended 31 December 2025.

• Growth was driven by disciplined execution, scalable IP launches, live content, and platform extensions.

Financial highlights

• Gaming segment Q3 revenue grew 66% year-over-year to INR 257 crores, with EBITDA up 87% to INR 64.2 crores and a 25% margin.

• Mobile gaming revenue for nine months was INR 534.7 crores, up 48% year-over-year, with EBITDA at INR 99.2 crores, up 43%.

• AdTech revenue up 86% year-over-year for nine months, with EBITDA up 95%.

• NODWIN Gaming Q3 revenue up 58% year-over-year to INR 261 crores, EBITDA at INR 40 crores.

• Consolidated revenue for the quarter was ₹40,597 lakhs, with net profit of ₹1,702 lakhs; nine-month revenue was ₹143,120 lakhs and net profit ₹9,283 lakhs.

Outlook and guidance

• Management expects margin expansion to continue, targeting over 20% as the business focuses on core IP-driven gaming.

• Growth in FY27 expected from new IP launches in Fusebox, continued Kiddopia expansion, offline gaming (Funky Monkeyss, Smaaash), and new titles from Curve and WildWorks.

• Despite significant impairment losses, the group and standalone net worth remain strong, indicating continued financial stability.

• No specific numerical guidance provided.