Nazara Technologies reports net profit of ₹35.36 crore in Q2 led by gaming revenue

What happened

Nazara Technologies reported a net profit of ₹35.36 crore for the September-ending quarter of FY27, helped by growth in gaming. Revenue from operations hit a record quarterly high of ₹803 crore, up 53 per cent annually and 87 per cent quarterly.

Confirmed

Global impact / market context

Gaming revenue grew 122 per cent to ₹656 crore and supplied 82 per cent of total revenue, so the company's profit now depends heavily on one segment. Mobile games grew fastest, which means investor returns rest on continued spending on game content and new titles.

Analyst inference

The results show Nazara absorbing newly acquired studios Bluetile and BestPlay, which added revenue quickly. Because profit per sale, that is EBITDA margin, rose to 14.9 per cent, the company is converting extra sales into earnings, which supports the case for holding the stock.

Analyst inference

What to watch

1. Gaming revenue reached ₹656 crore at a 21.5 per cent EBITDA margin, which means profit per sale before interest, tax and other costs, and supplied effectively all EBITDA before corporate costs. Confirmed
2. Watch whether Bluetile and BestPlay keep growing after their first two months inside Nazara, when they added ₹329 crore in revenue and grew EBITDA 64 per cent. Proposed
3. Track whether record ₹803 crore revenue repeats next quarter, since the 87 per cent quarterly jump suggests the gain may include acquisitions rather than only organic growth. Analyst inference

Evidence

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