Indian gaming firm Nazara Technologies Limited has announced its financial results for the third quarter and nine months ended December 2025, showing a decline in quarterly revenue but stronger operating performance driven by tighter cost control. The company reported operating revenue of Rs 406 crore in Q3 FY26, down 24% from Rs 535 crore in the same quarter last year.
Despite lower revenue, profitability improved at the operating level. EBITDA rose 29.4% year on year to Rs 67.8 crore, with margins expanding to 16.7%, supported by lower costs and better efficiency. Nazara returned to profit after a loss in the previous quarter that followed write offs, though net profit declined 36% year on year to Rs 9 crore compared with Rs 14 crore in Q3 FY25. Including non operating income of Rs 11 crore, total revenue stood at Rs 417 crore, down from Rs 557 crore a year earlier.
Gaming remained the largest contributor, accounting for 63% of operating revenue or Rs 257 crore, while ad tech contributed 28% or Rs 115 crore. Esports generated 8% or Rs 34 crore. Total expenses fell 24% year on year to Rs 402 crore from Rs 531 crore. Content costs stood at Rs 81 crore and employee benefit expenses declined to Rs 72 crore. Marketing remained the biggest cost head at Rs 109 crore, representing 27% of total expenses.
For the nine months ended December 2025, Nazara reported revenue growth of nearly 30% to Rs 1431 crore from Rs 1104 crore last year. EBITDA rose 73% year on year to Rs 177.2 crore, with margins expanding to 12.4%. The company said Kiddopia returned to subscriber growth during the quarter, supported by its Centres of Excellence. It also expanded its IP portfolio, including Animal Jam on Roblox, while associate NODWIN Gaming delivered strong performance and profitability. During Q3 FY26, Nazara approved investments in nCore Games and up to Rs 15 crore in Rusk Media. Commenting on the results, Nitish Mittersain said, “Nazara continued to make strong progress in building a global gaming company. The quarter was driven by disciplined execution, improving operating efficiency and multiple growth engines across new launches, live content expansion and platform extensions. We remain focused on disciplined capital allocation, including through strategic acquisitions where Nazara’s operating platform can accelerate scale, improve unit economics and drive long-term value creation.”
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