At a Glance – “Gaming Unicorn with PSU-Style Returns?”
Nazara Technologies Ltd currently sits at a market cap of ₹10,527 Cr, trading at ₹285, down ~18% over 6 months, yet still up ~22% over 1 year. Confused? Welcome to Nazara.
The company just reported Q3 FY26 revenue of ₹406 Cr, down 24% YoY, with PAT collapsing 67% YoY to ₹10.1 Cr. EBITDA came in at ₹67.8 Cr, which sounds fancy until you notice ROCE at 2.5% and ROE at 2.9%—numbers that wouldn’t excite even a fixed deposit.
Nazara trades at a P/E of ~12.6, cheaper than the industry PE of 21.2, but this discount exists for a reason: earnings volatility, impairments, promoter pledging (55.9%), and a balance sheet that keeps changing costumes every quarter.
Still, this is not a random gaming app. This is the owner of WCC, CarromClash, Kiddopia, Nodwin, Sportskeeda, and more. So is the market underestimating it… or just tired of waiting?
Let’s load the controller 🎮 and dig in.
Introduction – India’s Gaming Pioneer or a Capital Allocation RPG Gone Wrong?
Nazara Technologies is one of the earliest movers in India’s gaming and eSports ecosystem. While everyone else was busy downloading Candy Crush, Nazara was already betting on cricket simulation, eSports media, and gamified learning.
Fast forward to FY26, and Nazara has become a holding company with multiple IPs, multiple geographies (India, Africa, North America), and multiple headaches.
Revenue growth over 5 years stands at 46% CAGR, profit growth at 102% CAGR, and yet… returns on capital are stuck below 3%. That’s not “high growth tech”, that’s “emotionally volatile conglomerate”.
Every quarter feels like a
plot twist:
- One quarter: profits explode
- Next quarter: impairments rain
- Somewhere in between: GST notices worth ₹9,000+ Cr appear like a jump scare
So the real question:
👉 Is Nazara building a long-term gaming empire… or just playing too many side quests?
Business Model – WTF Do They Even Do?
Nazara doesn’t run one business. It runs an entire gaming arcade:
🎮 Interactive Mobile Gaming
- WCC (World Cricket Championship)
- CarromClash
High engagement, IP-driven, but brutally competitive and marketing-heavy.
👶 Gamified Early Learning
- Kiddopia
Subscription-based, global audience, parent-approved screen time. Probably the most “stable adult” in the room.
🏟️ eSports & Media
- Nodwin Gaming
- Sportskeeda
India’s early eSports mover, monetised via ads, sponsorships, and tournaments.
🎲 Skill-Based & Fantasy Games
- Halaplay
- Qunami
Now politically radioactive thanks to gaming regulations. Nazara claims no RMG revenue, but regulators clearly didn’t read the pitch deck.
So Nazara isn’t a gaming company.
It’s a portfolio manager of dopamine products.
Question for you:
👉 Should gaming companies be valued like media houses… or like tech startups?
Financials Overview – Numbers That Respawn Every Quarter
📊 Q3 FY26 Performance Table (₹ Cr)
| Metric | Latest Qtr (Q3 FY26) | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 406 | 535 | 526 | -24.1% | -22.9% |
| EBITDA | 67.7 | 36.7 | -163.9 | +84% | Massive recovery |
| PAT | 10.1 | 30.5 | -33.9 | -67.0% | Turned positive |
| EPS (₹) | 0.27 | 0.90 | -0.79 | -70% | Recovery |
