# Nazara Swings Back To The Black In Q2, Posts ₹34 Cr Profit — retained record

> Retained news record from news:india-inc42.

Canonical: https://highsignal.app/data/records/7a95fd7acdb735da

[← sources](https://highsignal.app/data)


source: [news](https://highsignal.app/data/news) (news:india-inc42)  published 2026-10-26 16:15 ingested 2026-10-27 02:57

[original source ↗](https://inc42.com/buzz/nazara-swings-back-to-the-black-in-q2-posts-%e2%82%b934-cr-profit/)

## retained text



```
The profits came on the back of improving margins and operating revenue zooming nearly 52% to ₹803.2 Cr during the quarter under review from ₹526.5 Cr in Q2 FY26
The company attributed the surge in revenue to BlueTile and BestPlay adding ₹329 Cr to its top line from August 2026 and healthy organic growth across its verticals
Meanwhile, total expenses (including the ₹6.7 Cr in impairment expenses) also rose 43.7% to ₹767.6 Cr in Q2 FY27 from ₹534.3 Cr in the corresponding quarter last year
Gaming major Nazara Technologies swung back to the black in Q2 FY27 and reported a profit of ₹35.4 Cr against a net loss of ₹33.9 Cr in the year-ago quarter. Sequentially, the bottom line improved from a loss of ₹82.5 Cr in Q1 FY27.
It is pertinent to note that the year-ago loss figures were skewed as the listed gaming company had lodged ₹914.7 Cr in impairment and other losses during the quarter ended September 2025.
Meanwhile, the profits came on the back of improving margins and operating revenue zooming nearly 52% to ₹803.2 Cr during the quarter under review from ₹526.5 Cr in Q2 FY26. On a QoQ basis, the top line rose 87.3% from ₹428.8 Cr in Q1 FY27.
The company attributed the surge in revenue to Bluetile and BestPlay adding ₹329 Cr to its top line from August 2026 and healthy organic growth across its verticals.
Including other income of ₹13.7 Cr, Nazara’s total income stood at ₹816.9 Cr in the quarter under review. Meanwhile, total expenses (including the ₹6.7 Cr in impairment expenses) also rose 43.7% to ₹767.6 Cr in Q2 FY27 from ₹534.3 Cr in the corresponding quarter last year.
In a filing with the exchanges, Nazara said that its EBITDA improved 93% YoY to ₹120 Cr in Q1 FY27, while its EBITDA margin jumped 311 bps YoY to 14.9% in the quarter under review.
“This quarter demonstrates the company we are building: a portfolio of high-quality games on a single, shared platform. Bluetile and BestPlay grew EBITDA 64% in their first two months as part of Nazara, while sustained investment in content delivered organic growth of 11% in revenue and 17% in EBITDA across our existing gaming studios…,” said Nazara CEO Raymond Stauffer.
Nazara’s Gaming Play
As usual, the gaming business accounted for 82% of Nazara’s total revenue at ₹656 Cr in Q2 FY27, up 122% YoY. The vertical’s EBITDA also zoomed 114% YoY to ₹141 Cr on the back of Bluetile and BestPlay consolidation.
Within gaming, Fusebox’s narrative gaming business, which includes Love Island and Big Brother, saw its revenue decline 4% YoY to ₹107 Cr in Q2 FY27. The company attributed the contraction to lower organic installs and the global decline in similar mobile game downloads. Despite the contraction, EBITDA improved 7% YoY at ₹126 Cr during the quarter.
Kiddopia’s top line rose 21% YoY to ₹57 Cr in the quarter under review, while average revenue per user (ARPU) jumped 8% YoY to $7.94 (around ₹756). However, EBITDA declined by a massive 77% YoY to ₹103 Cr as Kiddopia stepped up user acquisition spending to accelerate subscriber growth.
“Kiddopia revenue grew 21% YoY as subscribers rose 5% and ARPU rose 8% to $7.94. EBITDA declined as Kiddopia stepped up user acquisition spend to accelerate subscriber growth, while keeping unit economics within our target thresholds,” read Nazara’s investor presentation.
The stars of the show were Bluetile and BestPlay that together reported a gross revenue of ₹329 Cr in Q2 FY27, up 49% YoY, against an EBITDA of ₹64 Cr, also up 64% YoY. Nazara attributed this to rapid updates, new features, live events, automation and strong adoption in new countries.
“Sharpened EBITDA focus while fully automating campaign management, App Store optimisation, and creative pipelines via AI… Heavily reallocated capacity across all departments following proprietary AI breakthroughs,” added Nazara on Bluetile and BestPlay’s performance.
The listed gaming giant’s offline business, spanning Funky Monkeys and Smaaash, reported a revenue of ₹29 Cr during the quarter, down from ₹30 Cr in Q2 FY26. However, EBITDA improved 29% YoY to ₹8 Cr in the quarter under review.
The company attributed the revenue decline to the closure of two Smaaash centres even as margin remained under stress. Meanwhile, Funky Monkey has opened 10 centres in the last 12 months, while plans to open five more centers in FY27.
Meanwhile, Nazara’s adtech arm, comprising Datawrkz and Space & Time, reported a revenue of ₹124 Cr in Q2 FY27, while EBITDA stood at a mere ₹80 Lakhs. The company said that Datawrkz’s top line was hit as “anchor client” paused ad spending.
The quarter also saw sports tech business, Sportskeeda, deliver a revenue of ₹23 Cr against a reported negative EBITDA of ₹1.1 Cr. The EBITDA took a hit as the vertical spent ₹1.2 Cr towards acquiring the Mumbai franchise of theIndian Pickleball League and an additional one-time expense of ₹1.5 Cr in Q2 FY27.
Shares of Nazara closed Monday’s trading session 0.37% lower at ₹399.95 on the BSE.
```



document fetched 2026-10-27 02:57 · canonical https://inc42.com/buzz/nazara-swings-back-to-the-black-in-q2-posts-%e2%82%b934-cr-profit