Nazara Technologies is in the spotlight as it announced that its Chief Operating Officer (COO), Sudhir Kamath, will leave the company on April 1 after serving for two and a half years. Kamath is moving to Delhi to be with his family. In a farewell letter to Nazara’s founder, Nitish Mittersain, he expressed gratitude for the experiences he gained and hoped to have helped the company grow.
In its recent quarterly report, Nazara Technologies reported a decline in net profit, dropping 53% year-on-year to Rs 13.6 crore for Q3FY25. Despite strong revenue growth, where operating income rose by 67% to Rs 534.6 crore compared to last year, the company faced rising costs. Advertising and promotional expenses tripled to Rs 145.3 crore, while employee costs surged 86.5% to Rs 88.6 crore.
The company’s esports division remained its biggest money-maker, growing 20% this quarter. The gaming segment also performed well, seeing over a 50% increase in revenue to Rs 154.9 crore.
Looking at Nazara’s stock, it closed at Rs 937.7 on Wednesday, up 0.44%, while the market as a whole dipped slightly. Despite a 7% decline over the last three months, the stock has jumped 81% in the past two years. Currently, analysts give it a “Hold” rating, with an average target price of Rs 968, suggesting a 3% upside from its current value. The company’s market capitalization is now Rs 8,209 crore.
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