Nazara Q2 revenue surges 65% to $59.4m

Nazara Technologies, an India-based gaming company with operations in India, North America, and other markets, reported financial results for Q2 and H1FY26, showing strong revenue growth.

Q2 FY26 revenues reached 526.5 crore rupee (US$59.4 million), up 65.1% year-on-year, with EBITDA at 62.0 crore rupee (US$7.0 million), up 146.4%.

For H1 FY26, Nazara posted revenues of 1,025.2 crore rupee (US$115.6 million), up 80.2% year-on-year, and EBITDA of 109.4 crore rupee (US$12.3 million), a rise of 118.5%.

Mobile gaming was the largest revenue driver, with titles such as Love Island, Big Brother, Kiddopia, Animal Jam, and World Cricket Championship.

Nazara recorded an impairment on its investment in Moonshine Technologies (PokerBaazi) due to new regulations in India’s online skill-based real-money gaming sector.

The company’s stake in Nodwin Gaming fell below 50%, resulting in de-subsidiarization and a one-time gain from revaluing its remaining stake.

🔗 Source: Nazara

🧠 Food for thought

Implications, context, and why it matters.

Nodwin de-subsidiarization and one-time gain complicate comparability

Nazara’s 65% revenue growth in Q2FY26 looks strong, but year-on-year comparability is affected since Nodwin Gaming was de-subsidiarized when Nazara’s stake fell below 50% 1.
Because of this change, Nodwin’s revenue is out of consolidated figures (Nazara’s financial statements that combine all controlled businesses), so the scope differs from last year 1.
Q2 includes a one-time gain of INR 1,098 crore from fair value remeasurement of the remaining Nodwin stake under Ind AS 110, which lifted reported net profit but left EBITDA unchanged 1.
Nodwin also wrote down its Freaks 4U Gaming investment by INR 223.7 crore due to stagnant European esports markets, which flags pressures outside India 2.

India’s real-money gaming ban triggers need for compliance tools

India’s Gaming Regulation Act, 2025 set a blanket ban on online real-money games, which shut operators like PokerBaazi and led Nazara to write off INR 915 crore 1.
A 28% GST on full deposits, not just platform fees, had already cut revenues by 40–50% and nudged users to offshore sites before the ban 3.
B2B vendors in age checks and geofencing see demand for responsible gaming tools plus Know Your Customer (KYC) / Anti-Money Laundering (AML) compliance as survivors move to e-sports 4.
Investors can back tech that powers free-to-play monetization, subscriptions, and non-cash rewards that fit the new rules 4.