Nazara Technologies Reports Rs 82.5 Crore Q1 Loss as CEO Nitish Mittersain Steps Down
Gaming and sports media platform Nazara Technologies has reported a consolidated net loss of Rs 82.47 crore for the first quarter ended June 30. The company had posted a consolidated net profit of Rs 51.34 crore in the corresponding quarter of the previous fiscal year.
The consolidated net loss was primarily driven by a share of loss from associates amounting to Rs 62.41 crore. Additionally, the company recorded an impairment loss of Rs 21.81 crore related to its balance investment in associates operating within the Real Money Gaming business.
Nazara’s revenue from operations stood at Rs 428.77 crore in Q1 FY27, representing a 14% decline from Rs 498.77 crore in the year-ago period. This decline is largely attributed to the deconsolidation of NODWIN Gaming starting from August 2025. Excluding this impact, comparable consolidated revenue grew by approximately 9% year on year. On a sequential basis, revenue grew by 7.8% from Rs 397.78 crore in the preceding quarter.
Leadership Changes and New CEO Appointment
The company announced that Nitish Mittersain has tendered his resignation from the office of Chief Executive Officer (CEO) effective September 1, 2026. Mittersain will continue to serve as the Managing Director of the firm, focusing on long-term strategy, portfolio direction, strategic partnerships, and key stakeholder relationships.
Nazara’s board has approved the appointment of Raymond Albaladejo Stauffer as the new CEO to succeed Mittersain. Stauffer, a former Google executive, was the founder of Bluetile Games and Bestplay Systems. He brings a track record of building a portfolio of 17 live casual and social games with nearly 375 million lifetime downloads and 22 million monthly active users.
In 2025, Stauffer's founded businesses generated $153.6 million in revenue and $27.7 million in EBITDA, representing an 18% margin, with no external capital dependency.
Further board changes include the appointment of Con Anthony Conlon as an Additional Director in the Independent category for a five-year term. Meanwhile, Arun Vijaykumar Gupta resigned as an Independent Director effective August 4, 2026, due to increased professional commitments.
Revised Acquisition Terms for Spanish Gaming Platforms
In March 2026, Nazara announced that its UK-based subsidiary would acquire a 50% controlling stake in Spanish social gaming platforms Bluetile Games and BestPlay Systems for $100.3 million. Nazara's board has now revised the terms to acquire 100% of the share capital of both entities for an aggregate fixed cash consideration of $303.02 million, which is approximately Rs 2,909 crore.
This move to 100% ownership is intended to eliminate future valuation uncertainty, secure full economics for shareholders from day one, and allow for immediate operational integration. The consideration will be paid in four tranches: an initial $89 million at closing, followed by instalments scheduled for October 31, 2026, December 31, 2026, and April 1, 2027. These Spanish businesses reported Rs 518 crore of revenue and Rs 55 crore of EBITDA in Q1 FY27.
Segment Performance and Strategic Investments
Despite the overall loss, the core gaming segment remained a strong driver, with revenue increasing 14% year on year to Rs 275 crore while maintaining a healthy EBITDA margin of 19.5%. Within this portfolio, Kiddopia revenue grew 19% year on year, Fusebox increased 12% to Rs 82 crore, and Animal Jam grew by 11%.
The board also cleared an additional investment of up to Rs 9.9 crore in its subsidiary, Funky Monkeys Play Center, to increase its stake to 68.1%. This subsidiary currently operates 21 centres across India and plans to use the new investment to expand into Tier 2 and smaller cities. Its revenue grew 58% year on year this quarter, reaching Rs 8 crore.
Additionally, the board approved an unsecured loan of up to Rs 24 crore for its wholly owned subsidiary, Smaaash Entertainment, to support the development of Smaaash 2.0, which will focus on social, competitive, and technology-led immersive experiences. Nazara’s subsidiary, Nazara Technologies FZ LLC, also recently invested $500,000, approximately Rs 4.76 crore, in nCore Games, Inc. through a Convertible Promissory Note.
Beyond these developments, the Board is scheduled to meet on August 6, 2026, to consider raising additional funds through the issuance of equity shares or other securities on a preferential basis.
