Nazara Technologies glowing FY21 report highlights steady growth for India tech giant

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Strong momentum in its gamified learning and esports segments has driven Nazara Technologies to greater heights in the financial year 2020-21.

The Indian tech giant recently reported an 84 percent year on year jump in its consolidated revenue for FY2021 to reach INR 454.2 crore (unaudited), or roughly $61 million—on the back of healthy performance at the operating levels. In FY2020, Nazara stood at INR 247.5 crore.

Esports, gamified learning drive Nazara growth

In its BSE filing, the Rakesh Jhunjhunwala-backed mobile gaming company stated: “Gamified learning and esports segments have not only demonstrated strong growth momentum in FY21 but have also laid the foundation for predictable growth on account of proven user engagement and retention KPIs in gamified learning and multiyear media licensing and game publisher agreements in case of esports.”

Nazara’s esports segment registered a 102 percent growth to INR 170.1 crore—more than double than the INR 84.2 crore recorded in the previous fiscal year. The tech giant’s gamified learning segment grew 820 percent in revenue, from INR 19.1 crore in FY20 to INR 175.8 crore in FY21.

Real money gaming segment also reported a 67 percent growth—from INR 42.6 crore in FY20 to INR 13.9 crore in FY21.

Other segments—freemium and telco subscription—stood at INR 19.5 crore and INR 74.9 crore, respectively in the financial year 2021.

Online gaming popularity in India and Nazara growth

The company, which has built a presence in India as well as in emerging and developed markets like Africa and North America, is known for creating a number of much-loved mobile games such as World Cricket Championship 3.

Now, the company is embracing the popularity of real-time games—adopting the strategy of live developments that has thrived at many casual entertainment platforms like 7Jackpots online blackjack or on PureWin.com—for its own product offerings. Take for example the Chennai Super Kings Battle of Chepauk 2, a game that allows players to immerse themselves in Super Multiplayer mode.

Nazara’s growth echoes the rise in popularity of online gaming in India. As an ENV Media research has pointed out, the Indian gaming market is largely mobile-first, and it’s amplified by the mass availability of low-cost mobile phones and high-speed internet penetration along with affordable data plans. This has pushed the country to the number one spot in terms of mobile game downloads worldwide with 7.3 billion installs—or 17 percent market share of installs volume, according to data from SensorTower.

Capitalizing on the growth of India’s mobile market, Nazara has been building a network in the interactive gaming and sports space via investments and acquisitions across segments like esports, edutainment, infotainment, fantasy sports, and multiplayer games, among others.

“As Nazara is operating high growth business segments such as gaming, gamified learning and esports, we will continue to drive profitable growth while prioritizing growth over profit maximization at this stage so that we can achieve and maintain market leadership in the segments we operate in,” the company said in a statement.