Strong results have pushed the stock price up. Read on for all the details.
At a time when stocks in the IT index are having a tough time, Rakesh Jhunjhunwala-backed Nazara Technologies' share price has gone up by 36 per cent in a week! And what is the reason? It is pretty obvious during this season - exceptional results.
While in the last quarter, the company struggled on a sequential basis, Nazara has made a strong recovery and hit it out of the park in both top line and bottom line. Its revenue has increased by an impressive 70 per cent on the back of strong growth in its eSports and real-money gaming segments. Nazara's acquisition of Datawrkz has started yielding results for the company as the ad tech segment recorded Rs 32 crore revenue in the very first quarter and became Nazara's third largest segment by revenue.
With these results, all of Nazara's segments have become profitable for the very first time. Freemium and real-money gaming which made losses in the previous year, have turned profitable. Its flagship brand, Sportskeeda's revenue increased by a massive 103 per cent as a result of venturing into American football and basketball. Telco segment struggled in topline as revenue decreased by 16 per cent due to a decline in India business.
Sportskeeda's new foray, WCC's plan to use web 3.0, and Datawrkz' impressive performance have riled up investors pushing the share price up. But if you had invested in this company during the IPO or at the closing price of listing day, you will have incurred a loss of 10 per cent in both cases.