Nazara Technologies, a gaming and sports media firm, witnessed a 23.5% year-on-year decline in its revenue during the last quarter of the previous fiscal year (Q4 FY26).

In contrast, the company's profit surged more than 13X during the same period.

Nazara's operating revenue declined to Rs 398 crore in Q4 FY26 from Rs 520 crore in Q4 FY25, according to its financial statements sourced from the National Stock Exchange (NSE).

The gaming segment continued to remain the company's primary revenue driver, accounting for 70% of the total operating revenue. Revenue from the segment increased 78% year-on-year to Rs 278 crore in Q4 FY26 from Rs 156 crore in Q4 FY25.

Revenue from its other business segments, including esports and ad-tech, declined by 85% and 40% to Rs 32 crore and Rs 89 crore, respectively, in Q4 FY26. The decline was mainly due to the deconsolidation of NODWIN Gaming, lower sponsorship spending in esports, and weaker digital advertising demand from gaming and startup companies.

Including other income, the company's total income stood at Rs 448 crore in Q4 FY26, compared to Rs 538 crore in the corresponding quarter of the previous fiscal year.

For the full fiscal year, Nazara's revenue from operations grew 12.6% to Rs 1,829 crore in FY26, while the company's profit increased 60.8% to Rs 82 crore during the same period.

On the expense front, the company's total expenditure declined by 29% to Rs 375 crore in Q4 FY26 from Rs 528 crore in Q4 FY25. Marketing remained the largest cost center at Rs 111 crore, followed by employee benefits and content-related expenses.