Over the past few years, Nazara Technologies has had an aggressive run of acquisitions, especially in gaming IPs. While analysts had their reservations about its unabated expansion spree, the gamble seems to be paying off.

In the first quarter (Q1) of financial year 2025-26 (FY26), Nazara posted a net profit of INR 51.3 Cr, up 117.6% year-on-year (YoY). Sequentially, the metric is up a whopping 1,183% from INR 4 Cr. Operating revenue doubled to INR 498 Cr during the quarter under review from INR 250 Cr in Q1 FY25. However, revenues declined a mere 4.1% from INR 520 Cr in Q4 FY25.

Key areas, including gaming and adtech, benefited from Nazara’s aggressive global expansion and IP portfolio building. The company attributed the strong performance to titles like Fusebox, Animal Jam, and Curve Games, all acquired in the last three years. Besides acquisition-led growth in gaming, adtech also contributed to the performance.

“We are seeing early results from our sharpened focus on IP-led gaming and are reinvesting this momentum into expanding our IP portfolio and strengthening the company to drive sustained growth,” joint MD & CEO of Nazara Technologies Nitish Mittersain said during the Q1 earnings call.

However, while its results appear to validate its IP-led gaming focus, sustaining this growth will hinge on the company’s ability to keep monetising these assets.

IPs That Drove Nazara’s Gaming Revenue In Q1

Nazara’s gaming segment saw a big YoY jump of nearly 160%, from INR 92.8 Cr in Q1 FY25 to INR 241 Cr in Q1 FY26. The segment, which has often been the most volatile in its portfolio, delivered a near threefold increase in revenue, thanks to a mix of strategic bets, global expansion, and a more diversified IP slate.

The biggest needle mover proved to be the acquisition of Curve Digital........

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