Winzo FY24 results: Profit more than doubles to ₹315 cr; revenue up 70%

Homegrown gaming company Winzo reported an adjusted profit after tax of Rs 315.12 crore in the financial year 2024 (FY24), which more than doubled from Rs 125.71 crore in FY23.

 

The gaming platform’s revenue from operations grew 70.35 per cent from Rs 619.42 crore in FY23 to Rs 1,055.22 crore in FY24.

 

The company transitioned from IGAAP to the Ind AS accounting framework during FY23. In compliance with Ind AS, the fair value treatment of compulsorily convertible preference shares (CCPS) as a liability rather than equity resulted in an additional expense of Rs 999 crore in FY24.

 

CCPS are financial instruments that function as debt until conversion, at which point they become equity. Under the Ind AS framework, they are recorded as liabilities subject to conditions which may impact reported expenses.

 

The company’s total expenses stood at Rs 693.37 crore in FY24, a 35.82 per cent increase from Rs 510.48 crore spent in FY23.

 

The company’s financials come at a time when the online gaming industry is faced with a higher goods and services tax (GST).

 

“While the company acknowledged the impact of the revised 28 per cent GST on gross receipts, applicable from October 1, 2023, it noted that the full financial effect will be reflected in FY25,” Winzo said in a statement.

 

In July 2023, the 50th GST Council meeting classified online games — encompassing both skill-based and chance-based categories — under a 28 per cent GST slab, effective from October 1, 2023. Previously, skill-based games attracted a lower tax rate of 18 per cent.

 

Winzo is present in markets such as India and Brazil. The company has a base of more than 250 million registered users. The gaming firm hosts a monthly active user base of 30 million, according to co-founder Paavan Nanda.

 

“We are by and large a company which is like a cohort-based company. The way it works out is that people come on board on our platform… with passing years we continue to add newer cohorts who generate more revenue for us and then the older cohorts also continue to stick around. Retention and monetisation become quite critical,” Nanda told Business Standard.

 

It is expanding its projects on game development through a $50 million fund that looks out for opportunities to fund or acquire new games for the platform. At present, the platform hosts about 100 games, out of which around eight have been released through this initiative.

 

Co-founder Saumya Singh Rathore added that the company was also developing casual games with a quality that is at par with its global peers.

 

“We are beginning to develop great global-quality casual games. We want to get into great sports engagement formats that are not fantasy. It can possibly be buying cards of players, among other things,” Rathore explained.

 

India accounts for 20 per cent of the global gamer base but contributes only 1 per cent to global gaming revenue. In contrast, the United States represents just 7 per cent of the global gamer base while generating 19 per cent of the industry’s total revenue, according to data from India Gaming Report 2025.

 

The global gaming user base stands at 3.4 billion, while the industry's market value is estimated at $300 billion, according to the report.