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HYDERABAD: Game on for 7Seas Entertainment Limited, which has opened FY27 with a stronger financial scorecard, posting double-digit growth in both revenue and profit in the first quarter.
The Hyderabad-based gaming and digital entertainment company reported revenue from operations of Rs 576.37 lakh for the quarter ended 30 June 2026, up 17.29 per cent from Rs 491.41 lakh in Q1 FY26. Revenue also grew 11.99 per cent sequentially from Rs 514.66 lakh in the March quarter.
Other income contributed Rs 0.89 lakh, taking total income to Rs 577.26 lakh, compared with Rs 515.64 lakh in Q4 FY26 and Rs 491.41 lakh a year earlier.
The stronger top line translated into a healthy improvement in profitability. Net profit for the quarter stood at Rs 68.52 lakh, rising 27.48 per cent from Rs 53.75 lakh in Q1 FY26. On a sequential basis, profit was up 16.83 per cent from Rs 58.65 lakh in the preceding quarter.
With no tax expense recorded during the quarter, total comprehensive income also stood at Rs 68.52 lakh.
The company’s total expenses increased to Rs 508.74 lakh from Rs 437.66 lakh in Q1 FY26 and Rs 456.99 lakh in Q4 FY26.
Employee benefits expense, however, fell sharply to Rs 213.84 lakh, compared with Rs 267.30 lakh a year earlier and Rs 263.75 lakh in the previous quarter.
The main pressure came from other expenses, which more than doubled sequentially to Rs 252.41 lakh, from Rs 144.56 lakh in Q4 FY26. The figure was also higher than the Rs 153.10 lakh recorded in Q1 FY26.
Depreciation and amortisation stood at Rs 42.49 lakh, compared with Rs 17.26 lakh a year earlier. Finance costs remained negligible at zero during the quarter.
As a gaming software company, 7Seas does not report costs associated with materials, stock purchases or inventory changes. The company operates as a single reportable segment under Ind AS 108.
The improvement in earnings pushed basic EPS to Rs 0.30, compared with Rs 0.24 in Q1 FY26 and Rs 0.25 in the previous quarter. Diluted EPS also rose to Rs 0.30 from Rs 0.24 a year earlier.
For the full year ended March 2026, 7Seas had reported revenue from operations of Rs 2,011.55 lakh and net profit of Rs 222.90 lakh.
The company’s paid-up equity share capital stood at Rs 2,311.22 lakh at the end of the quarter, up from Rs 2,232.22 lakh in Q1 FY26.
The financial results were approved at a board meeting held on 14 August, from 12:30 pm to 1:30 pm. The numbers were reviewed by statutory auditors Sathuluri & Co., with partner S.S. Prakash signing the review report.
The board also recorded the resignation of N. Mahender Reddy as non-executive independent director, effective at the close of business on 14 August.
Following the resignation, the company approved the reconstitution of its Audit Committee, Nomination and Remuneration Committee and Stakeholders Relationship Committee.
The board also fixed the company’s 35th Annual General Meeting for 30 September 2026. The meeting will be conducted through video conferencing or other audio-visual means.
The register of members and share transfer books will remain closed from 24 September to 30 September, both days inclusive, for the AGM.
Led by managing director L. Maruti Sanker, the company enters the rest of FY27 with revenue growth accelerating and profitability moving in the same direction, giving its gaming-led business a solid opening level.
