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Gameskraft clocks Rs 706 crore profit in FY25 amid regulatory overhaul of online gaming industry
The company attributed the decline in profits to the full-year impact of the 28% GST, which drove tax outflows up from Rs 1,512 crore in FY24 to Rs 2,526 crore in FY25
Gameskraft’s revenue stood at Rs 4,009 crore in FY25
Gameskraft Technologies Pvt Ltd reported a profit after tax (PAT) of Rs 706 crore in FY2024-25, as India’s online gaming sector grapples with sweeping regulatory changes. The company had posted a PAT of Rs 947 crore in FY2023-24, which reflected only a six-month impact of the newly introduced 28% Goods and Services Tax (GST) on deposits.
In FY25, Gameskraft’s revenue stood at Rs 4,009 crore. The company attributed the decline in profits to the full-year impact of the 28% GST, which drove tax outflows up from Rs 1,512 crore in FY24 to Rs 2,526 crore in FY25, and a one-time accounting adjustment of past unsanctioned transactions worth around Rs 231 crore. According to a PTI report, the company's former Chief Financial Officer allegedly siphoned off over Rs 231 crore. Gameskraft has reportedly filed a police complaint against the CFO on this matter. Storyboard18 could not independently verify the report.
The industry is now navigating deeper challenges with the Promotion and Regulation of Online Gaming Act, 2025, which bans all real-money games—whether skill-based or chance-based. The legislation has forced operators to suspend cash-based gaming operations, compounding the pressures created by the steep GST regime introduced in October 2023. Adding to the uncertainty, retrospective tax notices amounting to Rs 2.5 lakh crore are currently under review by the Supreme Court.
Following the ban, Gameskraft halted ‘Add Cash’ and ‘Gameplay’ services across its rummy apps, stating it had “cleared all regulatory dues and proactively safeguarded the interests of players, employees, partners, vendors, and service providers through timely action and consistent and transparent communication.”
Its online poker platform Pocket52 also shut operations in July 2025, citing the mounting tax burden.
Despite sector-wide turbulence, the Bengaluru-based company extended three months’ salary in advance to its workforce of 600–700 employees. This contrasts with rivals such as Games24x7 and Moonshine Technologies, which announced layoffs following the government’s hardline stance against real-money gaming.
Looking ahead, Gameskraft has launched an internal Ideathon, drawing over 300 employee submissions on potential business pivots.
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