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Gaming Unicorn MPL’s FY23 Net Loss Narrows 81% To $37 Mn

Gaming Unicorn MPL’s FY23 Net Loss Narrows 81% To $37 Mn
SUMMARY

MPL’s consolidated revenue from operations soared 63% to $104.6 Mn in FY23 from $64.1 Mn in FY22

The unicorn said that revenue from international operations accounted for 38% of its operating revenue in FY23, up from 11% in FY22

The Indian entity of MPL saw its FY23 net loss fall over 80% to INR 87.2 Cr from INR 449.4 Cr in the previous financial year

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Real money gaming unicorn Mobile Premier League (MPL) saw its consolidated net loss plunge 81% to $37.04 Mn in the financial year 2022-23 (FY23) from $194.47 Mn in the previous fiscal year.

M-League Pte Ltd, the Singapore-based parent entity of MPL, saw its revenue from operations soar 63% to $104.6 Mn during the year under review from $64.1 Mn in FY22, as per its filings. 

The unicorn said that revenue from international operations accounted for 38% of its operating revenue in FY23, up from 11% in FY22.

Founded in 2018 by Sai Srinivas Kiran G and Shubh Malhotra, MPL offers games ranging from skill-based fantasy sports to chess and other casual games. While India is the primary market for MPL, it also forayed into the US market in 2021. In the next year, it acquired GameDuell, one of the biggest gaming companies in Europe known for its community card and board games. 

In 2023, MPL entered Africa by partnering with Carry1st, a leading gaming company in the continent. 

Meanwhile, MPL’S other expenses declined over 67% to $95.67 Mn in FY23 from $149.06 Mn in the previous fiscal year, while employee compensation rose over 22% to $71.51 Mn from $58.29 Mn in FY22.

The improvement in MPL’s top and bottom lines come at a time when the online gaming sector in India is reeling under the impact of the GST Council’s decision to levy 28% tax on full face value of bets placed on these platforms.

MPL became the first Indian gaming startup to fire employees this year following the GST Council’s decision to increase the tax rate for the sector. In August, the unicorn laid off 350 employees, saying the increase in GST levy increased the tax burden on it by as much as 350-400%. 

Meanwhile, the Indian entity of MPL saw its FY23 loss fall over 80% to INR 87.2 Cr from INR 449.4 Cr in the previous financial year. Operating revenue rose 36% to INR 814 Cr in FY23 from INR 601 Cr. 

MPL competes against platforms such as Dream11, Fantasy Akhada, and WinZO Games. The Bengaluru-based startup entered the unicorn club in September 2021 after raising $150 Mn from Legatum Capital, Accrete Capital and Gaingels LLC at a pre-money valuation of $2.3 Bn.

Overall, MPL has raised a funding of over $350 Mn till date and counts SIG Global, Pegasus Tech Ventures, and RTP Global among its backers.

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