Don’t Trade in the Dark—Get Your Pre-Market Report Every Day.Join Now
Gujarat State Financial Corporation
| Audited Financial Results – Q4 & FY 2025-26
Summary : The corporation reported significant losses, eroded net worth, and liquidity issues, leading to a qualified audit opinion and no dividend.
Quarterly Report Analysis & Insights
Financial Disclosures
- Total Expenditure (Year ended 31.03.2026): 14373.09 Lakh.
- Interest Expended (Year ended 31.03.2026): 14119.81 Lakh.
- Operating Expenditure (Year ended 31.03.2026): 253.28 Lakh.
- Total Income (Year ended 31.03.2026): 1640.08 Lakh.
- Interest earned (Year ended 31.03.2026): 14.32 Lakh.
- Other Income (Year ended 31.03.2026): 1625.76 Lakh.
- Net Cash Used from Operating Activities (Year ended 31.03.2026): -17,13,06,739.
- Net Cash from Investing Activities (Year ended 31.03.2026): 15,81,29,527.
- Net Increase in Cash & Cash Equivalents (Year ended 31.03.2026): -1,31,77,212.
- Total Assets (As at 31.03.2026): 23360.74 Lakh.
- Total Liabilities (As at 31.03.2026): 378605.48 Lakh.
- Net Worth (As at 31.03.2026): -318822.66 Lakh.
- Reserves (excluding Revaluation Reserve) (As at 31.03.2026): -328194.54 Lakh.
- Format for Disclosure of Related Party Transactions is part of Integrated Filing.
- Report is for Standalone Financial Statements.
Corporate Overview
- Gujarat, India
- Net worth completely eroded.
- Defaulted in repayment obligations due to liquidity problems.
- Suffered immense loss.
- Fluctuation in market value of quoted investments.
- Dependent on recovery of dues.
- Government support for interest-free loans.
- Primarily engaged in term lending.
- Objective: financial assistance to micro and small scale units.
- Currently focused on recovery function.
- Main activities discontinued, dependent on recovery.
- Factual and compliant, reporting financial results and audit qualifications.
- Acknowledges significant losses and ongoing recovery function.
- First generation entrepreneurs.
- Micro and small scale units.
- No reportable segments as per AS-17.
Risk Factors
- Net worth completely eroded.
- Significant liquidity problems.
- Going concern assumption questioned.
- Unconfirmed government dues.
Key Drivers
- Government support for interest-free loans.
- Effective recovery of outstanding dues.
- Resolution of government dues confirmation.
Auditor’s Report
- Qualified opinion.
- Financial statements prepared on going concern basis despite eroded net worth and liquidity issues.
- Dues payable to Government of Gujarat subject to confirmation and adjustment.
Board Commentary
- Recommendation to appoint M/s. J.H. Mehta & Co. as Statutory Auditors.
- Approval of M/s. Spanj & Associates as Scrutinizer for e-voting.
- No dividend declared for financial year 2025-26 due to reported loss.
- Net worth completely eroded, liquidity problems.
- Dues payable to Government of Gujarat unconfirmed.
- Compliance with SEBI (LODR) Regulations, 2015.
Corporate Governance
- Audit Committee exists.
- Audit qualification on going concern basis.
- Unconfirmed government dues.
Management Discussion & Analysis
Future Strategy
- Continuing recovery function.
- Seeking government support for interest-free loans.
Operational Focus Areas
- Focus on recovery of dues.
Performance Drivers
- Recovery of outstanding dues.
Risk Control Measures
- Government moved to make loans interest-free.
Critical Risks
- Net worth completely eroded.
- Liquidity problems leading to repayment defaults.
- Dues payable to Government of Gujarat unconfirmed.
- Impact of investment value fluctuations.