GSFC reports net loss of ₹12728.91 lakh in FY26
Published on: May 30, 2026, 2:39 p.m. | Source: scanx.trade
Gujarat State Financial Corporation reported a net loss of ₹12728.91 lakh for the financial year ended March 31, 2026, widening from the loss of ₹12534.01 lakh recorded in the previous year. The corporation’s total income for the year stood at ₹1640.08 lakh, while total expenditure was ₹14373.09 lakh. Due to the reported loss, the Board of Directors did not declare any dividend for the financial year. The statutory auditors, M/s. Pankaj R. Shah & Associates, issued a qualified opinion on the financial statements. The auditors noted that the financial statements are prepared on a going concern basis despite the corporation's net worth being completely eroded and defaults in repayment obligations due to liquidity problems. This treatment is not in accordance with Accounting Standard (AS)-1, and the effect on the financial statements is not ascertainable. Additionally, dues payable to the Government of Gujarat are subject to confirmation and adjustment, with the impact on interest and penal interest currently unascertainable. The corporation’s operating profit before provisions and contingencies was negative at ₹(12733.01) lakh for the year ended March 31, 2026. Exceptional items for the year included a diminution in the value of investments amounting to ₹(56.86) lakh and a net write-back of provision for NPAs of ₹60.96 lakh. The paid-up equity share capital remained constant at ₹8911.40 lakh. The Gross NPA and Net NPA ratios both stood at 100% as of March 31, 2026. The reserves excluding revaluation reserves were negative at ₹(328194.54) lakh, indicating a significant erosion of net worth. The corporation’s total assets were valued at ₹23360.74 lakh, comprising primarily investments of ₹22108.36 lakh and other liabilities and provisions of ₹276014.98 lakh. The Board of Directors has recommended the appointment of M/s. J.H. Mehta & Co, Chartered Accountants, as statutory auditors for FY 2026-27. The 66th Annual General Meeting is scheduled to be held in physical mode on July 30, 2026. M/s. Spanj & Associates, Company Secretaries, were appointed as the scrutinizer for the remote e-voting and poll process.
