Gujarat Mineral Development Corporation Limited (GMDC) has released its financial results for the first quarter, revealing a downturn in key financial metrics compared to the same period last year.

Revenue and Profit Decline

GMDC reported a consolidated net profit of ₹1.60 billion for the quarter, marking a decrease from ₹1.84 billion in the corresponding quarter of the previous year. The company's revenue also saw a decline, dropping to ₹7.30 billion from ₹8.18 billion year-over-year.

EBITDA and Margin Contraction

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) fell to ₹1.70 billion, down from ₹2.11 billion in the previous year. Consequently, the EBITDA margin contracted to 22.99% from 25.85% year-over-year, indicating a squeeze on the company's operational efficiency.

Financial Results Overview

*pp: percentage points

Management Approval and Audit Review

The Board of Directors of GMDC approved these unaudited financial results in a meeting held on July 25, 2025. The results have undergone a limited review by the company's statutory auditors, as confirmed in the independent auditor's review report.

Subsidiary and Associate Performance

The financial statement also includes results from GMDC's controlled entities, associates, and joint ventures. Two 100% controlled entities reported a total revenue of ₹0.41 crore and a net loss of ₹0.26 crore for the quarter. Additionally, the Group's share of loss from three associates and three joint ventures amounted to ₹0.10 crore for the same period.

GMDC continues to navigate challenging market conditions, as reflected in its Q1 performance. Investors and stakeholders will be watching closely to see how the company addresses these financial headwinds in the coming quarters.

Gujarat Mineral Development Corporation (GMDC), India's largest lignite producer, is scheduled to release its first quarter financial results on July 25. The state-owned mining company, which caters to various industries including textiles, ceramics, bricks, chemicals, and captive power, has been experiencing a surge in its stock price recently.

Recent Financial Performance

In the previous quarter, GMDC reported impressive financial results:

• Consolidated net profit increased by 20.8% to Rs 226.22 crore
• Total income grew by 10% to Rs 904.33 crore

These figures demonstrate the company's strong performance and growth trajectory.

Stock Performance

GMDC's shares have shown remarkable strength in the market:

• 19.68% gain in the past five trading sessions
• 40.55% increase year-to-date
• Reached a 52-week high of Rs 472.40 on July 23
• Trading at Rs 455.10 at the time of reporting

This significant upward movement in the stock price indicates growing investor confidence in the company's prospects.

Trading Window Closure

As per regulatory requirements, the trading window for designated persons will remain closed until 48 hours after the announcement of the results. This measure ensures fair trading practices and prevents insider trading.

Outlook

With the upcoming Q1 results announcement, investors and market analysts will be closely watching GMDC's performance. The company's strong showing in the previous quarter and the recent surge in stock price have set high expectations for the upcoming financial results.

As a key player in the lignite production sector, GMDC's performance could provide insights into the broader mining and industrial sectors in India. The company's diverse customer base across various industries makes its results a potential indicator of economic activity in these sectors.

Investors and stakeholders will be particularly interested in seeing if GMDC can maintain or exceed its previous quarter's growth rates in net profit and total income. The upcoming results will be crucial in determining whether the recent stock price rally is supported by fundamental performance improvements.