Gujarat State Financial Corporation (GSFC) has reported deteriorating financial performance for FY25, with the corporation's annual report laid before the Gujarat Legislature on February 16, 2026, showing increased losses and declining revenue streams.

Financial Performance Highlights

The state-owned financial institution recorded significant financial challenges during FY25, with key metrics showing a downward trend across multiple parameters.

Organizational Structure and Workforce

GSFC's operational capacity continued to shrink during FY25, with the corporation experiencing further reduction in its already limited workforce. The staff strength decreased from 16 employees in FY24 to 12 in FY25, representing a significant contraction in human resources.

The effective workforce of eight employees is distributed across three regional offices and the head office, highlighting the corporation's reduced operational footprint.

Corporate Background and Challenges

GSFC operates as a state-level development financial institution established under the State Financial Corporations Act, 1951. The corporation traditionally provided medium and long-term credit to small and medium-scale industrial undertakings in Gujarat. However, the annual report acknowledged the corporation's declining fortunes, particularly following financial sector reforms.

According to the report, GSFC "could not withstand stiff competition from banks and other financial institutions" and was "forced to discontinue its main activities of sanction and disbursement from FY 2001-02." Since then, the corporation has concentrated primarily on recovery of outstanding dues rather than new lending activities.

Regulatory Compliance

The annual report was formally communicated to BSE Ltd on February 25, 2026, in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015. The report's presentation in the Gujarat Legislature fulfills the requirements under Section 38(3) of the State Financial Corporations Act, 1951, ensuring transparency in the corporation's financial reporting to stakeholders and regulatory authorities.

Gujarat State Financial Corporation has published its unaudited financial results for the quarter and nine months ended December 31, 2025, showing continued losses amid challenging operational conditions. The state-owned financial corporation, established under the State Financial Corporations Act of 1951, reported these results following Board approval on February 13, 2026.

Financial Performance Overview

The company's financial performance for Q3 FY26 reflects ongoing challenges with sustained losses across key metrics:

Quarterly Results Analysis

For the quarter ended December 31, 2025, Gujarat State Financial Corporation recorded total income from operations of ₹422.64 lakh, representing a decline from ₹435.19 lakh in the corresponding quarter of the previous year. The net loss from ordinary activities after tax stood at ₹3,192.61 lakh, marginally higher than the ₹3,165.99 lakh loss reported in Q3 FY25.

The company's earnings per share remained in negative territory at ₹(3.58) for both basic and diluted calculations, compared to ₹(3.55) in the previous year's corresponding quarter. These figures are not annualized as specified in the financial statements.

Nine-Month Performance

For the nine-month period ended December 31, 2025, the corporation reported total income from operations of ₹1,306.07 lakh. The cumulative net loss after tax for this period reached ₹9,490.74 lakh, reflecting the sustained operational challenges faced by the organization.

The nine-month earnings per share stood at ₹(10.65) for both basic and diluted calculations, indicating the impact of continued losses on shareholder value.

Corporate Governance and Compliance

The unaudited financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their respective meetings held on February 13, 2026. The results were prepared in compliance with Regulation 33 of SEBI (Listing and Other Disclosure Requirements) Regulations, 2015.

Gujarat State Financial Corporation maintains a paid-up equity share capital of ₹8,911.40 lakh with a face value of ₹10 per share, which remained unchanged across all reported periods. The company published the extract of these results in "Financial Express" in both English and Gujarati editions on February 14, 2026, fulfilling its regulatory disclosure obligations.