Gujarat Lease Financing Reports Q2 Profit Amidst Ongoing Financial Challenges

2 min read     Updated on 17 Oct 2025, 01:16 PM
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Overview

Gujarat Lease Financing Limited (GLFL) posted a profit of Rs. 2.12 lakhs for Q2 FY26, down from Rs. 2.45 lakhs in Q2 FY25. Total income was Rs. 10.56 lakhs, derived entirely from other sources. Despite the quarterly profit, H1 FY26 saw a loss of Rs. 3.74 lakhs. The company faces significant financial challenges with accumulated losses exceeding net worth, liabilities surpassing assets, and no current business plan. Financial statements are prepared on a non-going concern basis, reflecting the company's precarious position.

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*this image is generated using AI for illustrative purposes only.

Gujarat Lease Financing Limited (GLFL) has released its unaudited financial results for the quarter ended September 30, revealing a modest profit despite persistent financial challenges.

Key Financial Highlights

Particulars (in Rs. lakhs) Q2 FY26 Q2 FY25 H1 FY26 H1 FY25
Total Income 10.56 10.50 21.04 20.77
Total Expenses 8.44 8.05 24.78 24.48
Profit/(Loss) for the period 2.12 2.45 (3.74) (3.71)
Basic EPS (in Rs.) 0.01 0.01 (0.01) (0.01)

Financial Performance

GLFL reported a profit of Rs. 2.12 lakhs for the quarter, slightly lower than the Rs. 2.45 lakhs profit in the corresponding quarter of the previous year. The company's total income for the quarter stood at Rs. 10.56 lakhs, derived entirely from other income sources, as there was no revenue from operations.

Despite the quarterly profit, the company's financial position remains precarious. For the six-month period, GLFL recorded a loss of Rs. 3.74 lakhs, marginally higher than the Rs. 3.71 lakhs loss in the same period last year.

Ongoing Concerns

The company's financial statements reveal significant challenges:

  1. Accumulated losses have exceeded its net worth.
  2. Total liabilities surpass total assets.
  3. The company has no current business plan and does not intend to engage in any business activity in the near future.

As a result, the financial statements have been prepared on a non-going concern basis, with financial assets stated at their realizable value or cost, whichever is lower.

Balance Sheet Overview

As of September 30:

Particulars (in Rs. lakhs) 30.09.2025 31.03.2025
Total Assets 634.44 636.17
Total Equity (409.41) (406.14)
Total Liabilities 1,043.85 1,042.31

The negative equity position underscores the company's financial distress.

Management Commentary

The company's management has not provided any forward-looking statements or plans for future operations. The absence of a business plan and the intention not to engage in any business activity in the near future raise questions about the company's long-term viability.

Conclusion

While Gujarat Lease Financing Limited has managed to report a small profit for the quarter, its overall financial health remains a significant concern. The company's accumulated losses, lack of operational revenue, and absence of a clear business strategy present substantial challenges for its future. Investors and stakeholders may need to closely monitor any developments or potential restructuring plans that may emerge in the coming quarters.

Historical Stock Returns for Gujarat Lease Financing

1 Day5 Days1 Month6 Months1 Year5 Years
-3.56%+7.44%+10.54%+2.85%-25.63%+195.45%
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