Are National General Industries Ltd latest results good or bad?

National General Industries Ltd's latest financial results for the quarter ended September 2025 reveal a company facing significant operational challenges. The company reported net sales of ₹2.11 crores, reflecting a sequential growth of 30.25% from the previous quarter, but this figure represents a slight decline of 1.40% year-on-year compared to ₹2.14 crores in the same quarter last year. Despite the sequential improvement in sales, the company continues to grapple with severe profitability issues, as evidenced by a net loss of ₹0.21 crores for the quarter, which is a deterioration compared to the previous year's profit. The operating margin, excluding other income, was reported at -22.27%, indicating ongoing operational inefficiencies. While this marks a slight improvement from the previous quarter's -32.10%, it remains significantly worse than the -2.80% margin reported in the same quarter last year. The company's return on equity (ROE) averaged 5.09%, but the latest figure stands at a mere 0.14%, highlighting a lack of return generation on shareholder capital. The financial performance over the first half of FY26 shows a cumulative net sales figure of ₹3.73 crores, down 36.73% from ₹5.89 crores in the corresponding period last year, with a net loss of ₹0.46 crores compared to a profit of ₹0.43 crores in H1 FY25. This trend underscores the company's struggle to maintain operational viability. Additionally, the shareholding pattern indicates a reduction in promoter holding from 65.62% to 60.74%, raising concerns about insider confidence in the company's future. The absence of institutional holdings further reflects a lack of professional investor interest. Overall, National General Industries Ltd's latest results illustrate a company in a precarious financial position, with persistent operational losses and challenges in scaling its business effectively. The company has seen an adjustment in its evaluation, reflecting these ongoing difficulties.