Gujarat State Financial Corp's Q1 results show decrease in asset quality and profitability

Net NPA - Quarterly: Highest at 1.2% in the last five quarters. This indicates a decrease in asset quality and potential risk for the company.
Net Interest Margin - Quarterly: Decreased from 3.2% to 2.9% in the last five quarters. This could affect the company's profitability and ability to generate revenue.
Provision Coverage Ratio - Quarterly: Decreased from 70.5% to 68.2% in the last five quarters. This indicates a decrease in the company's ability to cover potential losses.

Despite these challenges, Gujarat State Financial Corporation, a microcap finance company, has declared its financial results for the quarter ending March 2024. The company's performance has remained flat in the last three months, according to MarketsMOJO's stock call of 'Sell'.

One area of concern for the company is its non-operating income, which has reached its highest level in the last five quarters at Rs 3.49 crore. However, this increase may not be sustainable as it comes from non-business activities.

Another red flag is the company's net NPA, which has reached its highest level in the last five quarters at 1.2%. This indicates a decrease in the company's asset quality and potential risk.

Moreover, the company's net interest margin has decreased from 3.2% to 2.9% in the last five quarters, which could impact its profitability and revenue generation. Additionally, the provision coverage ratio has also decreased from 70.5% to 68.2% in the last five quarters, indicating a decrease in the company's ability to cover potential losses.

Despite these challenges, Gujarat State Financial Corporation continues to operate in the finance/NBFC industry and is classified as a microcap company. Investors should carefully consider these financial factors before making any investment decisions.