Synopsis: Penny stock plunged 19% despite a 286% YoY revenue jump from Rs. 22.53 Cr to Rs. 86.93 Cr in Q2FY26. However, net profit swung from a Rs. 10.55 Cr gain to an Rs. 8.29 Cr loss.
The shares of the Penny stock company specializing in equity investing, warehouse renting, and real estate development, crashed up to 19 percent in the day’s trade following their Profit-to-Loss Transition.
With a market capitalization of 208.45 Crores on Thursday, the shares of Gamco Ltd declined upto 18.6 percent, reaching a low of Rs. 34.50 compared to its previous close of Rs. 42.42.
What Happened
Gamco Ltd, engaged in equity investing, warehouse renting, and real estate development, has announced its Q2 results as follows:
Its Revenue from operations rose by 286 percent YoY from Rs. 22.53 Crores in Q2FY25 to Rs. 86.93 Crores in Q2FY26, and it rose by 58 percent QoQ from Rs. 55.04 Crores in Q1FY26 to Rs. 86.93 Crores in Q2FY26.
From a profit of Rs. 10.55 Crores in Q2FY25 turned to a loss of Rs. 8.29 Crores in Q2FY26, from a profit of Rs. 14.79 Crores in Q1FY26 to a loss of Rs. 8.29 Crores in Q2FY26 on a quarter-on-quarter (QoQ) basis.
The earnings per share (EPS) for the quarterly period stood at negative Rs. 1.54, compared to a positive Rs. 2.73 in the previous quarter.
The company has a PEG ratio of 0.29, indicating strong growth potential relative to its valuation. It also maintains a dividend payout ratio of 8.43%, reflecting a modest return to shareholders while retaining most earnings for growth.
Company Overview & Others
Gamco Ltd, formerly Visco Trade Associates Ltd, is an Indian non-banking financial company (NBFC) established in 1983 that operates in equity investing, real estate, and warehouse renting.
The company’s main business model revolves around investing in shares, securities, debentures, and bonds, along with providing loans and advances secured by various assets. In addition to its financial services, GAMCO has developed interests in real estate development and warehousing infrastructure.
