GTN Textiles wrote off ₹10.40 cr on Patspin. That's nearly all its market value.
The write-down on its associate pushed total losses to ₹21.78 cr and negative equity to ₹35.90 cr. Revenue from its new trading business was ₹10.23 cr.
— 1 earlier story on GTN Textiles Ltd. →What's new
- FY26 net loss of ₹12.78 cr; a ₹10.40 cr impairment on Patspin India was the key driver.
- Total losses hit ₹21.78 cr, deepening negative other equity to ₹35.90 cr from ₹4.23 cr.
- Company has sold 25.08 of its 25.71 acres of land; 0.63 acres pending for ~₹2.50 cr.
Why this matters
The impairment alone consumes almost the company's entire market capitalisation. With negative equity now at ₹35.90 cr and a trading business generating just ₹10.23 cr in revenue, the balance sheet is deeply underwater. The land sales are the only remaining cash source.
What we're watching
- Auditor's going-concern opinion, given the negative equity position.
- The final land sale of 0.63 acres for ~₹2.50 cr.
- Any further movements in the Patspin India investment value.
The full read
GTN Textiles is a cotton yarn trader that made ₹10.23 cr in revenue last year. It also recorded a ₹12.78 cr net loss. The big number is the ₹10.40 cr impairment on its stake in Patspin India, valued at the associate's depressed market price. That single write-down is nearly equal to GTN's ₹11 cr market cap. The impairment drove total losses to ₹21.78 cr and sent negative other equity to ₹35.90 cr, from ₹4.23 cr a year earlier. Separately, the company has sold 25.08 of its 25.71 acres of land, with 0.63 acres pending sale for about ₹2.50 cr. The land sales are the cash lifeline. The impairment is the verdict on the Patspin investment.
Questions answered
- Why was the impairment loss so large relative to the company?
- The impairment was based on Patspin India's market price. At ₹10.40 cr, the write-down alone was nearly equal to GTN Textiles' entire market capitalisation of ₹11 cr.
- How did the results affect the company's net worth?
- The total loss for the year pushed negative other equity from ₹4.23 cr to ₹35.90 cr, meaning liabilities exceed assets by that amount.
- What is GTN Textiles' primary activity now?
- It has shifted from manufacturing to cotton yarn trading, which generated ₹10.23 cr in revenue for FY26. The company has also been liquidating its land holdings.
- How much land is left to sell?
- Almost none. GTN Textiles has sold 25.08 of its 25.71 acres. The final 0.63 acres is pending sale for about ₹2.50 cr.
Story so far
All notes on GTNTEX →- 26 May 2026 · 3:35 PM IST GTN Textiles wrote off ₹10.40 cr on Patspin. That's nearly all its market value.
- 41d ago GTN Textiles' impairment equals a year's revenue, equity turns negative