Bata India Limited announced its July to September quarter results on Monday, November 4. The company recorded a 52.89 per cent rise in net profits in the second quarter to ₹51.97 crore, compared to ₹33.99 crore in the same quarter the previous year, according to the company's BSE filing on Monday.
Bata India Ltd shares closed 1.47 per cent lower at ₹1,336.90 after Monday's trading session, compared to ₹1,356.90 at the previous market close. The company released the second-quarter results after market operating hours.
The company also recorded a 2.2 per cent hike in its revenue from operations to ₹837.14 crore, compared to ₹819.11 crore a year ago.
The footwear and accessories maker's quarterly expenses increased 4.9 per cent to ₹784.55 crore, compared to ₹747.41 crore in the same period, a year ago.
“Despite continuing market headwinds and subdued consumption, we saw some recovery in our growth trajectory through the quarter backed by focused execution of strategic initiatives,” said Gunjan Shah, managing director and the chief executive officer of Bata India, in an official statement.
“We are seeing strong validation of our premiumisation strategy across channels, with premium products showing robust growth and increased contribution to our revenue mix. Our Brand stories connected well with targeted audience,” said the executive.
Commenting on the outlook of Bata India, Shah said that the company's expansion plans through franchise stores in Tier 3-5 markets, combined with our robust digital presence, are helping the company access new growth prospects.
“Our conscious efforts on Franchise model expansion are showing good results. Cost efficiency remains a cornerstone across all operations including manufacturing facilities,” said the executive.
“We continue to maintain a balanced approach between managing near-term challenges and investing in long-term growth drivers. We are optimistic about consumption recovery in the coming quarters, backed by festive season momentum and our strong market positioning,” said Shah in the official statement.
According to the statement, the footwear and accessories maker has over 1,900 stores and catered to nearly 250,000 customers daily in 2023. Bata India sells close to 50 million pairs every year.
