Bata India Limited, one of the leading footwear companies, released its financial results for the quarter ending September 30, 2023. The company showed a Profit before tax and exceptional items of Rs 874.59 million, marking a growth of 28.4% compared to the same quarter last year. Bata India has continued to make strides in improving operational efficiency, aligning with its commitment to sustainable profitable growth. Despite a delayed festive season, the company reported revenue from operations of Rs 8,191 million for the quarter.
Key Highlights:
- Aggressive Network Expansion: Bata India expanded its network by opening 30 stores in nearly 25 cities. The franchise and SIS network account for over 39% of this expansion.
- Store Renovations: During the quarter, Bata India renovated 54 of its stores, enhancing the shopping experience for customers.
- Casualization Strategy: The company successfully implemented its Sneaker Studio concept in 612 stores, catering to the growing demand for casual footwear.
- Floatz Growth: Bata India’s Floatz business saw a remarkable growth of 70%, supported by the introduction of the Floatz banner in 10 new stores.
- Consumer Connect Campaigns: Bata India launched various campaigns, including the Casual Style campaign, Bata Celebration campaign, Monsoon campaign, and School campaign, to strengthen its connection with consumers.
- Projects and Agreements: The company executed the HPM – Merchandising project and kept the ERP project on track. They also signed a comprehensive licensing and manufacturing agreement with the globally renowned fashion brand Nine West to introduce on-trend fashion designs to Indian consumers.
- IMEVA Capability: Bata India commissioned the IMEVA capability in its Batanagar Unit to enhance its casualization portfolio.
- Voluntary Retirement Scheme: The company initiated a Voluntary Retirement Scheme in one of its manufacturing units and booked it as an exceptional item in this quarter.
Gunjan Shah, MD and CEO of Bata India Ltd. commented on the Q2 FY24 performance, “Despite navigating through short-term demand headwinds in the quarter gone by, our focus on efficiency and productivity was reflected in robust operating profit margin growth. Prudent expansion of our Retail Network and marketing investments continue to be our key strategy.”
“We launched our latest campaign “Every Walk is a Ramp Walk” which has received an encouraging response. We unveiled our latest collection, bringing global fashion and premium designs to everyone in the country, introducing on-trend styles and comfortable offerings from Comfit, North Star, Red Label, Hush Puppies, and Floatz,” Shah added.
“In line with our strategy of sustainable profitable growth, we continue to expand across tiers in a capital efficient manner, digital channels and make investments in elevating customer experience & brand marketing,” Shah concluded.
Bata India’s Q2 FY24 results reflect their dedication to continuous improvement and expansion in the footwear market.
