Prudent expansion among other factors drive Bata India’s strong Q2 results

Footwear major Bata India Limited has announced results for the quarter ended September 30, 2023. It informs that the Profit Before Tax & Exceptional items stood at Rs. 874.59 million (28.4% growth) for the quarter ended September 30, 2023, vs. Rs. 681.41 million from Q2FY23, showcasing consistent efficiency improvements across operations. “This is in alignment with the company’s commitment to make sustainable profitable growth. Revenue from operations for the quarter stood at Rs. 8,191 million, vs. Rs. 8,297 million (Q2FY23) despite the delayed festive season until Q3 this year,” says the company statement.

Key Highlights:

• Aggressive network expansion – 30 stores in close to 25 cities, with Franchise & SIS network consisting over 39 %. 
• 54 stores were renovated during the quarter. 
• Successful execution of portfolio casualization strategy – Sneaker Studio implemented in 612 Stores. 
• HPM - Merchandising project implemented. ERP project on track.

Speaking on the Q2FY24 performance, Gunjan Shah, MD and CEO - Bata India Limited, stated: “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 continue to flesh out new opportunities across our value chain. We remain focused on cost efficiency across all operations including manufacturing facilities and optimizing our resources. In line with our strategy of sustainable profitable growth, we continue to expand across tiers in capital efficient manner, digital channels and make investments in elevating customer experience & brand marketing.”