Q3 Results of Bata India: Profit Falls 78%
Bata India, a leading footwear brand, has reported a 77.66 percent decline in its consolidated net profit to Rs 26.41 crore for the quarter ended December 2020, on account of lower revenue from operations. The company had a net profit of Rs 118.26 crore in the year-ago period.
Bata India said in a filing to BSE, "Revenue from operations of the company stood at Rs 615.62 crore for the quarter under consideration, down 25.90 percent, against Rs 830.82 crore for the same period year ago."
Bata India said that due to the various customer-centric measures adopted in the wake of Covid-19, the company has been successful in getting back on its recovery path, with improvement in sales through its retail outlets and e-commerce platforms hyperlocal digital channels.
"In terms of portfolio-mix, the formals (including school business) and fashion categories continued to be subdued as expected due to prevailing market conditions, the casual, fitness and essentials categories bounced back leading to company's overall volume reaching 88 percent of pre-Covid levels," the company added.
Sandeep Kataria, CEO of Bata Brand, said owing to the decline in Covid-19 cases and vaccine rollout, the overall market sentiment is improving significantly. He said, "Backed by good festive sales and our targeted consumer outreach, our sales have recovered to 74 percent of pre-Covid levels. While we focused on reviving sales, we also kept focus on cost-savings measures across our network and enhancing productivity."
"Overall, we're encouraged by the increasing momentum during the December quarter, and we continue to launch new ways to serve our customers better, offering them greater convenience and flexibility. All these measures have enabled us to revitalize the business, and soon we expect to get into the thrive phase of our recovery plan," he added.
Shares of Bata India were trading 4.18 percent lower at Rs 1,503.95 apiece on BSE.