However, revenue from operations declined 1.41% year on year (YoY) to Rs 944.63 crore in the quarter ended 30 June 2024.
Profit before exceptional items and tax fell 42.07% to Rs 83.17 crore in first quarter of FY25 as compared to Rs 143.56 crore reported in Q1 FY24.
Bata recorded a one-time gain (exceptional item) of Rs 134 crore from the sale of property. Additionally, the results for the quarter include a one-time expenditure of Rs 14.7 crore related to investments in technology.
Bata continued expansion with a network of 1,916 COCO and franchise stores. The firm stated that it has achieved significant growth in digital sales over the previous quarter.
The portfolio casualisation strategy continued to work well, with Sneaker category led by Power. Sneaker Studios and Floatz Kiosk expanded, added the footwear maker.
During the quarter, 37 stores were renovated with significant thrust towards portfolio newness with style & technology propositions.
Gunjan Shah, MD and CEO of Bata India, stated, “Bata India navigated well through the slugging consumption environment further accentuated due to the elections and extreme heat wave in the last quarter. We sustained our gross margin with our premiumisation strategy while continuing investments in marketing and technology platforms.
We added 33 franchise stores in the quarter, primarily in Tier 3 – 5 towns to cater the demand for branded products and achieve better returns on capital. Bata also launched its 2nd Power EBO in Delhi.
Along with cautious control on costs and focus on efficiency and productivity, we continued to manage our inventory while having strong instore availability of fresh merchandise in anticipation of festive season driven consumption uptick.”
Meanwhile, the company's board declared an interim dividend of Rs 10 per equity share for the financial year 2024-25. The record date for dividend is 16 August 2024 and the same will be paid on 2 September 2024.
Bata India is the largest retailer and manufacturer of footwear in the country. The company is engaged in the business of manufacturing and trading of footwear and accessories through their retail and wholesale network. Their products include leather footwear, rubber/canvas footwear and plastic footwear.
The scrip fell 4.52% to Rs 1,446.65 on the BSE.