Now Reading: Bata India Q1 profit jumps 23% to Rs 64 crore
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Bata India Q1 profit jumps 23% to Rs 64 crore
Bata India reported a 23 per cent on-year rise in consolidated net profit to Rs 63.98 crore for the June quarter, driven by operational efficiency and cost management. Revenue from operations grew…
The Story in Brief
Bata India reported a 23 per cent on-year rise in consolidated net profit to Rs 63.98 crore for the June quarter, driven by operational efficiency and cost management. Revenue from operations grew 4 per cent to Rs 978.95 crore, aided by premiumisation and volume growth, the company said in a regulatory filing.
The board declared an interim dividend of Rs 25 per share. Managing Director Gunjan Shah said advertising investments rose nearly 25 per cent and the company navigated global freight and shipping disruptions. Shares closed at Rs 699.50, down 1.8 per cent. One-offs included a Rs 2.7 crore forex loss and a Rs 2.4 crore ERP cost.
The Indian Opinion
A 23 per cent profit jump on a mere 4 per cent revenue rise shows Bata is squeezing costs efficiently, but the stock fell on the day, markets may be pricing in slower volume growth ahead. The narrative around premiumisation and volume is upbeat, yet currency devaluation and ERP costs remind us that margins face headwinds. The real test: can Bata sustain this margin expansion without sacrificing market share in a price-sensitive Indian market?
Source: retail.economictimes.indiatimes.com
This story was synthesised by AI from the source linked above.
