“Bata’s profit crashed 70%! Is India no longer walking with Bata?”
📉 Financial Performance - Net Profit: ₹52 crore, down 70% YoY from ₹174 crore in Q1 FY25 - Revenue from Operations: ₹941.85 crore, nearly flat compared to ₹944.63 crore last year - Total Expenses: ₹884 crore, slightly up from ₹878 crore YoY - EBITDA: ₹198.8 crore, up 7.6% YoY, with margins improving to 21.1% from 19.5% ⚠️ Key Challenges - Muted Consumer Demand: Sluggish consumption momentum and high base effect weighed heavily on performance. - Weather & Geopolitical Headwinds: Fluctuating weather patterns and global uncertainties added pressure. - Exceptional Item Last Year: Q1 FY25 had a ₹133.95 crore gain from land sale, inflating the prior year’s profit 🛠️ Strategic Moves - Affordability Initiatives: Focused on driving volume growth across categories. - Zero Base Merchandising: Scaled to 194 stores, improving revenue per square foot. - Franchise Expansion: Added 20 new outlets, targeting semi-urban markets. - Inventory Management: Continued progress in stock turns and forecast accuracy. 🔮 Outlook MD & CEO Gunjan Shah remains optimistic about consumption recovery in the second half of FY26, citing strong market positioning and cost discipline. Major Support at Rs. 1100 Major Resistance at Rs. 1200&1300