Footwear maker Bata India’s Q3 profit rises on festive season bump

FOOTWEAR manufacturer Bata India reported a 15 per cent increase in quarterly profit on Tuesday (Feb 14), as more shoppers flocked to its stores during the festive season.

The Gurugram-based company’s consolidated profit rose to 831.9 million rupees (S$13.3 million) in the third quarter ended Dec 31, from 723.2 million rupees in the year-ago quarter.

Most retailers and manufacturers make a bulk of their sales in the October to December quarter, which is marked by festivals and weddings, when Indians splurge on apparel, accessories, and electronics.

“We saw growth and expansion in the share of our premium category brands like Hush Puppies, Marie Claire, Red Label, among others,” chief executive officer Gunjan Shah said in a statement.

Bata India, the flagship of Netherlands-based Bata BN, also said that its diversification into categories like comfort and casual wear, with ranges such as Bata Comfit and Floatz, helped boost sales.

The footwear and accessories company’s consolidated revenue from operations rose 7 per cent to 9 billion rupees.

It opened 39 new franchise stores across the country in the quarter, bringing the total to more than 390 stores.

Last month, rival Metro Brands reported an 11 per cent increase in profit after opening 48 new stores across the country on a net basis.

Bata India’s shares closed about 0.6 per cent higher at 1508.9 rupees on Tuesday. The stock is down nearly 9 per cent so far this year. REUTERS