Bata India Q4 Review - Hazy Windscreen View: ICICI Securities

A customer tries on a Bata slipper inside a newly opened Bata India Ltd. store in Ghaziabad, India. (Photographer: Prashanth Vishwanathan/Bloomberg).

Bata India Q4 Review - Hazy Windscreen View: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Bata India Ltd.'s weak performance continued in Q4 (revenue declined 5%; two-year compound annual growth rate decline of 7%).

Portfolio-specific headwinds (higher formal and fashion salience) continued to hurt; some of the peers have already seen good recovery.

We note several initiatives by the company to accelerate recovery –

  1. ramping up sales from new channels (chatshop, home delivery, store on wheels),
  2. capturing semi-urban / rural demand through franchisee stores, and 3
  3. restarting promotional campaigns and new launches.

That said, the company is likely to be a key beneficiary of ‘full unlocking’.

Click on the attachment to read the full report:

ICICI Securities Bata Q4FY21 Results Update.pdf

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