BATAINDIANSEBata India Limited· Leather And Leather ProductsMediumNeutral
Announced Mon, 18 Aug · 13:46 IST

Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Bata India Limited has informed about transcript of Post Earnings Call

Mgmt Guided Margin ImprovementAnalyst Day Multiyear TargetsInvestor Communications View source PDF

BATAINDIA · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Bata India reported a subdued Q1 FY26 with flat revenue of Rs. 942 crore (-0.3% YoY), gross margin declining 133 bps, EBITDA margin at ~22.9%, and PAT margin at ~5.5% (down 112 bps pre-exceptional). Management updated progress on three key initiatives: Zero Base Merchandising (ZBM) now in ~200 stores with +50 added this quarter, targeting 65-70 stores per quarter ahead; value proposition pricing (Rs. 399-499 range lifting checkout rates from 3.5% to 8% across 800 stores); and inventory agility (inventory down 16% YoY, stock turns at 2.1 with a 12-month target of 2.5+). Premium portfolio momentum continues with Floatz growing 30%+ and hitting ~Rs. 200 crore annualised run rate, while Hush Puppies has reached ~150 EBOs. Franchise network stands at 644 stores, contributing ~12% of turnover (vs under 3% pre-COVID), with 60% of new additions from existing partners. Long-term guidance of 130-150 store additions annually at an 80:20 franchise-to-COCO mix was reiterated.

Likely market impact

Flat top-line and ~133 bps gross margin compression reflect continued demand weakness in mass-market footwear and competitive pressure from D2C brands. However, management is signalling margin recovery through aged-inventory clearance benefits, structural cost savings of 45-50 bps, and unprofitable store closures. Investors should monitor same-store sales growth pickup, ZBM rollout pace, and any festive season demand revival as key re-rating catalysts.