Bata India’s fourth quarter profit increased 69.47 per cent. The company delivered a good profit performance on the back of conscious efforts taken towards cost and expense control that contributed extensively in increasing the profit margin. Revenue was up 7.44 per cent. But revenue was tempered down by a below expectations performance by the e-commerce channel due to changed legislation for the industry and a one-off institutional order in the same quarter of the previous year.
Bata has a target of 500 franchise stores over the next four or five years. It would also continue to open more company-operated stores. Besides shoes and foot care, the company has also expanded into women’s and men’s bags. Bata, India’s largest shoe retailer sells brands such as Power, Hush Puppies, and Bata. Since its entry into India in the 1930s, Bata has built a massive retail network by opening stores in some of the country’s busiest markets, small towns and malls. It reaches Indians living in more than 500 towns. While Bata’s large footprint of exclusive and franchise stores will continue to generate the bulk of growth for it, distribution and MBO outlets will add to the sales push.