Bata India Q1 Profit Rises 23% to ₹63.7 Crore

Shares of Bata India rose more than 8% in early trading on Wednesday after the footwear company announced its financial results for the quarter ended June 2026.The shares gained as much as 8.42% to ₹758.45, compared with the previous closing price of ₹699.50. The stock opened at ₹730.75 and was trading around ₹736 during the morning session.

Revenue and Profit Grow

Bata India reported consolidated revenue of ₹978.9 crore in Q1 FY27, an increase of 4% from ₹943 crore in the same quarter last year.

Net profit rose to ₹63.7 crore, compared with ₹51.7 crore in Q1 FY26, marking growth of more than 23%.

Profit before tax, excluding one-time expenses, increased by more than 22% to ₹90.6 crore, compared with ₹74.5 crore in the year-ago quarter.

The company recorded some one-time expenses during the quarter. These included a ₹2.7 crore non-cash foreign exchange loss related to license fees and a ₹2.4 crore cost for implementing its ERP system.

Better Margins and Inventory

Bata India’s operating cash profit increased 7.6% to ₹216.6 crore during the quarter. The company said the improvement was supported by better cost control and stronger execution across its business channels.

The company’s gross margin improved by 130 basis points, helped by stronger full-price sales and lower discounts.

Bata also reported an improvement in its inventory position. Gross inventory was more than 10% lower than on June 30, 2025. The company said both the quantity and quality of its inventory improved during the quarter.

Its Zero Base Merchandising program was expanded to 775 stores. According to Bata, the program has helped improve customer experience and revenue per square foot.

Strong Consumer Engagement

Bata increased its advertising investment by nearly 25% during the quarter as it focused on improving customer engagement.

Gunjan Shah, Managing Director and CEO of Bata India, said the company had continued its growth momentum for the third consecutive quarter.

“Continuing on the growth momentum for the third consecutive quarter, we are pleased to report a topline growth of 4% in Q1 FY27, led by a blend of premiumization and volume growth. The growth is supported by strong consumer engagement, with our advertising investments up by nearly 25%. We successfully navigated the global geopolitical situation impacting freight costs, shipping and transit time,” he said.

Bata said it also managed higher freight costs, shipping disruptions and longer transit times during the quarter.

₹25 Interim Dividend Announced

Bata India’s board approved an interim dividend of ₹25 per share, resulting in a total payout of around ₹321.3 crore.

The company said it will continue to focus on premium products, higher sales volumes, stronger customer engagement and better cost management.

Bata India serves more than 250,000 customers every day and has been present in the Indian footwear market for nearly a century. The company expects business momentum to continue, although some monsoon-related sales are likely to move into the September quarter.

Overall, the Q1 results show steady growth in sales and a stronger rise in profit, supported by improved margins, lower inventory and better operational efficiency.