The quarterly results also included a one-time exceptional expense of around Rs 8.3 crore towards VRS in one factory - consistent with the long-term strategy towards building capability, agility and efficiency in supply chain.

EBIDTA for the quarter stood at Rs 166.4 crore, recording the de-growth of 13.24% compared with Rs 191.8 crore posted in Q2FY25, primarily due to lower gross margin led by higher markdown (inventory clearance pre-festive) and higher marketing investments.

Gunjan Shah, MD and CEO - Bata India, stated: “With the roll out of GST 2.0 and pre-festive buying enthusiasm, the demand has started to revive. While overall Quarter 2 did have muted demand adversely impacted by the GST 2.0 transition, we are seeing positive signs of recovery this festive season post 22nd Sept. We reported revenue of Rs 801.3 crore.

We remain cautiously optimistic about recovery towards balance of this year, backed by our strong market positioning and wide network while maintaining strong focus on cost efficiencies.”

Bata India is the largest retailer and manufacturer of footwear in the country. The company is engaged in the business of manufacturing and trading footwear and accessories through their retail and wholesale network. Their products include leather footwear, rubber/canvas footwear, and plastic footwear.