Review

BATA INDIA LIMITED 

Ticker : 500043 
FV : Rs 5 
52-Week H/L : Rs 1,767.90/1,239.45

We recommended Bata India in volume no. 37, issue no. 35 (dated June 21, 2021) when the scrip was trading at Rs 1,668. On the consolidated quarterly front, the company recorded a strong increase of 97.7 per cent in the net sales and operating income being at Rs 267.05 crore for Q1FY22 as compared to the net sales & operating income of Rs 135.08 crore reported for Q1FY21. The operating loss lowered, registering Rs 19.31 crore in Q1FY22 from Rs 33.82 crore posted in Q1FY21. The company's net loss narrowed being at Rs 69.48 crore in Q1FY22 as compared to Rs 100.89 crore recorded in Q1FY21. Bata India continued to strengthen its retail presence in tier 3-5 cities by introducing seven new franchise stores during Q1FY22 despite the lockdown, taking the overall tally to 234 franchise stores. Hence, owing to the business signalling strong signs of recovery, we recommend a HOLD for this stock.