India's Bata falls 7% after Q3 profit slump
11/02/2021 06:30
** Shares of footwear maker BATA.NS fall as much as 6.9%
to 1,461.10 rupees, their lowest since Nov. 23
** Co on Wednesday reported about 78% drop in consolidated
Dec. qtr profit after being hit by subdued sales in its formal
wear and fashion categories urn:newsml:reuters.com:*:nFWN2KG0XB
** Co, however, flagged overall volume reached 88% of
pre-COVID-19 levels and sales recovered to 74% of pre-COVID
levels
** Digital platforms now make up 15% of total sales - BATA
** Higher share of closed footwear, fixed retail costs and
high share of fashion and formal footwear are likely to continue
to be a drag on Bata over the next 6-9 months, Ambit Capital
said in a note
** Bata is likely to underperform Relaxo Footwears RLXO.NS
over the next 6-9 months as discretionary spending slows down -
Ambit
** Relaxo reported 66% jump in Dec. qtr profit after tax;
its shares were flat at 895.20 rupees
** Bata shares fell 9.8% in 2020, while RLXO shares gained
31.5%
** About 2.8 mln BATA shares change hands vs 30-DMA of
708,300
(Reporting by Nallur Sethuraman in Bengaluru)
((Sethuraman.NR@thomsonreuters.com; (Within U.S.
1-646-223-8780, Outside U.S. +91 8067496031); Reuters Messaging:
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