Bata India Q2 profit up 33% at Rs 12 crore

Bata India’s turnover grew 11 per cent for the quarter ended September 30, 2008, to touch Rs 212 crore, up from Rs 190 crore in the corresponding quarter last year, on the back of reduced employment costs, increase in stocks and more retail presence.

The company’s profit rose 33 per cent to touch Rs 12 crore, up from Rs 9 crore in the corresponding period last year.

For the nine months ended September 30, 2008, Bata’s turnover increased 13 per cent to touch Rs 683 crore, up from Rs 602 crore in the corresponding period last year. Profit for the nine months increased 50 per cent to touch Rs 39 crore, up from Rs 26 crore in the corresponding period last year.

In order to resolve the issue of surplus labour in two of Bata factories, the company offered voluntary retirement scheme during the quarter. This scheme was accepted by 321 employees for which a payment of Rs 9 crore was made.

Bata operates in two segments manufacture and sale of footwear and investment in joint venture for surplus property development.