Bata Shoe Bangladesh is shaking off the pandemic blues, reporting consecutive quarterly earnings for the first time since the epidemic pushed the company into the red in 2020.
The footwear company managed to sell more and earn over Tk5 in profit per share in both the October-December and January-March quarters as daily life returned to normal in the latter half of last year and schools completely reopened early this year.
However, the company’s annual loss per share was Tk5.01 in 2021 due to two losing quarters earlier in the year. Bata’s sales increased as a result of economic openings in various regions, but the business’s bottom line was scarcely recovered because it had to clear old stock at discounts, despite the fact that the general public’s attitude toward buying new shoes was not favorable to the company. Due to the recurrence of sales disruptions, a quarter of meager earnings was followed by larger losses.
The company sold shoes and a few other items worth Tk215 crore in the first quarter of this year, up from Tk184 crore in the first three months of 2021 when there was no lockdown, but the business environment was not favorable enough for the company.
Despite losing a large portion of their Eid revenues due to the virus resurfacing both during Eid-ul-Fitr and Eid-ul-Adha, the company nearly turned around in 2021 with an annual loss of TK5.01 per share, compared to Tk96.94 in 2020.
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