Bata India shows mixed results in financial performance and growth. While sales growth has been robust over the past three years, profit growth has recently declined. The compounded sales growth shows a positive trend in the short term but weak in the long term.

While 3 year sales growth has been robust at 27%, 10 Year and 5 Year sales growth have been 5% and 3% respectively. Similarly, the compounded profit growth for 3 years has been 77% but 10 year and 5 year compounded profit growth has been 4% and -2% respectively. The recent quarterly profit growth has also been -11%. While sales growth has improved, profit growth has been inconsistent, indicating potential challenges in maintaining profitability.

Bata India demonstrates average capital efficiency and returns. The Return on Equity (ROE) and Return on Capital Employed (ROCE) have shown fluctuations over the years. ROCE has declined in the most recent year, indicating decreasing returns from capital employed.

ROCE has declined from an average of 23% between 2016 and 2018, to 19% between 2019 and 2021 and further to 16.33% in the 2022-2024 period. ROE has also shown a similar trend. The company's ability to generate returns from capital employed and equity has diminished, indicating potential challenges in capital management and investment strategies.

Bata India's financial health shows signs of weakness due to increasing debt levels. The company's borrowings have significantly risen over the past few years. While the interest coverage ratio is not explicitly available in the provided data, the increasing interest expenses indicate a higher debt burden.

Bata India's borrowings have increased from an average of ₹0 Cr between 2017 and 2019 to ₹1125 Cr between 2020 and 2022 and further to ₹1302 Cr in the 2023-2024 period. This increase in debt may lead to higher financial expenses and reduced profitability if not managed effectively. Despite consistent dividend payouts, the rising debt levels raise concerns about the company's financial prudence. The increasing reliance on debt financing introduces financial risk and reduces financial flexibility.

Bata India has a good shareholding and ownership structure. The promoter holding remains stable at 50.16% indicating continued confidence in the company. Institutional holding by FIIs and DIIs shows moderate interest from institutional investors.

Promoter holding has remained stable, although it experienced a slight decrease from 52.96% in December 2021 and March 2022 to 50.16% in September 2024. FII holding has increased from 6.01% in December 2021 to 8.81% in September 2024, suggesting growing interest from foreign institutional investors. DII holding has slightly decreased from 27.46% in December 2021 to 27.12% in September 2024. Overall, the shareholding pattern reflects a stable ownership structure with continued promoter confidence and increasing FII interest.

The data indicates some volatility in Bata India's segment performance, as seen in the quarterly results. Fluctuations in YOY Sales Growth % and YOY Profit Growth % suggest variability in different segments.

Bata India is exposed to interest rate risk due to increasing borrowings. The company's interest expenses have risen, reflecting a higher debt burden.