Footwear brand reports double-digit growth in profit and revenue even as operating margins soften
RedTape reported solid financial results for the September quarter, with strong year-on-year expansion across major indicators despite a slight dip in operating margins. The company’s net profit increased 10 per cent to Rs 27.5 crore, up from Rs 25 crore in the same quarter last year. Revenue climbed 18 per cent to Rs 492 crore, compared with Rs 416 crore a year earlier, driven by steady demand across its product lines.
Operating performance also improved, with Ebitda rising 13 per cent to Rs 73 crore versus Rs 64.5 crore in the corresponding period. However, the Ebitda margin narrowed to 14.8 per cent from 15.5 per cent, as higher input and operational costs weighed on profitability.
Following the results, RedTape’s shares were up 1.9 per cent at Rs 137.55 on the NSE, signalling positive investor sentiment toward the quarterly performance.
RedTape maintained a solid balance sheet with total assets of Rs 228,870 lakh and total equity of Rs 85,798 lakh. The company’s current assets stood at Rs 151,833 lakh against current liabilities of Rs 110,852 lakh, providing adequate liquidity for operations and growth initiatives
RedTape competes with established players, including Relaxo Footwears, Bata India, and Campus Activewear. RedTape operates over 390 retail stores across India and maintains a global presence spanning 17 countries across 6 continents. The company has expanded its omni-channel strategy, combining offline retail strength with digital infrastructure to capture both domestic and online market share
