Archive · 13 Aug 2025
Metro Brands Revenue Growth Slows in Q1, Faces Challenges
Metro Brands, a shoe company, didn't do as well as expected in the first part of the year.
Sales slowed down partly because of the weather and the timing of a holiday.
The company is trying to open more stores, especially for brands like Fila and Foot Locker, to boost sales.
They also spent more money on marketing.
Although the stock price has dropped, the company's performance is still relatively good compared to its competitors.
Metro Brands' Q1FY26 revenue grew 9% year-on-year to ₹628 crore, below estimates.
Sales per square foot declined for the ninth consecutive quarter.
The company added 20 stores in Q1 and plans accelerated rollout for H2FY26.
Marketing spends impacted profitability, with Ebitda margin down 45 basis points.
The stock is down 12% over the past year, but growth appears decent compared to peers.
- Who
- Metro Brands Ltd.
- What
- Metro Brands' revenue growth was below expectations in Q1FY26.
- When
- During Q1FY26.
- Where
- Across Metro Brands' business operations.
- Why
- Due to slower sales and higher marketing spends.
Market Performance
Company Strategy
Sales Analysis
Market Performance
Sales and revenue growth are below the company's long term targets and expectations.
Company Strategy
Q1 revenue and profit after tax growth appears decent compared to peers
- Q1FY26 Revenue Growth
- 9%
- Q1FY26 Revenue
- ₹628 crore
- Sales per Square Foot Decline
- 3%
- Ebitda Margin Decline
- 45 basis points
- Store Additions in Q1
- 20
- Stock Performance (Past Year)
- -12%
- FY27 Earnings Multiple
- 58x
Sources
Bata plans to enter 500 new towns mostly through franchise stores in next five years
Bata India overhauls strategy amidst stiff competition, weak demand
Bata eyes recovery as dull demand hits footwear to paints, weather plays spoilsport - Telegraph India
