Bata India's (Bata) Q3FY21 result was a beat to our and consensus estimates on key parameters. Though quarterly performance was subdued compared to Q3FY20, the company's sequential net sales growth and EBITDA margin expansion was commendable given challenging business environment. Net sales declined by 25.9% YoY to Rs6,156mn, while EBITDA came in at Rs1,178mn, down by 55.3% YoY. The company reported net profit of Rs264mn, lower by 77.6% YoY. The management guided that healthy demand led by festive season resulted in strong volume growth in Q3FY21 and Bata's overall demand has reached 88% of pre-Covid level. To factor in beat,...