The German shoe manufacturer Birkenstock continued its growth path in the 2024/25 financial year as expected. Sales even exceeded the forecasts, which were only increased at the end of September. This emerges from a current annual report that the parent company Birkenstock Holding plc, which is listed on the New York Stock Exchange, published on Thursday.
In the most recent financial year, which ended on September 30th, group sales reached 2.1 billion euros. This corresponded to growth of 16 percent compared to the previous year. Adjusted for exchange rate changes, revenue increased by 18 percent.
In the final quarter, the company increased its sales by 15 percent (currency-adjusted +20 percent) to 526.3 million euros, thereby exceeding its own expectations.
Birkenstock achieves double-digit sales growth in all regions
In the wholesale business, annual sales increased by 20 percent (currency-adjusted +21 percent) to almost 1.3 billion euros. The company’s own retail sector achieved an increase of eleven percent (currency-adjusted +12 percent) to 794.8 million euros.
Birkenstock was also able to record double-digit growth in all market regions last year. In America, revenues rose by 15 percent (+18 percent adjusted for currency effects) to just under 1.1 billion euros; in the EMEA region, which includes Europe, the Middle East and Africa, they increased by 14 percent in the reporting currency and adjusted for currency effects to 785.2 million euros. The Asia-Pacific region developed most dynamically with a sales increase of 31 percent (currency-adjusted +34 percent) to 221.8 million euros.
Reported net profit increases by 82 percent
Despite higher import duties in the USA and unfavorable currency effects, the gross margin, which had been 58.8 percent in the previous year, rose to 59.1 percent thanks to price increases and better utilization of production facilities. This resulted in earnings before interest, taxes, depreciation and amortization (EBITDA) adjusted for special effects increasing by 20 percent to 667 million euros. The adjusted EBITDA margin was 31.8 percent, which is at the upper end of the forecast range.
The reported net profit reached 348 million euros, exceeding the previous year’s level by 82 percent. Adjusted for special effects, the surplus rose by 44 percent to 346 million euros.
Management forecasts further growth
Management expects further strong growth for the current 2025/26 financial year. An increase in sales of ten to twelve percent (currency-adjusted +13 to +15 percent) to 2.30 to 2.35 billion euros is forecast. The opening of around 40 new stores will contribute to this.
EBITDA adjusted for special effects is expected to increase to at least 700 euros. However, the company expects the adjusted EBITDA margin to fall to 30.0 to 30.5 percent due to higher tariffs and negative currency effects.