CORRECTED-Germany's Birkenstock beats Q4 revenue expectations on strong consumer demand

Overview

• Footwear maker's fiscal 2025 revenue grew 16%, driven by strong consumer demand

• Company's Q4 revenue beat analyst expectations

• Company repurchased and cancelled 3.9 mln shares for EUR 176 mln

Outlook

• Birkenstock expects fiscal 2026 revenue growth of 13-15% in constant currency

• Company projects fiscal 2026 adjusted EBITDA of at least EUR 700 mln

• Birkenstock plans to open approximately 40 new retail stores globally in fiscal 2026

Result Drivers

• CONSUMER DEMAND - Strong consumer demand across all segments drove fiscal 2025 revenue growth of 16%

• GEOGRAPHIC GROWTH - APAC led geographic growth with 31% revenue increase on a reported basis

• PRODUCTION CAPACITY INVESTMENT - EUR 85 mln invested in production capacity to meet demand

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the footwear peer group is "buy"

• Wall Street's median 12-month price target for Birkenstock Holding PLC is $70.00, about 50.9% above its December 17 closing price of $46.40

• The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release: ID:nEQ3YP4lJa

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