Key Takeaways Birkenstock set a record for second-quarter sales as demand for its footwear jumped in all categories and regions. The company's earnings and revenue exceeded forecasts, and it raised its full-year outlook. The news sent Birkenstock shares to an all-time high. Shares of Birkenstock Holding Plc (BIRK) jumped to an all-time high Thursday when the maker of fashion footwear posted record second-quarter revenue and boosted its guidance on strong demand across all its segments. The company known for ...

Oliver Reichert Adrien Duverger Operator Paul Lejuez Hey, thank you. Can you just go back to the Pasewalk facility. How ramped-up is that facility today? What capacity is it producing at? I'm curious if you could talk about the performance and efficiency relative to your plan and where you expect to be by the end-of-the year. Also, I think at one point, you said that facility could increase your volumes by 50%. Let me know if I'm remembering that correctly and any update there? And then just last, can you f ...

| --- | --- | --- | |-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | 1,609 | | 1,299 | | | | | | 483 | | 502 | 02 | --- | --- | --- | |----------------------------------------|-----------|-------| | Operating Cash Flow | FY23 \n57 | FY24 | | t/o: Funds from operations | 149 | | | t/o: Changes in working capital | (91) | | | Investing Cash Flow | (25) | | | Financing Cash Flow | (29) | | | t/o: Net IPO proceeds | — | | | t/o: Repayment of loans and borrowings | (2) | | | t/o: Cash interest ...

Investors interested in stocks from the Shoes and Retail Apparel sector have probably already heard of Skechers (SKX) and Birkenstock (BIRK) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earning ...

Financial Data and Key Metrics - Revenue for Q1 2024 was EUR 303 million, up 26% YoY, driven by growth across all segments and channels [9] - DTC revenue grew by 30% YoY, contributing to 53% of total revenue, while B2B revenue increased by 22% [9] - Adjusted EBITDA was EUR 81 million, up 12% YoY, with an adjusted EBITDA margin of 26.9%, impacted by capacity expansion and unfavorable currency translation [27] - Gross profit margin was 61%, down 70 basis points YoY, due to capacity expansion and currency effects [87] - Cash and cash equivalents stood at EUR 169 million, with inventory buildup in preparation for spring-summer 2024 wholesale shipments [28] Business Line Performance - DTC channel penetration increased further, with approximately half of revenues generated from membership program members [5] - B2B revenue growth was driven by expansion in categories like closed-toe silhouettes, with significant growth in existing partner stores [15][45] - Closed-toe silhouettes, including clogs, contributed more than half of total revenue in the APMA region [8] - The professional product category delivered the second-highest growth rate in terms of value and units [94] Market Performance - Americas revenue grew by 19%, driven by strong DTC performance and increased penetration in existing B2B channels [5][15] - Europe revenue increased by 33%, with strong sell-out performance during the holiday season and successful price adjustments [16][120] - APMA was the fastest-growing segment, with revenue growth of 51%, driven by DTC and digital channel expansion [8][52] Company Strategy and Industry Competition - The company is doubling its production capacity in Germany and Portugal over the next three years to meet growing demand [46] - Strategic focus on premium products and DTC channels, with a goal to maintain a gross profit margin over 60% and an adjusted EBITDA margin in the low 30s mid-term [30][112] - Expansion into new categories like closed-toe footwear and professional products is driving growth and diversifying revenue streams [92][94] Management Commentary on Operating Environment and Future Outlook - Management remains confident in the company's ability to sustain strong performance through 2024 and beyond, despite temporary margin compression from capacity expansion [14][30] - The company is successfully recovering inflation through selective price increases and optimizing channel and product mix [87][112] - The shift towards intentional purchasing by consumers is benefiting the brand, with high levels of full-price realization across all distribution points [4][95] Other Important Information - The company repaid EUR 525 million of debt, reducing net leverage to 2.6% as of December 31, 2023 [98] - Capital expenditures of EUR 80 million were primarily related to production capacity expansion [98] - The company launched new products in expansionary categories, including a professional line at the A+A trade fair, which received strong demand [94] Q&A Session Summary Question: Impact of inflation and capacity utilization [21] - The company is managing inflation through selective price increases and is on track with capacity expansion, which is expected to impact margins temporarily [30][112] Question: Closed-toe footwear performance and mix [22][42] - Closed-toe silhouettes now exceed sandals in revenue share, with clogs, boots, and sneakers driving growth [22][64] - The Boston clog remains a top performer, but other closed-toe products like the Highwood and Prescott boots are also exceeding expectations [102] Question: Gross margin and inventory levels [35][69] - Gross margin is expected to be lower in Q2 due to seasonality and higher wholesale share, but the company remains confident in its full-year guidance [58][71] - Inventory levels are in line with historical patterns, with a focus on preparing for spring-summer wholesale shipments [28][109] Question: Growth trajectory in APMA region [51] - The APMA region is experiencing strong growth, with price increases well-received and no negative consumer impact [52] - The company is expanding its DTC and B2B presence in the region, with a focus on Greater China, Japan, and Southeast Asia [52] Question: ASP growth and premium product shift [34][115] - ASP growth is expected to be in the mid- to high-single digits, driven by premium products and channel mix [115] - The shift towards premium products, including closed-toe footwear, is contributing to higher ASPs [92][115] Question: European market performance [119] - Europe has completed its transformation plan, with strong sell-out performance and successful price adjustments [119][120] - The company is well-positioned in the European market, with full-price realization superior to the market [120]

Birkenstock traded flat in the US premarket on Thursday as earnings slumped despite the sandal maker beating revenue guidance over the festive period. Revenues jumped 26% year-on-year to €303 million, beating out Wall Street predictions of just over €288 million, largely a result of both higher prices and increased demand in the States. However, earnings per share came in at €0.04, below analyst expectations of €0.09 as the group’s gross profit margin slipped 70 basis points to 61%. Birkenstock said the fal ...

| --- | --- | |----------------------------|--------------------------------------------------| | Washington, D.C. 20549 | UNITED STATES SECURITIES AND EXCHANGE COMMISSION | | FORM 6-K | | REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the Month of February 2024 Commission file number: 001-41836 Birkenstock Holding plc (Translation of registrant's name into English) 1-2 Berkeley Square London W1J 6EA United Kingdom (Address of principal execu ...

Birkenstock on Thursday beat holiday quarter revenue expectations, reporting a 26% year-on-year jump, as the German sandal company benefited from higher pricing and rising U.S. demand.Here's how the shoemaker did in its first fiscal quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG, formerly known as Refinitiv:Earnings per share: 4 euro cents vs. 9 euro cents expectedRevenue: 303 million euros vs. 288.7 million euros expected.The newly public shoemaker, which sta ...

Investors are always looking for stocks that are poised to beat at earnings season and Birkenstock Holding plc (BIRK) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Birkenstock Holding is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is ...

A few hours before writing this, I got an email letting me know packages had arrived at my door. It’s a recurring theme at our house and probably yours too. Increasingly, Americans are throwing in the towel on brick-and-mortar retail and ordering everything online. And as investors, that makes it worth considering what companies might be hidden gem e-commerce stocks. The task is harder than you might think. Finding e-commerce companies isn’t hard. Nearly every company today is e-commerce. They have to be. B ...