Birkenstock revenues rise as closed-toe shoe sales soar

Birkenstock has reported a 22% rise in revenue to €1.8bn (£1.48bn) for the fiscal year ended September 30, 2024, as popularity for the German footwear brand’s closed-toe mule silhouettes continues.

This revenue rise was ahead of the projected constant currency growth of 20%, while adjusted EBITDA rose 15% year-on-year to €555m (£457m).

Revenue grew across all regions including in the Americas (19%), in Europe (21%) and in Asia Pacific, Middle East and Africa (APMA) (42%) on a constant currency basis. DTC sales also rose 21% and B2B sales were up 23% year-on-year.

Net profit rose 16% year-on-year to €192m (£158m) and profit before tax was up 91% year-on-year, reaching €293m (£241m).

Average selling price (ASP) grew 8% on a constant currency basis, supported by product mix and targeted price actions. Birkenstock added that ASP also benefited from increased sales of closed-toe silhouettes, which grew over twice the group average and closed-toe share of business increased to approximately one-third.

Oliver Reichert, CEO of Birkenstock Group, said: “I'm proud to be reporting very strong 2024 results, with both revenue and adjusted EBITDA coming in ahead of our expectations. We closed the year with 22% revenue growth, reaching over €1.8bn (£1.48bn) in our first year as a public company, continuing our decade-long track record of 20%+ revenue growth.

“We are delivering on the commitments we made during our IPO by expanding profitably into the white-space opportunities we identified: closed-toe silhouettes, orthopedics, professional, outdoor, the APMA region and our own retail. As we continue to gain the attention of consumers and wholesale partners, we are seeing strong, balanced growth in both our DTC and B2B channels. Both of these channels are highly profitable and allow us to maximise our reach, especially into new targeted consumer groups.

“As we look into 2025 and beyond, we are confident in our ability to deliver on our medium to long-term objectives for mid-to-high teens revenue growth, gross profit margin of around 60% and adjusted EBITDA margin of over 30%.”

Birkenstock updated its guidance for the fiscal year ending 30 September 2025, revealing that revenue is expected to grow between 15% and 17% in constant currency.

Adjusted EBITDA margin is expected to increase 50 basis points year-on-year to 30.8-31.3%.