Birkenstock Holding Stock Earnings Reports

Birkenstock reported a strong Q1 FY2026: revenue EUR 402m (+18% constant currency, +11% reported) driven by broad-based demand across Americas (+14% cc), EMEA (+17% cc) and strong APAC growth (+37% cc). B2B outpaced DTC in the quarter (B2B +24% cc; DTC +12% cc), with >90% sell-through at full price. The company reiterated its 3‑year growth algorithm: 13%–15% CAGR in constant currency and 30%+ adjusted EBITDA margin, with a strategic priority to double APAC revenue by 2028 and to steer supply to the most profitable channels/regions. Own retail is being scaled (106 stores, +9 in Q1; target 40 new stores in fiscal year), aiming to rebalance DTC toward more in-store sales. Q1 adjusted EBITDA was EUR 106m (26.5% margin; 30.1% ex-FX & tariffs), adjusted net profit EUR 49m and adjusted EPS EUR 0.27. Management expects FX and incremental U.S. tariffs to materially depress reported growth and margins in 2026: ~350 bps FX headwind on full-year revenue (implying reported revenue growth ~10%–12% to EUR 2.30–2.35bn), ~200 bps combined margin drag in FY26 (guiding adjusted gross margin ~57%–57.5% and adjusted EBITDA ≥ EUR 700m, ~30%–30.5% margin). CapEx guidance EUR 110m–130m; net leverage 1.3–1.4x target by FY-end (ex additional buybacks). The company plans up to USD 200m of share repurchases in FY26 (subject to market conditions). Inventory levels and unit disclosures were not provided; Q1 operating cash use reflected seasonality. Management emphasizes brand resilience, pricing power (90%+ full-price sell-through) and disciplined allocation given deliberate capacity constraints.