Finance
Birkenstock CEO says holiday demand remained strong, sticks to forecast
Published by Global Banking & Finance Review®
Posted on February 12, 2026
2 min readLast updated: February 12, 2026
Quick Summary
Birkenstock's Q1 revenue missed estimates at 401.9 million euros due to cautious consumer spending and uneven demand.
Birkenstock CEO Confirms Strong Holiday Demand and Revenue Growth Outlook
Birkenstock's Revenue Growth and Market Strategy
Feb 12 (Reuters) - Birkenstock stuck to its annual revenue growth target on Thursday and its chief executive said demand in the holiday shopping period was strong, as the German sandal maker confirmed first-quarter revenue figures previously reported in January.
Strong Holiday Demand
The company, known for its pricey sandals and clogs, has benefited from its strategy to sell its products at full price and limit discounts. Birkenstock has been hiking prices, with its Boston Rivets clogs model now retailing for up to 220 euros, according to its website.
International Market Performance
"Our unique business model is designed for resilience," CEO Oliver Reichert said.
Financial Metrics Overview
International markets like the Americas and Asia-Pacific, where quarterly revenue grew 5% and 28%, respectively, have remained key growth drivers as Birkenstock also expands store openings.
On Thursday, it reiterated its annual revenue growth target of 13% to 15%. Analysts were expecting growth of nearly 11.6%, according to data compiled by LSEG.
Still, the company, which produces 95% of its shoes in Germany, has been grappling with higher tariff costs like many global firms that make discretionary products.
For the first quarter, the company said adjusted gross profit margin was 57.4%, down from 60.3% last year, hurt by a weaker dollar and a 130-basis-point hit from U.S. tariffs.
It also reported first-quarter revenue of 401.9 million euros ($477.58 million), confirming preliminary numbers that were released last month. Analysts had estimated revenue of 402.1 million euros.
Birkenstock posted a profit of 0.27 euros per share for the first quarter, compared with analysts' estimate of 0.26 euros per share.
($1 = 0.8415 euros)
(Reporting by Angela Christy in Bengaluru and Helen Reid in London; Editing by Pooja Desai)
Key Takeaways
- •Birkenstock missed first-quarter revenue expectations.
- •Revenue was 401.9 million euros, below the 402.1 million estimate.
- •Consumer caution and uneven demand affected sales.
- •The report highlights trends in discretionary spending.
- •The financial results were reported by Reuters.
Frequently Asked Questions about Birkenstock CEO says holiday demand remained strong, sticks to forecast
1What is discretionary spending?
Discretionary spending refers to non-essential expenses that individuals choose to spend money on, such as entertainment, vacations, and luxury items, rather than on necessary expenses like food and housing.
2What is revenue?
Revenue is the total income generated by a company from its business activities, typically from sales of goods or services, before any expenses are deducted.
3What are revenue estimates?
Revenue estimates are projections made by analysts or companies regarding the expected income a business will generate over a specific period, often used to gauge financial performance.
4What is consumer caution?
Consumer caution refers to a mindset where consumers are hesitant to spend money, often due to economic uncertainty or personal financial concerns, leading to reduced discretionary spending.
5What is Wall Street?
Wall Street is a street in New York City known as the financial district, representing the financial markets and institutions, including stock exchanges and investment firms.
