By ReutersLast Updated: Aug 13, 2026, 08:21:00 PM IST

Synopsis

Birkenstock has raised its annual sales growth forecast after surpassing quarterly revenue expectations. The company's robust performance was largely driven by strong full-price demand for its premium sandals. Sales through the direct-to-consumer channel surged by fourteen percent, accounting for nearly thirty-nine percent of total revenue. The Asia-Pacific region led the way in growth, while EMEA and the Americas also enjoyed robust double-digit increases.

Birkenstock raised its annual sales growth forecast and beat quarterly revenue estimates on Thursday, banking on resilient ‌full-price demand for ⁠its ⁠premium sandals from affluent shoppers, sending its shares up about 18%.

Strong pricing power and brand loyalty have ​helped companies such as Birkenstock that cater to wealthier consumers remain largely insulated from a wider pullback in ​U.S. discretionary spending affecting much of the apparel and footwear sector.

Demand for the company's high-end sandals and closed-toe shoes has remained resilient for the quarter, while its expanding direct-to-consumer (DTC) business ​and retail footprint helped drive growth across regions.

"Birkenstock's strong ⁠quarter shows that ‌consumers continue to demonstrate a preference for premium brands, and are ​willing to pay ​extra for products they perceive to be high-quality," EMarketer analyst Rachel ⁠Wolff said.

Growth was supported by Birkenstock's expanding DTC business, with sales through its own stores and website rising 14% and accounting for nearly 39% of quarterly revenue.

Birkenstock said the Middle East conflict's impact was more contained than initially anticipated, estimating a hit of only high single-digit millions of euros in the second half versus an earlier forecast of 10 million to 12 million euros. "We were able to mitigate much of the pressure (from the Middle East conflict) through adjustments in ‌the delivery routes and strength in the other parts of the region," CFO Ivica Krolo said on a post-earnings call.

Asia-Pacific sales increased 18% on a reported basis during the quarter, while ⁠the Americas grew 11% and EMEA rose 15%.

Birkenstock now expects fiscal year 2026 revenue growth of 15% on a constant currency basis, compared with its earlier forecast of a 13% ​to 15% rise. It maintained its annual profit forecast of 1.90 euros to 2.05 euros per share.

Third-quarter revenue rose 13% to 719.5 million euros ($829.1 million), beating analysts' average estimate of 713.4 million euros, according to data compiled by LSEG. Adjusted earnings per share came in at 0.74 euro, below estimates of 0.76 euro.

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