Birkenstock (BIRK) CMD 2026 summary

Strategic vision and growth outlook

• Targeting 13%-15% constant currency revenue growth and 30%+ EBITDA margin through 2028, with EPS growth 200 basis points above revenue growth, aiming for €1 billion incremental revenue and €2.30–2.35 billion total revenue by FY28.

• Americas and EMEA regions forecast double-digit growth, while APAC is expected to double its business by FY28, with APAC D2C outpacing B2B.

• Expanding own retail and digital channels, with plans to add ~45 stores in Americas, double to ~80 in EMEA, and grow premium retail to over 400 stores in APAC by FY28.

• Product innovation and diversification beyond sandals, with closed-toe products now 38% of business and new introductions contributing to growth.

• Maintaining a balanced channel mix, prioritizing full price realization and relative scarcity, with disciplined retail and B2B expansion.

Financial performance and guidance

• Q1 FY26 revenue reached €402 million, up 18% in constant currency (+11.1% YoY), with strong growth across all regions and channels.

• Adjusted gross margin at 57.4% (down 290 bps YoY) and EBITDA margin at 26.5% (down 170 bps YoY), both impacted by FX and tariffs; excluding these, margins would be up.

• Adjusted EPS for Q1 FY26 increased 50% to €0.27, aided by lower tax, improved financials, and share buybacks.

• Capital allocation priorities: invest in capacity and retail, repay debt, and continue $200 million annual share buybacks.

• Leverage reduced from 3.3x to 1.5x since IPO, with €813 million in operating free cash flow generated over two years.

Regional and channel strategies

• Americas: Largest region, contributing 10%+ CAGR over next three years, with B2B leading and DTC driven by new retail expansion; 30–45 new stores planned.

• EMEA: Highest margin profile, double-digit growth expected, with selective B2B partner culling, disciplined retail expansion, and increased DTC penetration; 1,500 new doors and 80 partner stores planned.

• APAC: Doubling business by FY28, focusing on omnichannel expansion, own retail as a premium brand catalyst, and digital growth; 70 new stores and 100 partner stores planned.

• Digital: Re-platforming and enhanced personalization, content, and exclusive offerings in both EMEA and Americas; focus on membership, loyalty, and event-driven engagement.

• Membership and loyalty programs scaled to enhance retention and brand advocacy.