Shares of Birkenstock Holding plc (BIRK) surged 6.26% in pre-market trading on Thursday following the company's impressive fiscal second-quarter results and upgraded annual guidance. The German footwear maker demonstrated resilience amid tariff uncertainties and reported robust demand for its products.
Birkenstock posted a second-quarter adjusted earnings per share of €0.55, surpassing analysts' expectations of €0.53. The company's revenue for the quarter reached €574.3 million, exceeding the estimated €567.6 million. This strong performance was driven by double-digit growth across all markets and increasing popularity of its trendy styles, including clogs and closed-toe silhouettes.
In response to the solid results, Birkenstock raised its fiscal 2025 outlook. The company now expects revenue growth to be at the high end of its previously announced 15-17% range on a constant currency basis. Additionally, Birkenstock increased its adjusted EBITDA margin guidance to 31.3-31.8%, up from the previous 30.8-31.3%, implying an adjusted EBITDA target of €660-670 million. To mitigate the impact of U.S. tariffs on European Union-made goods, the company plans to implement global price hikes, demonstrating its confidence in brand strength and consumer demand.
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