Earnings call transcript: Birkenstock tops revenue view in Q3 2026, shares jump

Birkenstock Holding plc delivered strong fiscal third-quarter 2026 financials, surpassing Wall Street expectations and raising its full-year outlook. The footwear company reported adjusted earnings of $0.74 per share, slightly below the $0.76 forecast, while revenue reached $719.5 million, exceeding the $713.2 million estimate. Pre-market trading saw the stock surge 11.62% to $41.01, up from $36.74, indicating investor enthusiasm for the results.

Revenue grew 13% on a reported basis and 15% in constant currency, driven by robust performance in Europe, the Americas, and the Asia-Pacific region. Constant-currency revenue increased by 15%, reaching the company's high-end target for the year. Direct-to-consumer sales accelerated and outpaced wholesale for the first time in two years, signaling increased consumer interest.

Management raised its full-year adjusted EBITDA guidance to at least EUR 710 million, and the company's adjusted EBITDA grew 11% to EUR 242 million. Gross margin fell 130 basis points year-over-year to 59.2%, while operating cash flow increased marginally to EUR 247 million. The company added 13 new stores during the quarter, bringing its total owned stores to 124.

Despite a modest earnings miss, the strong top-line growth, improved EBITDA outlook, and pricing resilience in a promotional retail environment impressed investors. The company's broader demand base, including non-Boston closed-toe styles and other product lines, contributed to its growth. CEO Oliver Reichert highlighted the company's ability to appeal to a diverse consumer base and its potential for continued expansion.