Birkenstock said it is targeting 1 billion euros of incremental revenue over the coming three-year period as it addresses near-term headwinds stemming from tariffs affecting U.S. markets. The German footwear maker provided the guidance in an investor presentation on Wednesday, laying out growth ambitions and channel priorities.
Management quantified its objective as top-line expansion of 13% to 15% at constant currencies over the next three years. The company is pursuing double-digit revenue growth in both the Americas and the Europe, Middle East and Africa - EMEA - region, while it expects its Asia Pacific business to approximately double in size during the same timeframe.
On profitability metrics, Birkenstock indicated adjusted earnings per share should increase at a pace roughly 200 basis points faster than revenue growth, signaling operational leverage as sales scale.
Product mix is a central component of the plan. In Europe, Birkenstock highlighted closed-toe footwear as a diversification area that is forecast to grow about 1.5 times faster than its open-toe offerings. That relative outperformance is framed as part of the companys broader effort to expand beyond its traditional sandal base.
Channel strategy is another focus. The company said it intends to act as a direct-to-consumer brand, aiming to deliver what it described as the most optimal own-channel experience. That emphasis on owned channels suggests a push to capture more margin and control over the customer experience.
The presentation followed an earlier update in which Birkenstock flagged subdued sales for the holiday quarter, attributing the softness to consumer pullback on nonessential purchases amid uncertainty tied to tariffs. For the quarter ended December 31, revenue was tipped to be 402 million euros, compared with expectations of 403.3 million.
Promotional note appearing in the companys investor material: One AI-based recommendations product referenced the BIRK ticker and noted it evaluates BIRK alongside thousands of other companies every month using more than 100 financial metrics. The product claims to use AI to generate stock ideas by assessing fundamentals, momentum, and valuation, and cited past winners including Super Micro Computer (+185%) and AppLovin (+157%). It also referenced a New Years sale offering 55% off.
As Birkenstock pivots on mix and channel while pursuing ambitious growth targets, the company is balancing expansion plans with the near-term pressures from tariff-driven consumer caution. The coming quarters will test whether the firm can convert the outlined strategy into the incremental revenue and EPS gains it has communicated to investors.