Birkenstock Holding PLC (NYSE:BIRK) shares jumped on Wednesday after the footwear maker unveiled expectation-beating results for the fourth quarter.
Revenue surged by 22% to €456 million ($478 million) during the quarter, Birkenstock said on Wednesday, outdoing estimates for €439 million.
A net profit of €52 million was also recorded, against a €28 million loss in the final quarter of last year.
Over the year, revenue grew 21% to €1.8 billion, aiding a 155% jump in net profit to €192 million.
Birkenstock noted a surge in closed-toe clog sales, which complement its sandals, had helped lead to an 8% increase in average prices during the year.
Clog sales “grew over twice the group average and closed-toe share of business increased to approximately one-third,” the company said.
Direct-to-consumer sales increased by 21% year over year, as business-to-business sales climbed 23%, supported by growth across America, Europe and Asia.
Chief executive Oliver Reichert commented: “As we continue to gain the attention of consumers and wholesale partners, we are seeing strong balanced growth in both our direct-to-consumer and business-to-business channels.
“Both of these channels are highly profitable and allow us to maximize our reach, especially into new targeted consumer groups.”
Guidance was laid out for revenue growth of 15% to 17% over the coming year, alongside an adjusted earnings margin of up to 31.3%, against 30.8% in 2024.
Shares climbed by 3.5% to $58 in pre-market trading.