Birkenstock (BIRK) Q2 2026 earnings summary

Executive summary

• Revenue for Q2 FY26 grew 8% year-over-year to €618 million (14% in constant currency), with robust demand across all regions and APAC leading at 30% constant currency growth, despite global conflicts, inflation, and tariff headwinds.

• Adjusted EBITDA was €198 million, down 1% year-over-year, with margin at 32.1% (down 270 bps), and adjusted net profit was €93 million, down 10%.

• Net profit declined 22% to €82 million, with EPS down to €0.45, impacted by FX and U.S. tariffs.

• D2C retail grew over 60% in constant currency, with five new stores opened, totaling 111 globally.

• Guidance for fiscal 2026 is reiterated, targeting 13%-15% constant currency revenue growth and adjusted EBITDA of at least €700 million.

Financial highlights

• Q2 revenue: €618 million (+8% reported, +14% constant currency year-over-year).

• Adjusted EBITDA: €198 million (32.1% margin), down 1% year-over-year.

• Adjusted EPS: €0.50, down from €0.55; impacted by FX and a €15 million non-cash derivative expense.

• Gross profit margin: 53.9%, down 380 bps; adjusted gross margin: 54.6%, down 310 bps.

• Cash and equivalents: €201 million at quarter-end; operating cash flow: €29 million.

Outlook and guidance

• Fiscal 2026 constant currency revenue growth guidance: 13%-15%; reported growth: 10%-12% (€2.3–2.35 billion).

• Adjusted gross margin expected at 57%-57.5%, including 200 bps pressure from FX and tariffs.

• Adjusted EBITDA margin guidance: 30%-30.5%; adjusted EPS: €1.90–2.05, including €0.15–0.20 FX pressure.

• CapEx expected at €110–130 million; net leverage target of 1.3x–1.4x by year-end.

• $200 million share repurchase planned, subject to market conditions.