Birkenstock has forecast its UK sales will take another huge step forward during its current financial year thanks to growing demand.
The footwear brand has revealed its sales have so far been “above initial expectations” in its year which will finish at the end of September.
The continued rise in its UK revenue has been boosted by the firm’s retail store expansion as well as in its wholesale channel.
The update comes as newly-filed accounts with Companies House have revealed Birkenstock’s turnover jumped from £47.8m to £59.8m in the 12 months to 30 September, 2024.
The brand’s pre-tax profit also rose from £1.2m to £1.8m over the same period.
The latest UK turnover figure for Birkenstock comes after its sales stood at £34.5m in the year to September 2022, £23.2m in 2021 and £14.7m in 2020.
The results come after Birkenstock floated on the New York Stock Exchange on 11 October, 2023.
Wholesale drives Birkenstock sales success
A statement signed off by the board said: “Birkenstock UK has achieved significant revenue growth in a challenging economic environment, underscoring the strength of its brand and business model.
“While profitability was impacted by rising costs and strategic investments in retail expansion, the company achieved revenue growth in 2024 and this is looking to continue into 2025.
“By leveraging its vertically integrated operations and strong wholesale partnerships, the company remains resilient amidst market challenges and poised for future success.”
Birkenstock added: “The wholesale supply to retailers performed excellently during the financial year as the UK retail sector continued to show resilience despite the underlying squeeze on consumer spending while wholesale revenues growing by 24 per cent.
“Our multi-channel wholesale partners are also exposes to [the] same impact of inflation and cost of living increase so tongued growth reflects the strength of the Birkenstock brand with those partners.”
Sales pass ‘initial expectations’
On its future, the company said: “Birkenstock is expecting continued growth in the segment for sandals, boots and shoes with an orthopaedic footbed, connected with fashionable design and high quality.
“The company looks to focus on the value and importance of the footbed.
“Sales of boots and shoes and sales revenues throughout the current financial year have been above initial expectations.
“The company has [a] strong order book and it is expected that the number of boots and shoes sold and thus the sales revenues will continue to increase in the financial year 2024/25.
“This forecast is derived from demonstrable demand notable through our partners’ wholesale forward orders drive by current sell through and the continued growth of these products in our retail stores.
“There will be additional resource to drive growth in professional products including hospitality and medical sectors which is a strategic priority across the group.”
Founded in 1774 in the German village of Langen-Bergheim, the company was run by the Birkenstock family for six generations until they sold a majority stake to L Catterton.
Birkenstock has partnership deals with luxury fashion brands, including Dior, Stüssy, Manolo Blahnik and Rick Owens.