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Birkenstock has reported that its turnover rose 25.1% to £59.8m in the year ended 30 September 2024, thanks to a rise in UK revenues due to a bricks-and-mortar store expansion.
According to the footwear brand, its sales during the period have been “above initial expectations”. This was also attributed to an expansion of its wholesale channel, which accounted for 88% of its total sales.
The brand’s pre-tax profit also saw a 50% rise from £1.2m to £1.8m over the same period.
It comes as its retail channel grew by 29% from £5.54m to £7.17m, in part driven by the opening of a new outlet store in Ashford in March 2024. Its existing store portfolio grew sales by 8%, which was driven by sales growth in its Cheshire Oaks outlet store, while full price stores in central London grew sales by 1%. This year, the group plans to open a full price store as well as a pop-up shop.
The group’s board has lauded its “significant” revenue growth in a challenging economic environment, as profitability was impacted by rising costs and strategic investments in retail expansions.
In a statement on Companies House, Birkenstock added: “Our multi-channel wholesale partners are also exposed to [the] same impact of inflation and cost of living increase so tongued growth reflects the strength of the Birkenstock brand with those partners.”
Looking ahead, Birkenstock expects to see continued growth in its offering of sandals, boots and shoes with an orthopaedic footbed that are “connected with fashionable design and high quality”.
Birkenstock has partnership deals with luxury fashion brands, including Dior, Stüssy, Manolo Blahnik and Rick Owens.
