Birkenstock projects double-digit growth through 2028 with renewed strategy

Birkenstock revises its growth forecasts with additional sales growth. The German sandal manufacturer announced at an investor event in New York its forecast to generate 1 billion euros in additional sales over the next three fiscal years, supported by annual growth of up to 15% at constant rates. The company had already anticipated that sales for the current fiscal year could reach 2.35 billion euros.

The expansion would be driven largely by the Asia-Pacific region, where Birkenstock plans to double its business. At the same time, the Americas and the Emea region are also expected to post double-digit growth. In parallel, the stock has traded below the IPO price of $46 in 2023 and the shares are down around 37% in the last year.

This strategic update comes against a backdrop of criticism of CEO Oliver Reichert for the limited information provided to the market. Even so, the new medium-term sales targets exceed the average of €3.05 billion by 2028.

Birkenstock plans to buy back $200 million in shares in fiscal 2026.

Birkenstock is listed on the New York Stock Exchange, but private equity fund L Catterton holds more than half of the outstanding shares. The company has also announced a $200 million share repurchase plan for fiscal 2026.

Oliver Reichert, Birkenstock’s CEO, has advocated a strategy of slow but steady growth based on keeping demand ahead of supply. This approach has enabled the German company to steadily raise the average selling price and minimize discounts.

Looking to the future, the company, which also has its own network of factories in Germany, has strengthened its position in the fashion arena with a range of high-end sandals and clogs, sometimes developed through collaborations with brands such as Rick Owens or Dior.