US EditionBirkenstock defies U.S. tariffs with a strong new Q3 forecast
Birkenstock's Q3 revenue rose 12% with strong demand and 73% net profit increase despite 15% U.S. tariffs and price hikes, driven by retail and wholesale growth.
- On Thursday, Birkenstock Holding plc reported that despite July price hikes, U.S. retailers showed little pushback, and revenue reached 635 million, CEO Oliver Reichert said.
- Amid rising import duties, Birkenstock executives said they raised prices, negotiated with vendors, and optimized their product mix to offset the U.S. baseline levy of 15%.
- Data reveal the APAC segment climbed 21% reported and 24% in constant currency, with all three geographic segments delivering double-digit growth.
- Meanwhile, in APAC, the company opened eight new owned stores, expanding its store count to 38, while in the Americas, three new stores brought the total to 13.
- Despite recent resilience, Bank of America said overall U.S. spending may stay strong if higher-income individuals keep spending, but consumer behavior in the coming months remains hard to predict.
13 Articles
13 Articles
Well-heeled shoppers shrug off price hikes for Birkenstocks and Bugaboo strollers for now
Well-heeled shoppers around the United States seem - so far at least - willing to soak up price hikes for aspirational products from trendy Birkenstock sandals to Bugaboo prams, despite the impact of trade tariffs and belt-tightening elsewhere.
Birkenstock Profit Boosted by Higher Prices, Demand at Retailers
Birkenstock Holding Plc reported earnings that were slightly better than expected as the German company benefitted from raising prices on its high-end sandals and clogs and strong demand from retail partners.
Affluent consumers are continuing to shop despite price increases, the CEO of Birkenstock said, while retailers of baby gear like Bugaboo are choosing not to raise prices because of tariffs. Ralph Lauren continues to maintain strong demand amid economic uncertainty. Premium brand buyers have not yet announced a boycott, but experts say they need to be mindful of their price sensitivity.
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