Birkenstock Holdings Plc’s stock tumbled 8% Thursday, after the German sandal and clog maker posted another quarterly loss in its second earnings report as a public company. Birkenstock
BIRK,
-6.64%
had a net loss of 7 million euros ($7.6 million), or 4 cents a share, for the quarter through Dec. 31 — narrower than its loss of 9 million euros, or 5 cents a share, in the year-earlier period.
Adjusted per-share earnings came to 9 cents, matching the FactSet analyst consensus. Revenue rose 22% to 303 million euros, ahead of the 291 million euros FactSet consensus. In January, the company posted a surprise fourth-quarter loss, which it blamed on “subdued customer sentiment.” The company said it expected a slight hit to margins due to costs related to ramping up a new factory in Germany. In the first quarter, demand continued to outstrip supply in all regions, channels and categories, said Chief Executive Oliver Reichert, who attributed that to the company’s “engineered distribution” model. That model seeks to boost brand value by creating scarcity, allocating product between wholesale partners and its direct-to-consumer channel. The DTC channel accounted for 53% of Birkenstock’s revenue in the quarter. Revenue growth was also supported by the shift toward closed-toe silhouettes, which for the first time outstripped the company’s revenue share of sandals. By geography, revenue rose 19% in the Americas on a constant-currency basis, and was up 33% in Europe. In the Asia-Pacific, Middle East and Afri …
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BIRK,
-6.64%
had a net loss of 7 million euros ($7.6 million), or 4 cents a share, for the quarter through Dec. 31 — narrower than its loss of 9 million euros, or 5 cents a share, in the year-earlier period.
Adjusted per-share earnings came to 9 cents, matching the FactSet analyst consensus. Revenue rose 22% to 303 million euros, ahead of the 291 million euros FactSet consensus. In January, the company posted a surprise fourth-quarter loss, which it blamed on “subdued customer sentiment.” The company said it expected a slight hit to margins due to costs related to ramping up a new factory in Germany. In the first quarter, demand continued to outstrip supply in all regions, channels and categories, said Chief Executive Oliver Reichert, who attributed that to the company’s “engineered distribution” model. That model seeks to boost brand value by creating scarcity, allocating product between wholesale partners and its direct-to-consumer channel. The DTC channel accounted for 53% of Birkenstock’s revenue in the quarter. Revenue growth was also supported by the shift toward closed-toe silhouettes, which for the first time outstripped the company’s revenue share of sandals. By geography, revenue rose 19% in the Americas on a constant-currency basis, and was up 33% in Europe. In the Asia-Pacific, Middle East and Afri …nnDiscussion:nn” ai_name=”RocketNews AI: ” start_sentence=”Can I tell you more about this article?” text_input_placeholder=”Type ‘Yes'”]