Intel stock extends gains after report of possible U.S. government stake
Investing.com - Birkenstock (NYSE:BIRK) has posted better-than-anticipated profit in its fiscal third quarter and backed its full-year outlook, as the legacy German shoemaker said it is in a good spot despite the impact of elevated U.S. tariffs on the European Union.
Known for its sandals and clogs, the more than 250-year old Birkenstock said it is "well-positioned" to handle President Donald Trump’s increased 15% levies on many EU products sent to the U.S. -- a rate agreed upon by Washington and Brussels in late July.
In a statement, CEO Oliver Reichert said the company will look to mitigate the duties through "a combination of pricing adjustment, cost discipline and inventory management."
The firm backed its prior guidance for annual adjusted earnings before interest, taxes, depreciation and amortization margin of 31.3% to 31.8%. Analysts had seen the figure at 31.5%.
At constant currency, revenue growth is also tipped to be at the "high end" of its predicted range of 15% to 17%.
Operating profit in the three months ended on June 30 rose by 27% versus a year ago to 198 million euros, exceeding Bloomberg consensus projections of 182.7 million euros, with Reichert noting that income was bolstered by mid-single-digit expansion in average selling prices.
Meanwhile, quarterly revenue increased by 12% to 635 million euros, compared with estimates of 636.3 million, as an uptick in business-to-business sales was offset by weaker-than-expected demand in the Americas region and at its direct-to-consumer segment.
Shares of Birkenstock climbed by more than 3% in premarket U.S. trading on Thursday.