Birkenstock Holding Plc · NYSE:BIRK
Birkenstock — FY2024 Earnings Presentation
25 slides from Birkenstock's earnings presentation, Dec 18, 2024
Slide 1: Birkenstock Financial Results FY24
BIRKENSTOCK: December 18, 2024 BIRKENSTOCK FINANCIAL RESULTS FY24
Slide 2: Forward-looking statements
Certain statements in this presentation (the “Presentation”) of Birkenstock Holding plc (together with all of its subsidiaries, the “Company,” “Birkenstock,” “we,” “our,” “ours,” or “us”) may constitute “forward-looking” statements and information within the meaning of Section 27A of the Securities
Slide 3: Financial Results FY24
BIRKENSTOCK FINANCIAL RESULTS FY24
Slide 4: Financial Results FY24 at a Glance
BIRKENSTOCK FINANCIAL RESULTS FY24 AT A GLANCE IN € MILLION, UNLESS OTHERWISE STATED REVENUE B2B REVENUE DTC REVENUE DTC PENETRATION GROSS PROFIT | MARGIN ADJUSTED EBITDA | MARGIN ADJUSTED NET PROFIT ADJUSTED EPS (€) NET LEVERAGE (X LTM ADJ. EBITDA") Note: Unless otherwise stte, all comparisons are
Slide 5: Record Revenue of €1,805M Driven by All Segments & Channels
BIRKENSTOCK: RECORD REVENUE OF €1,805M DRIVEN BY ALL SEGMENTS & CHANNELS IN € MILLION, UNLESS OTHERWISE STATED B2B AMERICAS EUROPE APMA ra 944 645 0 +19% +21% +h 2% DTC 717 +21% rates at constant currencies vs, FY23 Revenue growth at canstant BIRKENSTOCK
Slide 6: Balanced ASP/Volume Growth Supported by Capacity Expansion
BIRKENSTOCK BALANCED ASP/VOLUME GROWTH SUPPORTED BY CAPACITY EXPANSION PAIRS Product Mix ASP c. 40% +14% +8% Rising demand with strong sel mm through in wholesale fulfilled by capacity expansion, Region Mix c.5% Note: ASP derived on footwear AS? growth rte at constant currencies vs. FY23 BIRKENSTOCK
Slide 7: Gross Profit Margin Despite Capacity Expansion Impacts
BIRKENSTOCK ~99%> GROSS PROFIT MARGIN DESPITE CAPACITY EXPANSION IMPACTS IN € MILLION, UNLESS OTHERWISE STATED +15% | (330)p. ——— 1,061 | 58.8% 926 | 62.1% Margin decrease due to the . planned, temporary under- absorption from ongoing capacity expansion, channel mix, currency translation and other i
Slide 8: Strong SG&A Cost Management Including Retail Expansion
BIRKENSTOCK STRONG SG&A COST MANAGEMENT INCLUDING RETAIL EXPANSION AS % OF FY24 REVENUE ADJUSTED SELLING & DISTRIBUTION ADJUSTED GENERAL ADMINISTRATION EXPENSES: €507M EXPENSES: €101M Increase vs. F23is largely driven by incremental public company costs which we dd not incur ia | 5 6 % +20bp Note: A
Slide 9: 30.8% EBITDA Margin Ahead of Expected Range
BIRKENSTOCK 30.8% EBITDA MARGIN AHEAD OF EXPECTED RANGE OF 30.0%-30.5% AS % OF FY24 REVENUE 32.4% (150bp) 30.8% , (10bp) —~ ~ Reflects the planned, temporary under-absorplion and ramp-up project Includes investments into our retail casts at our new facilities in Pasewalk expansion and incremental pu
Slide 10: Adjusted EPS of €1.28 in FY24
BIRKENSTOCK ADJUSTED EPS OF €1.28 IN FY24, UP DOUBLE-DIGITS (%) IN €, UNLESS OTHERWISE STATED mparable IFRS measut, please see the Aapenix to this presentation, BIRKENSTOCK FINANCIAL RESULTS +19% 1 | 1.28 1.13 Adjusted EPS (Basic/Diluted) FY23 FY24 10
Slide 11: Strong Inventory-to-Sales Ratio Improvement in FY24
BIRKENSTOCK STRONG INVENTORY-TO-SALES RATIO IMPROVEMENT IN FY24 TRADE WORKING CAPITAL | IN-€ MILLION AND AS % OF LTM REVENUE 603 | 33% y 564 | 38% + €111 millon raw materiats/ WIP 489 | 39% included in inventory balance * Largest part of finished goods are a) carry-over products, and b) —— contracte
Slide 12: Milestone Reached: Net Leverage Below 2x
BIRKENSTOCK MILESTONE REACHED: NET LEVERAGE BELOW 2X AT YEAR-END FY24 NET DEBT & NET LEVERAGE | IN € MILLION, UNLESS OTHERWISE STATED ‘Anew financing agreement was signed effective August 2, 2024, fr a new syndicated credit facility consisting of a €375 million EUR term loan, a $280 million USD term
Slide 13: Strong Operating Cash Flow and Significant Deleveraging
BIRKENSTOCK STRONG OPERATING CASH FLOW AND SIGNIFICANT DELEVERAGING IN € MILLION BIRKENSTOCK FINANCIAL RESULTS FY24 FY23 HY24 ACT ACT Net profit 75 192 Depreciation and amortization 83 101 Finance cost, net 107 127 Income tax expense 79 102 Income tax paid (7) (15) Other 102 10 Changes in working ca
Slide 14: Outlook FY25
BIRKENSTOCK: OUTLOOK FY25
Slide 15: Confirming LT Growth Algorithm with Enhanced EBITDA Margin
BIRKENSTOCK: CONFIRMING LT GROWTH ALGORITHM WITH ENHANCED EBITDA MARGIN GUIDANCE FY25 ~15-17% + — Revenue growth of 15-17% in constant currency, with strong contribution from all REVENUE INCREASE segments, channels and categories @ constant currencies : . . . + Adjusted EBITDA margin of 30.8-31.3%,
Slide 16: Appendix
BIRKENSTOCK: APPENDIX
Slide 17: Income Statement
BIRKENSTOCK: INCOME STATEMENT IN € MILLION FY a4 FZ FZ FZ FZ Revenue 1492 1,805 35 456 Cost of sales (566) (744) (130) (187) Gross profit 926 1.067 25 269 Operating expenses Selling and distribution expenses (456) (607) (146) (141) General administration expenses (in) (113) (65) (32) Foreign exchang
Slide 18: Balance Sheet
BIRKENSTOCK: BALANCE SHEET IN € MILLION Sep Sep Sep Sep FY23 FY24 Fv23 FY24 Guvdwill 1,554 1,555 TOTAL SHAREHOLDERS’ EQUITY 2,401 2,625 E _Intangible assets (ther than goodwill) 1,706 1,439 (__ Loans and borrowings 1816 1515 Property, plant and equipment 409 490 & Lease liabilities 103 143 B _ diher
Slide 19: Cash Flow Statement
BIRKENSTOCK: CASH FLOW STATEMENT IN € MILLION Fy a Fa Fah Fa Fah Net profit (loss) Bb 7 (28) a2 Depreciation & amortization i) 10 n v Lass on disposal of property, plant and equipment 0 - 0 Change in expected cre loss - (i) (i ) Finance cost, net 107 mw 6 9 Net exchange differences 6 7 (15) (14) Non
Slide 20: Reconciliation of Non-IFRS Measures (1/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (1/6) REVENUE | IN € MILLION | UNAUDITED a a4 Constant Currency Fv23 FY24 Growth [%] Growth [%] BIB 1 240 26% 26% orc 183 n5 18% 18% Corporate / Other 1 1 (54% (5% Total Revenue 375 456 2h Wh Americas 187 225 20% 21% Europe 143 m 20% 19% APMA a 58 37%
Slide 21: Reconciliation of Non-IFRS Measures (2/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (2/6) OPERATING EXPENSES | IN € MILLION | UNAUDITED iad 4 FY23 FY24 F238 FY2h Selling and distribution expenses (656) (507) (146) (any Add Adjustments Share-based compensation expenses 7 0 5 Relocation expenses” 5 - 1 - Adjusted Selling and distributi
Slide 22: Reconciliation of Non-IFRS Measures (3/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (3/6) EBITDA | IN € MILLION | UNAUDITED fi a FY23 FY24 F238 FY2h Net profit (loss) 15 7 (28) 52 Income tax expense 1 102 a 16 Finance cost, net 107 177 2 9 Depreciation & amortization 83 101 z 2 FRITDA 3h 522 a7 127 Add (Less) Adjustments: Share-hased
Slide 23: Reconciliation of Non-IFRS Measures (4/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (4/6) NET PROFIT | IN-€ MILLION | UNAUDITED i ue FY23 FY2h P23 Yah Net profit (Loss) 75 12 (28) 2 Add (Less) Adjustments: Share-based compensation expenses! 65 4 ay - Relocation expenses” 5 - 1 - Restructuring expenses* 2 - : : [PO-related costs! 31 1
Slide 24: Reconciliation of Non-IFRS Measures (5/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (5/6) EARNINGS PER SHARE | IN €, UNLESS OTHERWISE STATED | UNAUDITED HY 4 FY23 FY24 FY23 FY24 Net profit (loss) {in € million) 15 192 (20) 52 Adjusted Net profit (Los) (in € million) 107 240 5 Weighted number of outstanding shares (in million) 182.7 1
Slide 25: Reconciliation of Non-IFRS Measures (6/6)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (6/6) NET DEBT | IN € MILLION | UNAUDITED Sep Sep FY23 FY24 Loans and borrowings (Non-current) 1.816 1.170 USO Term Loan (Current) 7 8 Lease liatilities (Non-current) 103 143 Lease liabilities (Current) a 4 Cash and cash equivalents ca 356 Net Debt 1,