Birkenstock Holding plc · NYSE:BIRK
Birkenstock — Q1 2024 Earnings Presentation
24 slides from Birkenstock's earnings presentation, Feb 29, 2024
Slide 1: Birkenstock Financial Results Q1 FY24
BIRKENSTOCK: February 29, 2024 BIRKENSTOCK FINANCIAL RESULTS Q1 FY24
Slide 2: Forward-looking statements
Certain statements in this Presentation may constitute “forward-looking” statements and information within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the safe harbor provisions of the U.S. Private Securiti
Slide 3: Birkenstock Financial Results Q1 FY24
BIRKENSTOCK FINANCIAL RESULTS Q1 FY24
Slide 4: At a Glance
BIRKENSTOCK FINANCIAL RESULTS Q1 FY24 AT A GLANCE IN € MILLION, UNLESS OTHERWISE STATED REVENUE DTC REVENUE GROSS PROFIT | MARGIN ADJUSTED EBITDA | MARGIN DTC PENETRATION NET IPO PROCEEDS REPAYMENT OF LOANS ADJUSTED NET PROFIT | ADJUSTED EPS Note: Al comparison ae to OT FY28 Constant Currency growth
Slide 5: No Slowdown Post-IPO, Growth in Line with Long-Term CAGR
BIRKENSTOCK: NO SLOWDOWN POST-IPO, GROWTH IN LINE WITH LONG-TERM CAGR IN € MILLION, UNLESS OTHERWISE STATED CAGR FY2014 - Q1 FY24: 20% | Note: FY20-01 FY2: Consolidated IFRS numbers at Birkenstock Group Limited level: FY1-19: Consolidated German GAAP numbers at Birkenstock GmbH & Co. KE; FYIG-17: Co
Slide 6: Exceptional Revenue Growth Across All Segments & Channels
BIRKENSTOCK: EXCEPTIONAL REVENUE GROWTH ACROSS ALL SEGMENTS & CHANNELS IN € MILLION, UNLESS OTHERWISE STATED AMERICAS EUROPE APMA 181 80 39 +19% +33% +91% CHANNELS BIRKENSTOCK
Slide 7: Gross Profit Margin of 61% Despite FX & Growth Investments
BIRKENSTOCK GROSS PROFIT MARGIN OF 61% DESPITE FX & GROWTH INVESTMENTS IN € MILLION, UNLESS OTHERWISE STATED +21% | (70)bp 1 | 185 | 61.0% 153 | 61.7% Gross Profit | Margin Q1 FY23 Q1 FY24
Slide 8: Increase in G&A Mainly Driven by Public Company Costs
BIRKENSTOCK INCREASE IN G&A MAINLY DRIVEN BY PUBLIC COMPANY COSTS AS % OF REVENUE ADJUSTED SALES & DISTRIBUTION ADJUSTED GENERAL ADMINISTRATION EXP. €103M EXP. €24M Increase vs. 01 FY23 is largely driven by recurring public company costs which we did not incur pre-PO 7.9% +110bp Typically, ou first
Slide 9: Q1 FY24 EBITDA Mainly Driven by Capacity Expansion & FX
BIRKENSTOCK Q1 FY24 EBITDA MAINLY DRIVEN BY CAPACITY EXPANSION & FX 29.1% (1106p) -— Currency translation impact is mainly driven by unfavorable USD translation vs (11 F¥23. Average applied EUR/USD exchange rate of 1.02 in O1 FY23 vs. 1.07 in 01 FY24 The pact shown here i unrelated to our FX adjustm
Slide 10: Adjusted EPS of €0.09 in Q1 FY24, Decrease Mainly Tax Driven
BIRKENSTOCK ADJUSTED EPS OF €0.09 IN Q1 FY24, DECREASE MAINLY TAX DRIVEN IN€, UNLESS OTHERWISE STATED (38)% 0.09 Adjusted EPS (Basic/Diluted) Q1 FY23 Q1 FY24 comparable IFRS measure pl 10 BIRKENSTOCK FINANCIAL RESULTS Q1 FY24
Slide 11: Strong Inventory to Sales Ratio Improvement vs. Q1 FY23
BIRKENSTOCK STRONG INVENTORY TO SALES RATIO IMPROVEMENT VS. Q1 FY23 TRADE WORKING CAPITAL | IN MILLION AND AS % OF REVENUE 564 | 38% 620] 0% 562 | 44% + C111M Raw Materials | WIP * Largest grt ofFinshed Goods are a) cart-over products, and b) contracted value / allocated to customer orders * Invento
Slide 12: Significant Leverage Decrease After Early Loan Repayments
BIRKENSTOCK: SIGNIFICANT LEVERAGE DECREASE AFTER EARLY LOAN REPAYMENTS NET DEBT & NET LEVERAGE | IN € MILLION, UNLESS OTHERWISE STATED 1 FY24: Early partial repayments of on + €425 million USD Teim Loan B (Nov-23) h + €101 milion Vendor Loan (Oct-23) a | 2.6X Net Debt 1,609 1,282 po po LTM Adjusted
Slide 13: Cash Flow in Line with Seasonality, Driven by Loan Repayments
BIRKENSTOCK: CASH FLOW IN LINE WITH SEASONALITY, DRIVEN BY LOAN REPAYMENTS IN € MILLION Note: threo to, BIRKENSTOCK FINANCIAL RESULTS Q1 FY24 Q1 FY23 Q1 FY24 Operating Cash Flow (53) (45) t/o: Funds from operations 63 38 t/o: Changes in working capital (116) (103) Investing Cash Flow (26) (9) Financ
Slide 14: Appendix
BIRKENSTOCK: APPENDIX
Slide 15: Income Statement
BIRKENSTOCK: INCOME STATEMENT IN € MILLION | UNAUDITED a FY23 FY24 Revenue 248 303 Cost of sales (95) (118) Gross profit 153 185 Selling and distribution expenses (86) (103) General administration expenses (22) (34) Foreign exchange gain (loss) (31) (12) Other income (expense), net - i} Profit from
Slide 16: Balance Sheet
BIRKENSTOCK: BALANCE SHEET IN € MILLION | UNAUDITED 04 Qi a Qi FY23 FY24 FY23 FY24 _ Goodwill 1,994 1,965 TOTAL SHAREHOLDERS’ EQUITY 2,401 2,462 PH Inlangible assels (ulher than youdwill) 1,706 1,661 _ Loans and borrowings 1,816 1,626 = Property, plant and equipment 409 Ahh S Lease liabilities 103 1
Slide 17: Cash Flow Statement
BIRKENSTOCK: CASH FLOW STATEMENT IN € MILLION | UNAUDITED a FY23 FY24 Net profit (loss) (9) (7) Depreciation & amortization 0 2 Finance cost, net 8 34 Net exchange differences u 2 Non-cash operating items 1 2 Income tax expense (2 1 Income tax paid (31 (a MPP personal income tax paid - () Changes in
Slide 18: Reconciliation of Non-IFRS Measures (1/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (1/7) REVENUE | IN € MILLION | UNAUDITED a1 FY24 Revenue 303 Add (Less): US. Dollar impact 9 Canadian Dollar impac: 1 Other 1 Constant currency revenue 3h Revenue growth, constant currency 25% APPENDIX
Slide 19: Reconciliation of Non-IFRS Measures (2/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (2/7) OPERATING EXPENSES | IN € MILLION | UNAUDITED a FY23 FY24 Selling and distribution expenses (86) (103) Add Adjustments: Share-based compensation expenses! - 0 Relocation expenses” 2 - Adjusted Selling and distribution expenses (85) (103) a FY23
Slide 20: Reconciliation of Non-IFRS Measures (3/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (3/7) EBITDA | IN € MILLION | UNAUDITED a FY23 FY24 Net profit (Iss) (9) () Income tax expense (2) 7 Finance cost, net 25 36 Depreciation & amortization 20 B EBITDA 35 59 Add Adjustments: Share-based compensation expenses! - 4 Relocation expenses’ 2 -
Slide 21: Reconciliation of Non-IFRS Measures (4/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (4/7) PROFIT (LOSS) BEFORE TAX | IN-€ MILLION | UNAUDITED a FY23 FY24 Profit (lass) hefnre tax (11) (0) ‘Add (Less) Adjustments: Share-based compensation expenses! - 4 Relocation expenses” 2 - [PO-related costs* 5 7 Realized and unrealized FX cains /
Slide 22: Reconciliation of Non-IFRS Measures (5/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (5/7) NET PROFIT | IN € MILLION | UNAUDITED a c= Net profit (Iss) (9) () ‘Add (Less) Adjustments: Share-based compensation expenses! - 4 Relocation expenses” 2 - [PO-related costs* 5 7 Realized and unrealized FX cains / losses” 3 12 Release of capital
Slide 23: Reconciliation of Non-IFRS Measures (6/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (6/7) EARNINGS PER SHARE | IN €, UNLESS OTHERWISE STATED | UNAUDITED a FY23 FY24 Net profit (Loss! {in € million! (9) (7) Adjusted Net profit (loss) {in € million) a 7 Weighted number of outstanding shares (in million) 1827 186.9 EPS (Basic/Diluted) (
Slide 24: Reconciliation of Non-IFRS Measures (7/7)
BIRKENSTOCK: RECONCILIATION OF NON-IFRS MEASURES (7/7) NET DEBT | IN € MILLION | UNAUDITED 04 a FY23 FY24 Toans and hortnwings (Nan-current) TRIB 1 USD Term Loan (Current) 7 3 Lease liabilities (Non-curent) 103 1M Lease liabilities (Current) a a Cash and cash equivalents Jul 169 Net Debt 1,609 1,282