Why Birkenstock Stock Dropped Today
Shares of German footwear company Birkenstock Holding (NYSE: BIRK) dropped on Thursday after the company reported financial results for the first time since going public in October. The company is warning about its profits but investors need to take this with a grain of salt. As of 10:10 a.m. ET, Birkenstock stock was down 8%.
Birkenstock completed its fiscal 2023 in September. The company reported results for fiscal 2023 this morning, showing year-over-year revenue growth of 20%. This capped off a 20% compound annual growth rate of 20% over the last decade, which is an impressive feat for a 250-year-old shoe company.
Looking at adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), Birkenstock had a margin of 32.4%, a meaningful pullback from its adjusted EBITDA margin of 35% in fiscal 2022.
Source Fool.com
