Birkenstock reports huge profits surge amid ‘ugly’ clogs trend

As demand grows for its distinctive closed-toe footwear, German giant Birkenstock has reported a sharp rise in sales and profits – capitalising on the enduring appeal of its “ugly” clogs.

German footwear giant Birkenstock has reported a sharp rise in sales and profits – capitalising on the enduring appeal of its distinctive “ugly” clogs.

Sales surged by 21 per cnet to £1.5 billion in the year ending September 30, while profits more than doubled to £159 million, driven by strong demand for its closed-toe footwear.

Celebrity endorsements have played a key role in boosting the brand’s popularity.

The £150 suede ‘Boston’ clogs, a favourite of Kendall Jenner and Katie Holmes, have helped propel the 250-year-old company into the fashion spotlight.

Birkenstock also saw a surge in demand for its classic sandals after their appearance in the 2023 Barbie film, starring Margot Robbie.

Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: “The Barbie boost may have dissipated but with a long line of A-list celebrities stepping out in Birkenstocks, followers are snapping up pairs.”

She added the firm’s clogs’ appeal is fuelled by an enduring “ugly shoe trend” among Gen Z shoppers, which “shows little sign of fading”.

The results mark Birkenstock’s first full financial year as a public company after its New York Stock Exchange debut in October 2023 with a valuation of £7 billion.

Shares have since climbed nearly 5 per cent and are up by almost two-thirds since the initial public offering.

The company’s chief executive Oliver Reichert said about the stellar sales figures: “I’m proud to be reporting very strong 2024 results.”

Birkenstock has also pledged to expand its portfolio, targeting under-developed categories such as orthopaedic and closed-toe shoes.

The brand is majority-owned by private equity firm L Catterton, backed by luxury conglomerate LVMH, owner of Dior.

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