Levi Strauss lifts quarterly revenue 4 percent and raises profit outlook
The denim maker posted third-quarter revenue of 1.61 billion dollars. Wholesale and international business grew, while direct-to-consumer sales fell short of expectations.
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Levi Strauss & Co. reported revenue of 1.61 billion US dollars for its fiscal third quarter ended late August, up four percent year on year. Organic growth was about five percent. Revenue in Europe rose 3.7 percent to 442.1 million dollars, while Asia grew ten percent organically.
Wholesale rose six percent and e-commerce ten percent. Direct-to-consumer revenue grew only two percent, and chief executive Michelle Gass acknowledged it fell short of internal expectations. Net income from continuing operations rose to 168.6 million dollars from 122.0 million a year earlier.
For the full year the company now expects adjusted earnings per share of 1.54 to 1.56 dollars, up from 1.46 to 1.52 dollars previously. Levi Strauss expects revenue growth of about seven percent. It also announced a 100 million dollar accelerated share buyback.