Companies and Brands
Levi Strauss Sets Optimistic Tone in First Earnings Report
Published:
Last Updated:
In its first report since coming public, Levi Strauss & Co. (NYSE: LEVI) posted its fiscal first-quarter financial results. Overall, the results were fairly positive, setting the tone for the company going forward.
Keep in mind that most analysts are stuck in the post-IPO quiet period, so there were no real reliable consensus estimates going into this report.
The denim jeans maker posted $0.37 in earnings per share (EPS) and $1.44 billion in revenue, which compares with a net loss of $0.05 per share and $1.34 billion in revenue in the same period of last year.
First-quarter net revenues grew 7% on a reported basis and 11% on a constant-currency basis, excluding $48 million in unfavorable currency translation effects. Reported net revenues related to the company’s direct-to-consumer business grew 10%, primarily due to performance and expansion of the retail network, as well as e-commerce growth.
In terms of its regional segments, the company reported as follows:
Looking ahead to the fiscal full year, Levi Strauss expects to see constant-currency net revenues growth of mid-single digits and constant-currency adjusted EBIT margin flat to slightly up.
Chip Bergh, president and chief executive of Levi Strauss, commented:
We delivered our sixth consecutive quarter of double-digit constant-currency revenue growth. Growth was broad-based across all three regions and all channels, demonstrating that our strategies are working and our investments are paying off.
Shares of Levi Strauss were last seen up about 5% at $22.98, in a post-IPO range of $21.24 to $24.19.
Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply
clicking here you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.