Levi Strauss Reports Strong Start to 2025

Levi Strauss ( (LEVI) ) has released its Q1 earnings. Here is a breakdown of the information Levi Strauss presented to its investors.

Levi Strauss & Co., a global leader in jeanswear, designs and markets apparel and accessories under brands like Levi’s®, Dockers®, and Beyond Yoga®. The company reported a strong start to 2025 with better-than-expected first-quarter financial results, showcasing a 3% increase in reported net revenues and a 9% rise in organic net revenues. Operating margin improved significantly to 12.5%, and adjusted EBIT margin increased by 400 basis points to 13.4%. The company also reported a 52% year-over-year increase in adjusted diluted EPS, reaching $0.38. Levi Strauss & Co. highlighted the reclassification of its Dockers® business as discontinued operations and maintained its full-year outlook despite recent tariff impacts. Key financial metrics showed net revenues of $1.5 billion, with notable growth in the Americas and Asia. Direct-to-consumer sales rose 9%, while e-commerce revenues grew 13%. The company achieved a gross margin increase to 62.1%, driven by lower product costs and favorable channel and brand mix. Levi Strauss & Co. remains confident in its transformation strategy, emphasizing a strong balance sheet and improved structural economics. Looking ahead, the company maintains its 2025 guidance, excluding the impact of recent tariffs, and anticipates minimal effect on its Q2 margin outlook.