Levi Strauss records strong holiday season, Q4 revenues up 12 percent

For the fourth quarter, Levi Strauss net revenues of 1.8 billion dollars increased 12 percent on a reported basis and 8 percent on an organic basis.

For the year ending November 30, 2025, the company forecasts reported net revenues to drop between 1 percent to 2 percent, while organic net revenues grow between 3.5 percent to 4.5 percent. Adjusted diluted EPS is expected to range between 1.20 dollars to 1.25 dollars.

“We delivered a strong fourth quarter and holiday season, positioning us well as we enter 2025. Our sharpened focus on the core Levi’s brand is working, with broad-based strength across women’s, men’s, DTC and wholesale,” said Michelle Gass, president and CEO of Levi Strauss & Co.

Highlights of Levi Strauss Q4 results across core markets

In the Americas, the company’s net revenues increased 12 percent on a reported basis and 9 percent on an organic basis. Within the Americas, the US grew 6 percent on an organic basis.

The company said, in Europe, net revenues increased 15 percent on a reported basis and 6 percent on an organic basis, reflecting growth across a majority of markets. Asia net revenues increased 9 percent on a reported and organic basis, reflecting growth across channels.

Other brands’ net revenues increased 10 percent on a reported basis and 5 percent on an organic basis. Dockers increased 9 percent on a reported basis and 5 percent on an organic basis, while Beyond Yoga increased 10 percent on a reported basis and 4 percent on an organic basis.

The company’s DTC net revenues increased 19 percent on a reported basis and 14 percent on an organic basis reflecting an 11 percent increase in the US, a 17 percent increase in Europe and an 8 percent increase in Asia. Net revenues from e-commerce grew 19 percent on a reported and 14 percent on an organic basis.

Wholesale net revenues increased 7 percent on a reported basis and 3 percent on an organic basis.

The company’s operating margin was 11.5 percent and adjusted EBIT margin increased 120 basis points to 13.4 percent. Gross margin increased 350 basis points to 61.3 percent.

Net income for the quarter increased to 183 million dollars and adjusted net income to 202 million dollars. Diluted earnings per share rose to 46 cents, while adjusted diluted earnings per share rose to 50 cents.

In the fourth quarter, the company returned 51 million dollars including dividends representing a dividend of 13 cents per share, up 8 percent from prior year, and share repurchases of approximately 30 million dollars reflecting 1.6 million shares retired.

Levi Strauss FY24 revenues increase by 3 percent

Levi Strauss net revenues of 6.4 billion dollars were up 3 percent on a reported and organic basis for the full year.

Gross margin was 60 percent; 310 basis points above FY23, operating margin was 4.2 percent; while adjusted EBIT margin rose to 10.2 percent.

Net income increased to 211 million dollars and adjusted net income to 503 million dollars, while diluted EPS was 52 cents; and adjusted diluted EPS rose to 1.25 dollars.

The company returned 289 million dollars in capital to shareholders, up 45 percent versus prior year, including dividends of 199 million dollars, representing annual dividends of 50 cents per share, up 4 percent from prior year, and share repurchases of 90 million dollars reflecting 4.8 million shares retired.