Levi Strauss saw its second quarter revenue grow 6 percent across regions and channels, the company announced on July 12th.
Net revenue grew to $1.07 billion compared to $1.01 billion, for the second quarter ended May 28, 2017.
Net income declined $13 million from 30.7 million to $17.5 million, primarily due to a $23 million loss related to debt refinancing activities taken during the quarter.
Net revenue was the strongest in Europe for the second quarter, up 20 percent due to solid growth in the women’s and tops business, while operating income grew 31 percent.
In the Americas, Levi Strauss also reported a net revenue growth of 3 percent reflecting higher direct-to-consumer revenues in the U.S. and higher revenues in Canada and Mexico. Still, the gain was partially offset by a decline in U.S. wholesale due to lower Dockers revenue.
Meanwhile in Asia, net revenues grew three percent.
“Our business is more diversified than ever before, driven by disciplined execution of our long-term growth strategies, and investments in product innovation and the consumer shopping experience,” said Chip Bergh, president and chief executive officer, Levi Strauss & Co, in a news statement. “Our strong year-to-date revenue growth reinforces the benefits of a more balanced portfolio as our women’s, tops, direct-to-consumer and international businesses delivered solid results, despite a slight decline in the U.S. wholesale business.”
Bergh added that based on the performance of the company’s first half of the year, the company has raised their revenue growth guidance for the full year to 2-4 percent range in constant currency.
(Source: Fashion Network)