Levi Strauss sees revenues rise in Q2
Levi Strauss & Co. has released its financial results for the second quarter ending 29 May 2022, revealing a 15% increase in revenue to £1.2 billion ($1.5 billion), driven by growth across all business segments.
For Q2, Levi Strauss & Co. shared the following results:
- DTC revenue up 16%, reflecting a 23% increase in company-operated stores.
- Wholesale revenue up 15%.
- Gross profit was £716 million ($855 million), compared to $750 million in Q2 2021.
- Gross margin was 58.1%.
- Adjusted EBIT margin was 9.9%, up from 9% in Q2 2021.
- Net income was £41 million ($50 million), compared to $65 million in Q2 2021.
Net revenue through all digital channels represented approximately 20% of total Q2 2022 sales, up 3% on top of 75% growth in Q2 2021.
Revenue in Europe grew 3%, with DTC revenue up 23% and wholesale down 10%. Revenue through all digital channels declined 30%, following over 100% growth in the same period last year.
Looking ahead, Levi Strauss & Co. expects revenue growth between 11% and 13% to £5.3 billion ($6.4 billion) and £5.4 billion ($6.5 billion) for fiscal 2022.
Chip Bergh, President & CEO of Levi Strauss & Co, said: "Our second quarter results demonstrate the power of our strategy, which continues to support strong revenue growth and margin expansion. Our brands are resonating with consumers across geographies, channels and product categories. By continuing to advance our most impactful growth drivers, we are well-positioned to continue to drive growth and create significant value for all our stakeholders."
