Levi Strauss ( (LEVI) ) has released its Q4 earnings. Here is a breakdown of the information Levi Strauss presented to its investors.
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Levi Strauss & Co., a renowned global leader in the apparel industry, designs and markets a variety of products, including jeans and casual wear, under several brand names such as Levi’s, Dockers, and Beyond Yoga. The company has a broad international presence, operating in approximately 120 countries worldwide.
Levi Strauss & Co. reported strong financial results for the fourth quarter of 2024, with significant growth in net revenues and profitability. The company’s strategy of focusing on its core Levi’s brand, coupled with its omnichannel retail transformation, has yielded positive outcomes, positioning it well for the upcoming fiscal year.
Key financial highlights include a 12% increase in net revenues, with organic growth of 8%, driven by both global direct-to-consumer (DTC) and wholesale channels. Gross margin reached a record 61.3%, attributed to lower product costs and favorable sales mix. The company also saw a rise in diluted earnings per share to $0.46, with adjusted EPS up 14% to $0.50. Regionally, the Americas, Europe, and Asia all reported revenue growth, with the DTC segment showcasing a notable 19% rise in revenues.
Levi Strauss & Co. also demonstrated strong cash flow generation and improved operating margins, achieving an operating margin of 11.5% compared to 9.2% in the previous year. The company’s commitment to expanding its retail presence and continuing its marketing collaboration with Beyoncé has been highlighted as part of its strategic focus for 2025.
Looking forward, Levi Strauss & Co. is optimistic about sustaining its revenue growth and margin expansion in 2025, backed by a robust product pipeline and effective execution of its strategic initiatives. The company remains confident in its ability to navigate potential macroeconomic challenges and deliver continued financial success.
