Denim giant Levi Strauss & Co. revealed a dazzling fourth-quarter performance, boasting a 12% surge in net revenues, reaching a robust US $1.8 billion. The celebratory mood, however, was quickly dampened by the company’s outlook for fiscal year 2025, triggering a ripple of unease among investors and a subsequent 7% dip in share value during extended trading.
The iconic brand anticipates a slight revenue contraction, projecting a 1% to 2% decrease, and adjusted diluted earnings per share hovering between US $1.20 and US $1.25 for the year concluding November 30, 2025. These figures have fallen short of analyst expectations, with revenue growth estimates previously pegged at a more optimistic 3.7% and earnings per share projected at US $1.37.
Despite the looming uncertainty surrounding the 2025 forecast, Levi’s CEO, Michelle Gass, shone a spotlight on the brand’s stellar fourth-quarter and holiday season achievements. She underscored the triumph of their strategic emphasis on the core Levi’s label, noting growth across key demographics including women’s and men’s wear, as well as robust performance in both direct-to-consumer and wholesale channels.
