Levi Strauss has reported a 7% year-on-year increase in both reported and organic net revenues to $1.5bn for the third quarter (Q3) (ended 31 August 2025).
The US-based clothing retailer’s net revenues in the Americas increased 6% on a reported basis and 7% organically, with the US up 3% organically.
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Europe recorded growth of 5% reported and 3% organic, while Asia grew 12% on both measures.
Beyond Yoga, Levi Strauss’s athleisure and activewear brand, reported a 2% rise in revenue.
Direct-to-consumer (DTC) revenue climbed 11% on a reported basis and 9% organically, with e-commerce sales up 18% reported and 16% organic. DTC accounted for 46% of total revenue.
Wholesale revenue grew 3% reported and 5% organic.
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By GlobalDataThe company’s adjusted net income was $135.7m in Q3 2025, compared with $133.9m in the same period of the previous year.
Its quarterly adjusted diluted earnings per share (EPS) stood at $0.34.
Gross margin expanded by 110 basis points to 61.7%, mainly due to a favourable channel mix and price hikes.
Operating margin improved to 10.8% in Q3 2025, compared with 2.3% a year earlier.
As of 31 August 2025, cash and cash equivalents stood at $613m, with $1.5bn in total liquidity.
On 31 July, Levi Strauss completed the sale of its Dockers intellectual property and operations in the US and Canada for $194.7m.
Levi Strauss has now raised its full-year guidance.
For fiscal 2025, the company expects reported net revenue growth of around 3%, up from its earlier projection of between 1% and 2%, and organic growth of 6%, up from the previous forecast of between 4.5% and 5.5%.
It has also lifted its outlook for adjusted diluted EPS to between $1.27 and $1.32, up from the earlier range of $1.25 to $1.30.
Levi Strauss president and CEO Michelle Gass stated: “We delivered another very strong quarter as our pivot to becoming a DTC-first, head-to-toe denim lifestyle retailer is driving a meaningful inflection in our financial performance.
“With strength across channels, segments and categories, we are raising our full-year outlook and are well-positioned for the holiday season. While the macro environment remains complex, the consistency of our performance and operational agility gives me confidence that we will deliver sustained, profitable growth into 2026 and beyond.”
