Levi Strauss Shares Surge Following Strong Q1 Earnings and Raised FY24 Guidance

The denim giant raises its full-year profit outlook after reporting first-quarter earnings that exceeded expectations and highlighted growth in its direct-to-consumer sales.

Levi Strauss & Co. reported an 18% surge in its shares after raising its full-year profit guidance and beating holiday earnings expectations.
The company's direct-to-consumer sales grew 7% in the latest quarter, now accounting for nearly half of its total revenue.
Levi's has launched initiatives to cut costs and improve efficiency, including a global workforce reduction of about 12% and the exit from its lower-margin Denizen business.
The retailer's gross margin increased by 2.4 percentage points to 58.2%, supported by fewer promotions and lower product costs.
Levi Strauss plans to open new stores in Asia and a flagship store in Paris ahead of the 2024 Summer Olympics, as part of its growth strategy.