Levi Strauss reported a strong first quarter, with profit and sales topping expectations as the company continues to shift toward a direct-to-consumer model.
Net income from continuing operations rose 26% year over year to $177 million, while net revenues increased 14% to $1.7 billion, ahead of both internal guidance and Wall Street forecasts.
CEO Michelle Gass said the performance was driven by broad-based growth across channels, regions and categories, highlighting the company’s transition to a DTC-first denim lifestyle brand.
Direct-to-consumer sales, spanning Levi’s stores and e-commerce, climbed 16% and now account for 52% of total revenue. Growth was seen across key regions, with U.S. DTC revenue up 10%, Europe up 18% and Asia up 19%.
Wholesale revenue also rose 12%, indicating continued strength across both owned and partner channels.
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Reflecting the momentum, Levi’s raised its full-year outlook, now expecting revenue growth of 5.5% to 6.5% and adjusted earnings per share in the range of $1.42 to $1.48.
Alongside the results, the company announced that chief financial and growth officer Harmit Singh plans to retire.
Singh will remain in the role until a successor is appointed, before transitioning to a special advisor position. The company has launched a formal search process for his replacement.
Gass credited Singh with helping take the company public and supporting its transformation into a more diversified, DTC-led business with stronger financial discipline.
Levi’s has spent recent years repositioning itself beyond wholesale, investing in owned retail and digital channels to drive higher-margin growth and deepen customer relationships.
With products sold in around 120 countries and a global footprint of roughly 3,300 stores and shop-in-shops, the company is continuing to scale its direct model while maintaining a broad international presence.
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