Levi Strauss revenue rises 7 percent in first post-IPO quarterly report
- S&P 500, Nasdaq close up 4th straight week as optimism grows
- 'Back in Tech': Investors are Increasing Exposure to Tech and Growth Stocks - BofA
- Rivian Reports Bigger Loss, Says Current Models Won't Qualify for Tax Breaks
- US-listed China Stocks Slip on Delisting Moves, Analyst Sees Short-term Noise
- Salesforce (CRM), Snowflake (SNOW) Rated New Sell at Guggenheim, Oracle (ORCL) at Buy
FILE PHOTO: People pass by a Levi Strauss store in New York City, U.S., March 19, 2019. REUTERS/Brendan McDermid
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
(Reuters) - Levi Strauss & Co posted a 7 percent rise in quarterly revenue on Tuesday in its first report after returning to public markets, as the jeans maker's strategy of expanding its retail stores and investing in its online business paid off.
The company's shares rose nearly 2 percent to $22.25 after the bell having ended the day trading up 2.6 percent.
They are down about 2.5 percent since the company's return to public markets in late March, but remain about 29 percent above the IPO price of $17, as investors bought into the blue jeans inventor's strong performance against the backdrop of a challenging U.S. retail environment.
Levi has branched out of its staple men's blue jeans into product lines such as T-shirts, fleeces and women's apparel to cater to changing customer preferences and the rise of "athleisure" pioneered by Lululemon Athletica Inc.
The efforts helped Levi's revenue rise about 7 percent to $1.43 billion in the first quarter ended Feb. 24, in line with the company's previous revenue expectation of between $1.42 billion and $1.44 billion.
Sales at Levi's direct-to-consumer business that includes company owned stores and its online channels grew 10 percent in the quarter.
"Growth was broad-based across all three regions and all channels, demonstrating that our strategies are working and our investments are paying off," Chief Executive Officer Chip Bergh said.
Levi said net income attributable to the company was $146.6 million, or 37 cents per share, in the quarter, compared to a loss of $19 million, or 5 cents per share, a year earlier, when the company incurred a tax-related charge.
On an adjusted basis, net income grew 81 percent to $151 million.
Analyst estimates aren't available for Levi as the 12 IPO underwriters that included Goldman Sachs and J.P. Morgan are in the research blackout period until next week.
(Reporting by Aishwarya Venugopal in Bengaluru: Editing by Sriraj Kalluvila and Shounak Dasgupta)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- FBI sought nuclear documents in search of Trump's home -Washington Post
- Taiwan says 13 Chinese air force planes crossed Taiwan Strait median line
- EU's Borrell condemns attack on Salman Rushdie
Create E-mail Alert Related CategoriesGeneral News, Reuters
Related EntitiesJPMorgan, Goldman Sachs, IPO
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!