Levi Strauss today says its strategy is showing results as it focuses on becoming a denim lifestyle brand that sells direct to its customers. It has raised its full-year expectations as a result of today’s half-year update.
The fashion group, which recently launched a range of clothing to tie in with the Oasis reunion tour (see image), reported net income from continuing operations of $220mn in the six months to June 1 2024 on net revenues of $2.97bn (+5%). Second quarter net income was $80mn on revenues of $1.4bn (+6%), and up by 14% in Europe.
Direct-to-consumer
The Levi Strauss group, whose Levi’s brand is ranked Top50 in the RetailX UK500 2025, made 50% of its sales through direct-to-consumer (D2C) channels including own stores and ecommerce. D2C net revenues were up 10% like-for-like in the second quarter (including 9% in Europe), while ecommerce sales were up by 13%. This, said Levi Strauss, was its 13th consecutive quarter of global sales growth through direct sales.
Michelle Gass, president and CEO of Levi Strauss & Co, said second quarter figures reflected “broad-based strength across the board” and “clear evidence that our strategic agenda is gaining traction.”
She added: “We’re entering the second half of 2025 from a position of strength as our ambition to transform into a denim lifestyle brand and best-in-class DTC retailer becomes our reality. Levi’s is a brand that has a rich 172-year heritage and remains a global icon. As we look ahead, Levi’s has an even bolder future with a bigger legacy – and quarter by quarter, we’re building it.”
Raising expectations
Looking ahead, Levi Strauss has raised its full-year targets to net revenue growth of between 1% and 2% on last year (from -1% to -2%, and like-for-like revenue growth of between 4.5% and 5.5% (from +3.5% to +4.5%). The guidance assumes that US tariffs on imports from China will remain at 30%, and from the rest-of-the-world at 10%.
Harmit Singh, chief financial and growth officer of Levi Strauss & Co, said: “Given our strong H1 and continued momentum across the business—and despite higher tariffs—we are raising our full-year revenue and EPS expectations.
“The continued inflection of our financial performance is a direct result of our laser focus on the core Levi’s brand and our DTC-first strategy.”
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