Levi Strauss beat Wall Street estimates in its latest earnings report for Q4 2025, with higher sales and profit.
The positive results were driven by strong demand for its wide-legged jeans despite pressure from higher United States import taxes, which dampened consumer spending in the country.
“Our success in denim lifestyle has enabled us to expand our addressable market, positioning us for mid-single digit growth in 2026 and beyond,” Levi Strauss chief financial and growth officer Harmit Singh said.
During the fourth quarter, net revenues rose 1% year-over-year to US$1.8 billion. This also surpassed analysts' estimates of US$1.71 billion
Despite this, net revenue in the Americas decreased by 4% on a reported basis, driven by a 7% decrease in the U.S. alone.
However, net revenues grew in other markets, including Europe and Asia, by 8% and 2%, respectively.
Diluted earnings per share (EPS) came in at US$0.40, down from US$0.45 in Q4 2024. However, this was still ahead of the 39 cents per share expected by analysts.
Net income also dipped from US$180 million in Q4 2024 to US$160 million in 2025.
Full year net revenues were up 4% year-over-year to US$6.3 billion, and diluted earnings per share rose to US$1.26 from 52 cents per share in 2024.
Levi Strauss is expecting net revenue growth of 5% to 6% for 2026 as well as diluted earnings per share between US$1.40 and US$1.46.
At the time of writing, Levi Strauss (NYSE: LEVI) shares were down 3.67% to US$20.47. They were also down 2.05% to US$20.05 in post-market trading. The company’s market cap is US$8 billion.
