Levi Strauss & Co. (NYSE: LEVI) today announced financial results for the second quarter ended May 29, 2022.

Financial Highlights for the Second-Quarter:
- Reported net revenues of $1.5 billion up 15%, and up 20% on a constant-currency basis, versus Q2 2021 driven by growth across all business segments
- Global Direct-to-Consumer reported net revenues up 16% versus Q2 2021 reflecting a 23% increase in company-operated stores
- Global Wholesale reported net revenues up 15% versus Q2 2021
- Net revenues through all digital channels represented approximately 20% of total second quarter net revenues, up 3% on top of 75% growth in the same quarter of the prior year
- Gross margin was 58.1%; Adjusted gross margin was 58.2%, flat from Q2 2021
- Operating margin was 5.2%; Adjusted EBIT margin was a Q2 record 9.9%, up from 9.0% in Q2 2021
• Net income was $50 million; Adjusted net income was $117 million, up from $93 million in Q2 2021 - Russia-Ukraine charges of $60 million ($0.15 per diluted share) related to the crisis, primarily full impairment of store assets, PP&E and goodwill
- Diluted EPS was $0.12; Adjusted diluted EPS was $0.29, up from $0.23 in Q2 2021
Chip Bergh, President and Chief Executive Officer of Levi Strauss & Co. commented and highlighted “Our second quarter results demonstrate the power of our strategy, which continues to support strong revenue growth and margin expansion. Our brands are resonating with consumers across geographies, channels and product categories. By continuing to advance our most impactful growth drivers – being brand-led, direct to consumer first and diversifying the portfolio, we are well-positioned to continue to drive growth and create significant value for all our stakeholders.”
Harmit Singh, chief financial officer of Levi Strauss & Co. also commented and highlighted “We delivered another solid quarter, growing reported net revenues 15% and adjusted EBIT 27%, while returning $80 million in capital to shareholders. Although the operating environment remains dynamic, the diversity of our business is providing the resilience and flexibility needed to drive solid financial results in fiscal year 2022, while progressing us on our path to achieve net revenues of $9 to $10 billion and adjusted EBIT margin of 15% by fiscal year 2027.”