Levi Strauss & Co. shares gained in the extended session Thursday after the jeans company topped Wall Street estimates and raised its forecast for the year.
Levi Strauss LEVI,
The company reported second-quarter net income of $64.7 million, or 16 cents a share, versus a loss of $ 363.5 million, or 91 cents a share, in the year-ago period. Adjusted earnings, which exclude restructuring costs and other items, were 23 cents a share, versus a loss of 48 cents a share in the year-ago period.
Revenue rose to $1.28 billion from $497.5 million in the year-ago quarter.
Analysts surveyed by FactSet had forecast 9 cents a share on revenue of $1.21 billion.
“Revenues in most markets are recovering faster than anticipated, and we are emerging from the pandemic with sustainable and improved structural economics,” said Harmit Singh, Levi Strauss chief financial officer, in a statement. “As we look forward, we’re raising our expectations for revenues and profits.”
The company forecast adjusted earnings of 72 cents to 76 cents a share for the second half of fiscal 2021, or $1.29 to $1.33 a share for the year. Levi Strauss said it expects revenue growth of 28% to 29% compared to last year’s second half, or $3.13 billion to $3.16 billion.
Analysts had estimated earnings of 72 cents a share on revenue of $3.03 billion for the second half of the year, and earnings of $1.15 a share for the full year.
