Levi Strauss Q1 sales, profit top views despite ongoing store closures
Shares of Levi Strauss & Co. (LEVI) rallied more than 9% in the extended session Thursday after the retailer reported fiscal first-quarter earnings and sales that were above Wall Street expectations despite ongoing store closures due to the pandemic. The company also raised guidance for the first half of the year and said it was raising its dividend. Levi Strauss earned $143 million, or 35 cents a share, in the quarter ended February 2021. That compares with earnings of $153 million, or 37 cents a share, in the year-ago quarter. Adjusted for one-time items, Levi Strauss earned 34 cents a share. Sales fell 13% to $1.3 billion, mostly on lower foot traffic and ongoing closures for company and third-party stores, Levi Strauss said. The quarter also did not include Black Friday as the first quarter of 2020 did, the company said. Analysts polled by FactSet expected the company to report adjusted earnings of 24 cents a share on sales of $1.25 billion. Levi Strauss called for sales growth between 24% and 25% for the first half of 2021, and raised its first-half adjusted EPS estimate to a range between 41 cents and 42 cents assuming "no significant worsening of the COVID-19 pandemic or dramatic incremental closure of global economies," it said. Levi Strauss increased the dividend, payable May 25, to 6 cents a share fr0m 4 cents a share. The stock ended the regular trading day up 2.3%.
-Claudia Assis; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
April 08, 2021 16:29 ET (20:29 GMT)
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