Levi Strauss & Co. Posts Unexpected Third-Quarter Profit

Levi Strauss & Co.  (LEVI) – Get Report posted a surprise third-quarter profit after the market close Tuesday, boosted by a surge in its online businesses.

The San Francisco-based clothing maker posted adjusted earnings of 8 cents a share on revenue of $1.1 billion for the period.

The company had been expected to report a loss of $104.6 million, or 22 cents a share, on sales of $822.2 million, based on a FactSet survey of nine analysts.

In the same period a year ago, the company posted earnings of 31 cents a share on sales of $1.4 billion. It reported net income of $28.2 million.

“We exceeded our expectations for the third quarter,” said Chip Bergh, president and chief executive officer, in a statement. “Our total digital business has doubled as a share of total net revenues, and Levis remains the global leader in denim, where our women’s business continues to take market share.”

The company is “investing in digitization, and accelerating our efforts to diversify across geographies, product categories and distribution channels, including doubling down on our fast-growing direct-to-consumer business,” Bergh added.

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