Levi Strauss raises annual profit forecast on tariff refunds while trimming revenue outlook

Original summary · What happened

Levi Strauss adjusted its full-year financial outlook on Wednesday after capturing tariff reimbursement windfalls. The apparel company increased its projected adjusted earnings per share range to $1.54 to $1.56, improving from the earlier forecast of $1.46 to $1.52. Concurrently, full-year net revenue expansion was guided down to 7%, touching the low end of its prior guidance range of 7% to 7.5%.

During the fiscal third quarter, operating margins reached 13.8%, supported by a 4.9% contribution from tariff refunds that delivered a 16-cent uplift to per-share earnings. Chief executive Michelle Gass indicated that roughly 5 cents per share of those refunded proceeds have been directed toward commercial advertising and holiday promotion campaigns, while overall domestic revenue within the United States contracted 1% during the quarter.