Levi’s Shares Rise as Strong Demand Prompts Forecast Boost


A Levi’s store in Germany. Shutterstock.

Levi Strauss & Co. shares rose after the denim maker said it expects strong sales growth in the first half of the year, signaling that pent-up demand could spur a post-pandemic retail recovery.

The company sees net revenue jumping 24 percent to 25 percent in the first half of fiscal 2021 compared with the same period a year ago, it said Thursday in a statement. That’s up from a previous projection of 18 percent to 20 percent. Adjusted earnings will be 41 cents to 42 cents a share for the first two quarters this year, topping the average analyst estimate compiled by Bloomberg.

Levi is the latest retailer showing signs that it sees consumers spending more later in the year as vaccine distribution continues and pandemic lockdowns end. Macy’s Inc. and Kohl’s Corp. have said they expect similar patterns.

“Our outlook going forward has improved based on the strong demand signals we are seeing in the marketplace,” Harmit Singh, Levi’s chief financial officer, said in the statement as the company reported first-quarter earnings.

Net sales in the quarter ending Feb. 28 fell 13 percent, Levi said. Its digital business was a bright spot, however, growing about 41 percent compared to the same period the prior year. That revenue accounted for about a quarter of the company’s net sales for the quarter.

The shares climbed 3.2 percent as of 4:43 p.m. in postmarket trading in New York.

By Jordyn Holman



Credit: Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Discover

Sponsor

spot_imgspot_img

Latest

Lea Michele Shares the Products and Practices that Help Give Her a New Mom Glow

Lea Michele’s first Mother’s Day is around the corner and the proud mom of 8-month-old Ever Leo says she’s learning the ropes one...

Diet Coke Procedures By Hotel Staff – Hollywood Life

Donald Trump has long been known for his unhealthy eating choices. But now his dining out habits are being revealed, and some of...

Willow Smith Reunites Mom Jada Pinkett’s Band Wicked Wisdom – Hollywood Life

Willow Smith proved she’s an incredible thoughtful daughter — as well as quite a rocker — by reuniting her mom Jada Pinkett’s metal...

Janet Jackson Reacts To Justin Timberlake Apology & ‘Control’ #1: Video – Hollywood Life

Just a day after Justin Timberlake’s apology, Janet Jackson said she felt ‘blessed’ as fans spearheaded one of her most iconic albums to...
INTERNATIONAL »