Levi Strauss maintains annual forecast, shares surge more than 7%

By savyata mishra

(Reuters) -Levi Strauss maintained its annual sales and profit expectations, except for the impact of definitions, and issued quarterly profits before the Wall Street goals, as she sent her shares more than 7 % in a trade after hours.

The overwhelming customs duties by president Donald Trump raised concerns about a global shrinkage and raised sharp prices for elements such as clothes and shoes.

“While we realize that we are working in an unconfirmed environment, the global footprint, our strong structure of the margin, and the graceful supply chain in our position to move in the balance of the public and beyond,” the president and CEO Michel Jas said in a statement on Monday.

The company said in January that the various supply chain in 25 countries will allow them to products through the source.

Its executives in January said that Levy imports only about 1 % of its goods directly from China to the United States, while this for Mexico was about 5 %.

Jas said that the retail seller is looking to increase prices as one of the reduced measures, adding that the price increases will be “surgical”.

I have seen a wide demand for jeans and legs – a trend that is in line with my competitors such as Abercrombie & Fitch and GAP – although selective shoppers in spending on estimated elements.

In its semester presentation with the organizers, the company added that it was analyzing the impact of definitions and what it could do to reduce the effect.

“We expect that these new definitions will have a material impact on the results of our operations in the fiscal year 2025,” he added.

He also said that the environment could affect production and distribution.

“If these disorders persist, we may require us to adjust our current sources practices, which may affect the costs of our products, and if they are not reduced, it can have a negative negative impact on our business and the results of operations.”

“Given that the situation is liquid and unprecedented, the (tariff) effects are unconfirmed,” said the financial director of the Horg in a post -profit call.

“Levi STraos’s unlawful expectations show the absolute impossibility of planning forward, because the uncertainty surrounding Trump’s movements is a tariff that paralyzes brands,” said Rachel Wolf, an analyst at Emarkter.

As part of her plan to simplify the operations, Levy said last October that she was exploring the sale of Dockers, which witnessed a struggle for demand.

The company expects a decrease in net financial revenues 2025 in the range of 1 % and 2 % and modified profits from $ 1.20 to $ 1.25 per share.

On an average basis, he got a profit of 38 cents per share per quarter, compared to 28 cents estimates.

(Participated in the reports of Savita MIRISA in Bangaluru and Nouga Metri Spices; Liberation by Alan Baruna and Christopher Kushing)