| Metric | Value ($ M) | Q2 FY26 | Q3 FY25 |
|---|---|---|---|
| Revenue | 1.6K | 7.6% | 11.3% |
| Total Income | 1.6K | 7.6% | 11.3% |
| Expenditure | 1.4K | 10.1% | 3.7% |
| PBT | 220.10 | 3.5% | 114.7% |
| Net Profit | 168.60 | 4.1% | 151.6% |
| OPM | 13.81% | 2.41pp | 6.34pp |
| NPM | 10.47% | 0.38pp | 5.84pp |
| EPS | 0.44 | 2.2% | 158.8% |
Levi Strauss & Co. Reports Q3 2026 Results: Net Revenues Up 4%, Raises Full Year Outlook
08 Oct 2026 · 8 Oct, 1:47 am
Summary
Levi Strauss & Co. announced strong third-quarter results, with net revenues growing 4% year-over-year to $1.6 billion, driven by a 5% organic increase and robust performance in international and wholesale segments. The company achieved a significant improvement in operating margin to 13.8% and raised its full-year 2026 outlook for profit and adjusted diluted EPS, now projecting $1.54 to $1.56. Management expressed confidence in their strategies, highlighting the diversified portfolio and momentum across lifestyle categories, while addressing a shortfall in direct-to-consumer business and anticipating mid-single-digit DTC growth in the fourth quarter.
Key Highlights
- 1
Levi Strauss & Co. reported third-quarter net revenues of $1.6 billion, an increase of 4% on a reported basis and 5% on an organic basis compared to Q3 2025.
- 2
Operating margin for the third quarter was 13.8%, a significant improvement from 10.8% in Q3 2025, driven in part by tariff refunds.
- 3
Adjusted diluted earnings per share (EPS) for the third quarter was $0.48, up from $0.34 in the prior year's quarter.
- 4
The company raised its full-year 2026 outlook for both profit guidance and adjusted diluted EPS, now expecting $1.54 to $1.56.
- 5
Net revenues in Asia increased by 5% on a reported basis and 10% on an organic basis, while Beyond Yoga® saw a 9% increase.
- 6
Wholesale net revenues increased by 6% on a reported and organic basis, with strong performance in Europe and Asia.
- 7
The company declared a dividend of $0.16 per share, a 14% increase over the prior year, and plans to initiate a $100 million accelerated share repurchase program.
Management Comments
Michelle Gass
Our third-quarter performance highlighted the power of our diversified portfolio and reinforced our confidence that we have the right strategies in place. We saw strong growth in our international and wholesale businesses, and continued momentum across our lifestyle categories. While our direct-to-consumer business fell short of our internal expectations, we moved quickly to address the shortfall and are encouraged by the strength we are seeing heading into the holiday season, including in the U.S. Based on the acceleration in recent trends, our DTC business is on track to deliver mid-single-digit growth in the fourth quarter.
Harmit Singh
We delivered another quarter of mid-single-digit revenue growth while navigating a dynamic operating environment. We made the decision to redeploy a majority of our tariff refund benefit back into the business during Q3 and Q4 to support future growth. Reflecting confidence in our outlook, we are raising our full-year profit guidance and plan to initiate a $100 million accelerated share repurchase program.
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