US-based denim retailer Levi Strauss has announced its financial results for full-year and fourth quarter ended on November 27, 2016.
The retailer’s net revenue zoomed 1 per cent on a reported basis in the fourth quarter. For the full-year 2016 also the net revenue increased by 1 per cent and grew three per cent excluding US $ 77 million in unfavourable currency translation.
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On a constant-currency basis, direct-to-consumer sales surged 11 per cent for the fourth quarter and 12 per cent for the full-year, reflecting performance and expansion of the retail network and ecommerce across all regions; wholesale revenues dropped 1 per cent for the fourth quarter and was flat for complete 2016. Net income in the fourth quarter dropped 5 per cent. Full-year net income however grew 40 per cent to around US $ 29.12 million as compared to US $ 20.98 million.
Gross profit in the fourth quarter stood at US $ 659 million compared to US $ 658 million in the same quarter of 2015. Operating income of US $ 143 million in the fourth quarter fell from US $ 161 million in the same quarter of 2015. Gross profit for the fiscal year grew to US $ 2,329 million compared with US $ 2,269 million in 2015.
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Chip Bergh, President and Chief Executive Officer, Levi Strauss said in a statement, “We are pleased to report our fourth consecutive year of profitable constant currency revenue growth behind the strength of the Levi’s brand and our global direct-to-consumer business Looking ahead, although it remains a very challenging environment, given our diversified portfolio, we remain optimistic about our long-term prospects for growth.”
