Levi's Continues to Rev Up Engine
Levi Strauss & Co. has once again proved its mettle as a powerhouse in the apparel industry, delivering an impressive performance in the second quarter of fiscal 2026.
The company's Q2 earnings conference call revealed that organic net revenues jumped by a staggering 6%, with international markets leading the charge, particularly Asia, which saw a 12% increase. The U.S. market also performed well, with a 6% growth rate.
Michelle Gass, President and CEO of Levi's, emphasized the company's commitment to being brand-led, powered by its best-in-class global marketing team that effectively positions Levi's at the center of culture worldwide. One notable example is the Behind Every Original campaign, which has been gaining momentum since its successful launch at the Super Bowl earlier this year.
With a dynamic mix of cultural voices across music, sport, and fashion, including Doechii, Questlove, and basketball superstar SGA, the campaign demonstrates Levi's ability to stay relevant and fresh. Furthermore, the company has expanded the talent roster to include top local talent across key markets, such as Mexican pop star and actress Belinda and leading Bollywood actress Alia Bhatt.
The company's focus on direct-to-consumer business continues to yield impressive results, with revenue up 8% and comparable sales increasing by 6% in Q2. This marks the 17th consecutive quarter of comp growth for Levi's, underscoring its success as a D2C-first lifestyle company.
Levi's evolution into a denim lifestyle brand has enabled it to drive outsized performance in women's, with an 11% increase in the quarter. The company has further extended its leading market share position in both men's and women's, demonstrating the strength of its brand, impactful marketing, and steady pipeline of product innovation.
The strong top-line momentum translated into robust bottom-line delivery, with margin expansion and strong earnings growth. As a result, Levi's is raising its full-year sales and EPS guidance, highlighting the company's confidence in its strategies and future prospects.
