Companies /Consumer Cyclical
Levi Strauss & Co. Cls A
NYSE: LEVI Apparel Manufacturing
$19.05
▼ $0.46 (−2.36%) today
Markets closed · 12:55am ET

Levi Strauss (LEVI) Q3 2026 Earnings

Reported Oct 7, 2026, 4:12pm ET · SEC source
$0.48
Beat +33.97%
EPS · est. $0.36 Adjusted

Includes $79 million IEEPA tariff refund benefit in cost of goods sold and $5 million in interest income, partially offset by approximately $25 million redeployed into promotional and marketing expenditures. Also includes $7.6 million restructuring charges and $18.8 million restructuring-related charges excluded from adjusted EPS.

$1.6B
Miss −0.43%
Revenue · est. $1.6B
6 quarters
Consecutive EPS beats

How Did LEVI Stock React to Q3 2026 Earnings?

% change · around the report
−9%−6%−3%0Oct 7Oct 8report 4:12pm ETearnings−0.4%−7.7%
−9%−6%−3%0Oct 7Oct 8earnings−0.4%−7.7%
LEVI −7.7%S&P 500 −0.4%
−9%−6%−3%0Oct 7Oct 8report 4:12pm ETearnings−1.3%−7.7%
−9%−6%−3%0Oct 7Oct 8earnings−1.3%−7.7%
LEVI −7.7%NASDAQ −1.3%
−3%0+3%+6%Oct 6Oct 8report 4:12pm ETearnings−0.3%−1.1%
−3%0+3%+6%Oct 6Oct 8earnings−0.3%−1.1%
LEVI −1.1%S&P 500 −0.3%
−3%0+3%+6%Oct 6Oct 8report 4:12pm ETearnings−1.3%−1.1%
−3%0+3%+6%Oct 6Oct 8earnings−1.3%−1.1%
LEVI −1.1%NASDAQ −1.3%
−2.36%
Day of report

Did LEVI Beat Earnings? Q3 2026 Results

Yes. Levi Strauss reported Q3 2026 earnings of $0.48 a share on Oct 7, 2026, beating the $0.36 consensus estimate by 34.0%. Revenue was $1.6B against a $1.6B estimate.

Levi Strauss & Co. posted a strong earnings beat in Q3 2026, extending its run of beating consensus EPS estimates to five consecutive quarters as a $79 million IEEPA tariff refund proved to be the quarter's defining catalyst. Adjusted diluted EPS came in at $0.48, clearing the $0.36 consensus estimate by 33.97%, while net revenues of $1.61 billion rose 4.3% year over year but edged just below the $1.62 billion consensus by 0.43%. The tariff refunds drove gross margin to 66.2%, a 450 basis point expansion, though management chose to redeploy roughly $25 million of those gains into promotional and marketing spending rather than let them fall entirely to the bottom line. Asia led geographic growth with 10% organic gains, while e-commerce climbed 10% and wholesale grew 6%. Encouraged by the margin momentum, the company raised its full-year adjusted diluted EPS guidance to $1.54 to $1.56 and now expects gross margin to expand up to 130 basis points versus the prior year, with an additional $100 million accelerated share repurchase program planned.

Key Takeaways
  • IEEPA tariff refunds contributing 490 basis points of gross margin expansion
  • Strong international growth, particularly in Asia (10% organic growth)
  • Wholesale channel growth of 6% across all segments
  • E-commerce growth of 10%
  • Lifestyle categories continued momentum
  • Beyond Yoga brand growth of 9%
  • Levi Strauss Signature growth of 12.2%

“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.”

Levi Strauss CEO, on the earnings call

What Is Levi Strauss's Outlook?

The company raised its full-year fiscal 2026 guidance. Reported net revenues growth is expected at approximately 7.0% (previously 7.0% to 7.5%), with organic net revenues growth of approximately 6.0% (up from 5.5% to 6.0%). Gross margin is expected to expand up to 130 basis points versus prior year (raised from up 10 basis points). Adjusted EBIT margin is expected to expand to approximately 12.1%, up 70 basis points versus prior year (raised from up 60 basis points). Adjusted diluted EPS guidance was raised to $1.54 to $1.56 (from $1.46 to $1.52), including an approximate $0.04 headwind from a higher tax rate. The effective tax rate is expected at approximately 23%. Guidance assumes current tariff rates remain in effect and includes approximately $60 million of IEEPA tariff refund redeployment for the full year, with approximately $35 million in Q4. The company plans to initiate a $100 million accelerated share repurchase program. The outlook assumes no significant worsening of macroeconomic pressures, supply chain disruptions, or currency fluctuations.

LEVI YoY Financials

Q3 2026 vs Q3 2025 · SEC filings Q3 2025 Q3 2026
$0$500.0M$1.0B$1.5B$1.5B$1.6BRevenue$951.6M$1.1BGross Profit$167.4M$222.3MOperating Income$218.1M$168.6MNet Income
$0$500.0M$1.0B$1.5BRevenueGross ProfitOperating IncomeNet Income
LEVI income statement, Q3 2026 versus Q3 2025
Metric Q3 2026 Q3 2025 Year over year
Revenue $1.6B $1.5B +4.3%
Gross Profit $1.1B $951.6M +12.0%
Operating Income $222.3M $167.4M +32.8%
Net Income $168.6M $218.1M −22.7%

LEVI Revenue by Segment

Levi's$1.5B+3.9%
Direct-to-Consumer$727.4M+2.3%
Wholesale$882.3M+6.0%
Levi Strauss Signature$66.9M+12.2%
Beyond Yoga$36.0M+9.1%

LEVI Revenue by Geography

Americas$838.8M+4.0%
Europe$442.1M+3.7%
Asia$292.8M+5.4%

Figures from SEC filings and company reports. Not investment advice.