Oct 11 Levi Strauss & Co posted a
bigger quarterly profit as demand in growing markets like India
and China grew, offsetting the effects of rising costs of cotton
and discounts on its flagship brands.
For the third quarter, the company earned $32 million,
compared with $28 million last year. Revenue grew 9 percent to
$1.20 billion, led by a 20 percent rise in the Asia-Pacific
Revenue growth in Asia Pacific was primarily driven by the
Levi's brand and expansion of the company's retail network in
China and India, which offset a decline in Japan, the company
In the Americas region, where Levi Strauss gets half its
business, revenue rose 7 percent.
However, gross margins slipped to 47 percent from 49 last
"In the third quarter, we saw continued revenue growth from
the Levi's brand in markets around the world, but increased
cotton costs continued to put pressure on the margins of all our
products," Blake Jorgensen, chief financial officer, said.
Levi Strauss is a private company, but reports quarterly
results because it has publicly held debt. The company reported
net debt of $1.75 billion, compared with $1.6 billion at the end