© Reuters
By Yasin Ebrahim
Invesitng.com – Levi Strauss (NYSE:) reported Wednesday first quarter results that topped Wall Street estimates as higher demand offset the impact of the supply chain disruptions.
Levi Strauss rose 0.5% in afterhours trading following the report.
Levi fiscal Q1 EPS of 46 cents, up from 34 cents a year earlier, as revenue rose to $1.59 billion from $1.31 billion a year earlier. That topped Wall Street forecasts for EPS of 42 cents and revenue of $1.55 billion.
The beat on the top and bottom lines come even as the company flagged supply-chain woes that led to $60 million in loss sales.
But the company said it was building up inventory to offset the supply chain risks and meet demand.
“Total inventories increased 20% compared to the end of the corresponding prior-year period as the company builds core inventory through the first half of the year to mitigate supply chain risk and capture consumer demand,” Levi said.
Looking ahead, the company maintained its guidance for full-year fiscal 2022 EPS in a range of $1.50 to $1.56 on revenue of $6.4 billion to $6.5 billion.
