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Levi's sees growth

FashionUnited| Wednesday, 11 April 2007

California denim giant Levi's has been suffering declines in its global retail business, despite otherwise notable earnings and sales gains for the three months ended Feb. 25. "We had another good quarter for the company and we're off to a good start for 2007," said John Anderson, president and chief executive officer, "However, we still have some underperforming businesses and we're working to correct those issues," as was reported in WWD. Earnings for the quarter jumped 61 percent to .6 million from .8 million. Total revenues rose 7.2 percent to .04 billion from 7.6 million. Sales rose 7.2 percent to .01 billion from 7.9 million, with the Levi's brand accounting for 73 percent of sales.

Levi's stated the quarter sales as "solid," citing increases in North America, Europe and the Asia Pacific region. The company's highest turnover, North America, was the only legitimate standout, with profit rising 6.9 percent to 4 million from 6.4 million. Results in Europe suggested the company had turned a corner after static growth. European profit rose 10.3 percent to 5.6 million from 0.9 million. In January, Levi's appointed Armin Broger as president of the European business, and Anderson expects his background with brands such as Seven For All Mankind, Tommy Hilfiger and Diesel, to pay off in short order.






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