Levi Strauss reports Q1 gross margin 58.2% vs. 55.8% last year

The company states: “Gross margin was up 240 basis points to 58.2% from 55.8% in Q1 2023 primarily due to lower product costs and favorable mix shift.” CFO Harmit Singh noted: “The structural economics of our business improved in Q1 driven by significant gross margin expansion, disciplined expense controls and efficient working capital management. Our global productivity initiative, Project Fuel, is progressing well and improving the profitability of the company. Looking forward, we are encouraged by trends in our business, around the world, including in Europe. As a result, we are confident in our ability to return the topline to mid-single-digit growth in the second half of this year and are increasing our full year EPS expectations.”