Levi Strauss & Co. (LEVI) Q3 FY2026 earnings

Reported results

• Net revenues $1,609.7 million, up 4% reported basis and 5% organic basis versus Q3 2025
• Operating margin 13.8% (GAAP) versus 10.8% in Q3 2025; Adjusted EBIT margin 15.5% (non-GAAP) versus 11.8% in Q3 2025
• Diluted earnings per share from continuing operations $0.43 (GAAP) versus $0.31 in Q3 2025; Adjusted diluted EPS $0.48 (non-GAAP) versus $0.34 in Q3 2025
• DTC net revenues increased 2% reported and organic basis; e-commerce grew 10% reported and organic basis; DTC comprised 45% of total net revenues
• Gross margin expanded 450 basis points to 66.2% (GAAP) compared to 61.7% in Q3 2025; impact of tariff refunds contributed 490 basis points of expansion
• Adjusted SG&A $817 million (non-GAAP), up 6.2% versus $769 million in Q3 2025

Guidance

• Full year 2026 reported net revenues growth approximately 7.0%, due to impact of foreign exchange (raised from 7.0% to 7.5%)
• Full year 2026 organic net revenues growth approximately 6.0% (raised from 5.5% to 6.0%)
• Full year 2026 gross margin raised to up 130 basis points to prior year (raised from up 10 basis points to prior year)
• Full year 2026 Adjusted EBIT margin (non-GAAP) expanding to approximately 12.1%, up 70 basis points to prior year (raised from expanding to 12%, up 60 basis points to prior year)
• Full year 2026 tax rate approximately 23%, 2 points higher than prior year
• Full year 2026 Adjusted diluted EPS (non-GAAP) raised to $1.54 to $1.56 (raised from $1.46 to $1.52)

Notes

Guidance based on continuing operations, excluding Dockers business reported in discontinued operations. Guidance includes impact of IEEPA tariff refunds of which the company is redeploying approximately $60 million for full year. The company intends to enter into an ASR agreement to repurchase $100 million of Class A common stock. Declared dividend of $0.16 per share, a 14% increase over prior year.

Price and volatility reaction

The stock moved -4.3% on the print. No front-expiry chain was on file, so there is no straddle expected move. 30-day ATM implied volatility moved -17.3 vol points across the event (constant-maturity series — not the front-week crush).

Source

The figures above come from the earnings release the company filed with the SEC on 2026-10-07 (8-K, Item 2.02). Read the original filing on sec.gov.