On this page of StockholderLetter.com we present the latest annual shareholder letter from LEVI STRAUSS & CO — ticker symbol LEVI. Reading current and past LEVI letters to shareholders can bring important insights into the investment thesis.


TO OUR SHAREHOLDERS, Over the past few years, we have been rewiring our company to unlock the full potential of the Levi s brand. We have taken bold, deliberate steps to accelerate our evolution into a direct-toconsumer (DTC) first, head-to-toe denim lifestyle company, and 2025 marked a defining year. We entered the year with a clear strategy and bold ambitions and we delivered. By narrowing our focus and concentrating our resources behind our highest-return growth opportunities, we improved productivity, reduced complexity and sharpened our execution across the organization. At the same time, we advanced our core strategies: leading with our Levi s brand, furthering our DTC-first approach and powering our global portfolio. The momentum was evident across our business, and the financial impact was tangible. In 2025, we delivered four consecutive quarters of high-single-digit organic revenue growth, culminating in full-year organic growth of 7%. And while we drove significant topline growth, we also increased gross margin, up 110 basis points to a new record of 61.7%. The structural shift to more DTC, lower product costs and higher fullprice selling remain the most meaningful contributors to our gross margin expansion. This margin upside, along with the team s disciplined execution, enabled us to increase Adjusted EBIT margin by 70 basis points to 11.4% for the year, and grow Adjusted diluted EPS by 8%. We achieved these results in a highly complex environment navigating a shifting macro backdrop, managing tariff cost pressures and addressing transitory disruptions as we upgrade our U.S. distribution and logistics network to a modern hybrid model. Across all fronts, our teams responded with focus and resilience, strengthening our operations and sharpening our execution, ultimately ensuring we continue to deliver for our fans. Through this work, we are better positioned today to achieve strong, sustained performance in the years ahead. Our performance in 2025 demonstrated what is possible when strategy, execution and brand strength are aligned. Michelle Gass President and CEO
PROGRESS ON KEY STRATEGIES Brand-Led The Levi s brand is the foundation of our success, growing 7% for the year and reinforcing our position as the world s No. 1 denim brand. We are winning with men, women and youth, and our brand equity increased and remained the strongest in the category. We continued to drive denim innovation through new fits and fabrics honoring our denim heritage while adding freshness across the assortment. And our diversified fit portfolio ensures we have the perfect pair of jeans for everyone and for every occasion. We also made significant progress in our evolution into a true denim lifestyle brand, substantially expanding our total addressable market. Non denim accounted for roughly 40% of our business this year, reflecting growth across tops and non denim bottoms like chinos and our tech-performance collection. Our tops business accelerated in 2025, up double digits for the year, as our elevated collection of wovens, sweaters and outerwear are resonating with our fans. We successfully launched the global rollout of our Blue TabTM collection, which represents the most premium expression of our brand and allows us to own the denim luxury category. While we are still in the early stages, the strong consumer response to this collection gives us conviction in the opportunity in the premium segment of the denim market, which is sizeable and largely underpenetrated by the Levi s brand. Even at its significant scale, our men s business grew 5% for the year, reinforcing our ongoing strength and demand from our fans. At the same time, women s remained a powerful growth engine for the company, increasing 11% in 2025. Our strategic priority to win with her is resonating our women s business is now nearing 40% of total company organic net revenue, a meaningful increase from several years ago. The women s business carries higher gross margins and remains underpenetrated by the Levi s brand, making it a central pillar of our long-term revenue and margin expansion aspirations. Throughout the year, we continued to fuel brand momentum, ensuring we kept Levi s at the center of culture. From our REIIMAGINE campaign with Beyonc to our campaign starring Shaboozey, we drove meaningful engagement and demand across markets and generations. In 2025, we launched several unique and highly coveted product collaborations with brands like Nike, Barbour, Kiko and sacai, which drove powerful brand heat and introduced Levi s to new consumers. Today, the Levi s brand is stronger and more culturally resonant than ever.
DTC-First Our direct-to-consumer transformation continued to deliver both growth and margin expansion, and the channel now represents nearly half of our total organic net revenues. The business delivered another year of strong performance, with double-digit growth and 15 consecutive quarters of positive comparable sales through the fourth quarter of 2025. Over the past year, we ve refined our retail operations, improving the consumer experience and store productivity. We ve enhanced our in-store lifestyle merchandising to better highlight our broader assortment of head-to-toe denim lifestyle looks and spotlight our women s offering. Our efforts to accelerate our e-commerce business are working, with the channel growing 17% for the year. Over the last couple of years, the team has been focused on creating a much more premium and engaging digital destination to give consumers the full Levi s experience. Today, comprising just 11% of total company organic net revenues, we believe that e-commerce represents another significant engine for growth. And as an AI frontier firm, we are deploying and scaling AI solutions across the business from enhancing search and recommendations to powering more personalized, predictive experiences for our millions of fans. These advancements drove higher engagement and conversion online, and we see even greater opportunity ahead as we further integrate AI driven tools into the company and the consumer journey. While DTC continues to drive outsized growth, our wholesale business remains an important channel for us to amplify the brand and reach consumers wherever they choose to shop. This channel delivered steady, healthy performance up 4% for the year driven by our broadened denim lifestyle assortment and new distribution wins. Power the Portfolio We saw broad-based growth across the globe. Our largest market, the U.S., was up 5% in 2025, fueled by growth across channels. And our international business grew 9% for the year and now represents close to 60% of total organic net revenues. For the year, Europe delivered meaningful performance, reflecting strength across key markets, including the U.K. and Germany. Latin America continued to gain momentum, with broad-based growth across markets. And Asia, our fastest growing region, saw particularly strong performance in our largest markets India and Japan. Additionally, Beyond Yoga gained solid traction in 2025, growing 17% for the year. Momentum was driven by its DTC channel, expanded product offerings and positive response to the Seek Beyond campaign positioning the brand well within the active lifestyle category. And the team opened additional stores throughout the year, including new locations in Boston, Chicago, Houston and Northern California and bringing our total Beyond Yoga store count to 14. THROUGHOUT THE YEAR, WE CONTINUED TO FUEL BRAND MOMENTUM, ENSURING WE KEPT LEVI S AT THE CENTER OF CULTURE.
 • shareholder letter icon 3/11/2026 Letter Continued (Full PDF)
 • stockholder letter icon 3/7/2023 LEVI Stockholder Letter
 • stockholder letter icon 3/14/2024 LEVI Stockholder Letter
 • stockholder letter icon 3/12/2025 LEVI Stockholder Letter
 • stockholder letter icon More "Textiles & Apparel" Category Stockholder Letters
 • Benford's Law Stocks icon LEVI Benford's Law Stock Score = 93


LEVI Shareholder/Stockholder Letter Transcript:



TO OUR
SHAREHOLDERS,
Over the past few years, we have been rewiring our company
to unlock the full potential of the Levi   s   brand. We have taken
bold, deliberate steps to accelerate our evolution into a direct-toconsumer (DTC) first, head-to-toe denim lifestyle company, and 2025
marked a defining year.
We entered the year with a clear strategy and bold ambitions
    and we delivered. By narrowing our focus and concentrating
our resources behind our highest-return growth opportunities, we
improved productivity, reduced complexity and sharpened our
execution across the organization.
At the same time, we advanced our core strategies: leading with our
Levi   s   brand, furthering our DTC-first approach and powering our
global portfolio. The momentum was evident across our business,
and the financial impact was tangible. In 2025, we delivered four
consecutive quarters of high-single-digit organic revenue growth,
culminating in full-year organic growth of 7%.
And while we drove significant topline growth, we also increased
gross margin, up 110 basis points to a new record of 61.7%. The
structural shift to more DTC, lower product costs and higher fullprice selling remain the most meaningful contributors to our gross
margin expansion. This margin upside, along with the team   s
disciplined execution, enabled us to increase Adjusted EBIT margin
by 70 basis points to 11.4% for the year, and grow Adjusted diluted
EPS by 8%.
We achieved these results in a highly complex environment
    navigating a shifting macro backdrop, managing tariff cost
pressures and addressing transitory disruptions as we upgrade our
U.S. distribution and logistics network to a modern hybrid model.
Across all fronts, our teams responded with focus and resilience,
strengthening our operations and sharpening our execution,
ultimately ensuring we continue to deliver for our fans. Through this
work, we are better positioned today to achieve strong, sustained
performance in the years ahead.
Our performance in 2025 demonstrated what is possible when
strategy, execution and brand strength are aligned.
Michelle Gass
President and CEO

PROGRESS ON KEY STRATEGIES
Brand-Led
The Levi   s   brand is the foundation of our success, growing 7% for the
year and reinforcing our position as the world   s No. 1 denim brand.
We are winning with men, women and youth, and our brand equity
increased and remained the strongest in the category. We continued
to drive denim innovation through new fits and fabrics     honoring our
denim heritage while adding freshness across the assortment. And
our diversified fit portfolio ensures we have the perfect pair of jeans
for everyone and for every occasion.
We also made significant progress in our evolution into a true denim
lifestyle brand, substantially expanding our total addressable market.
Non   denim accounted for roughly 40% of our business this year,
reflecting growth across tops and non   denim bottoms like chinos
and our tech-performance collection. Our tops business accelerated
in 2025, up double digits for the year, as our elevated collection of
wovens, sweaters and outerwear are resonating with our fans.
We successfully launched the global rollout of our Blue TabTM
collection, which represents the most premium expression of our
brand and allows us to own the denim luxury category. While we are
still in the early stages, the strong consumer response to this collection
gives us conviction in the opportunity in the premium segment of the
denim market, which is sizeable and largely underpenetrated by the
Levi   s   brand.
Even at its significant scale, our men   s business grew 5% for the year,
reinforcing our ongoing strength and demand from our fans. At the
same time, women   s remained a powerful growth engine for the
company, increasing 11% in 2025. Our strategic priority to    win with
her    is resonating     our women   s business is now nearing 40% of total
company organic net revenue, a meaningful increase from several
years ago. The women   s business carries higher gross margins and
remains underpenetrated by the Levi   s   brand, making it a central
pillar of our long-term revenue and margin expansion aspirations.
Throughout the year, we continued to fuel brand momentum,
ensuring we kept Levi   s   at the center of culture. From our
REIIMAGINE campaign with Beyonc   to our campaign starring
Shaboozey, we drove meaningful engagement and demand across
markets and generations. In 2025, we launched several unique and
highly coveted product collaborations with brands like Nike, Barbour,
Kiko and sacai, which drove powerful brand heat and introduced
Levi   s   to new consumers.
Today, the Levi   s   brand is stronger and more culturally resonant
than ever.

DTC-First
Our direct-to-consumer transformation continued to deliver both
growth and margin expansion, and the channel now represents
nearly half of our total organic net revenues. The business delivered
another year of strong performance, with double-digit growth
and 15 consecutive quarters of positive comparable sales through
the fourth quarter of 2025. Over the past year, we   ve refined our
retail operations, improving the consumer experience and store
productivity. We   ve enhanced our in-store lifestyle merchandising
to better highlight our broader assortment of head-to-toe denim
lifestyle looks and spotlight our women   s offering.
Our efforts to accelerate our e-commerce business are working,
with the channel growing 17% for the year. Over the last couple
of years, the team has been focused on creating a much more
premium and engaging digital destination to give consumers the
full Levi   s   experience. Today, comprising just 11% of total company
organic net revenues, we believe that e-commerce represents
another significant engine for growth.
And as an AI frontier firm, we are deploying and scaling AI solutions
across the business     from enhancing search and recommendations
to powering more personalized, predictive experiences for our
millions of fans. These advancements drove higher engagement
and conversion online, and we see even greater opportunity ahead
as we further integrate AI   driven tools into the company and the
consumer journey.
While DTC continues to drive outsized growth, our wholesale business
remains an important channel for us to amplify the brand and reach
consumers wherever they choose to shop. This channel delivered
steady, healthy performance     up 4% for the year     driven by our
broadened denim lifestyle assortment and new distribution wins.
Power the Portfolio
We saw broad-based growth across the globe. Our largest market,
the U.S., was up 5% in 2025, fueled by growth across channels. And
our international business grew 9% for the year and now represents
close to 60% of total organic net revenues.
For the year, Europe delivered meaningful performance, reflecting
strength across key markets, including the U.K. and Germany. Latin
America continued to gain momentum, with broad-based growth
across markets. And Asia, our fastest growing region, saw particularly
strong performance in our largest markets     India and Japan.
Additionally, Beyond Yoga   gained solid traction in 2025, growing 17%
for the year. Momentum was driven by its DTC channel, expanded
product offerings and positive response to the Seek Beyond
campaign     positioning the brand well within the active lifestyle
category. And the team opened additional stores throughout the year,
including new locations in Boston, Chicago, Houston and Northern
California and bringing our total Beyond Yoga   store count to 14.
THROUGHOUT
THE YEAR, WE
CONTINUED
TO FUEL BRAND
MOMENTUM,
ENSURING WE
KEPT LEVI   S  
AT THE CENTER
OF CULTURE.


shareholder letter icon 3/11/2026 Letter Continued (Full PDF)
 

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