By Sabrina Escobar

Levi Strauss stock gained ground Monday after the jeans maker beat earnings expectations and maintained its financial forecasts for the full year, excluding the effects of President Donald Trump's sweeping new tariffs.

Levi's results for its fiscal first quarter, ended March 2, were strong. The company reported adjusted earnings of 38 cents a share, topping estimates for 28 cents a share, according to FactSet.

Sales rose 3% year over year to $1.53 billion, slightly lower than expectations for $1.54 billion. The results exclude approximately $67 million of revenue related to the now-discontinued Dockers business, Levi's said.

But more important for investors, the company reiterated its earnings and revenue guidance for the 2025 fiscal year, excluding the impact of the new tariffs. Shares of Levi's were 3.1% higher at $13.92 in after-hour trading.

Levi's continues to expect earnings per share of between $1.20 to $1.25. Analysts were forecasting $1.22 a share.

Revenue will be between 1% and 2% lower than in 2024, in line with the company's past projections and analysts' expectations for a 1.2% decline.

"We are maintaining our 2025 top- and bottom-line guidance, which excludes any impact from the recent tariff announcements, and we anticipate minimal impact to our Q2 margin outlook," said Harmit Singh, Levi's chief financial and growth officer.

The outlook also assumes "no significant worsening" of economic pressure on consumers, higher inflation, a potential recession, supply chain disruptions, or retaliatory actions taken in response to the tariffs.

Write to Sabrina Escobar at sabrina.escobar@barrons.com

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April 07, 2025 16:54 ET (20:54 GMT)

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