Levi Strauss raises full-year sales and earnings outlook after beating second-quarter estimates

Levi Strauss reported second-quarter revenue of $1.56 billion and adjusted earnings of 28 cents per share, both above analyst expectations of $1.52 billion and 24 cents. The company raised its full-year sales growth forecast to a range of 7 percent to 7.5 percent from the prior range of 5.5 percent to 6.5 percent.

It also lifted its adjusted earnings per share guidance to $1.46 to $1.52 from the earlier range of $1.42 to $1.48.

Second-quarter results Reported net income reached $87.3 million, or 22 cents per share, compared with $67 million, or 17 cents per share, a year earlier. Sales increased about 8 percent from $1.45 billion in the same quarter last year. About half of the expected full-year sales growth is projected to come from higher prices and half from increased unit volume, according to the company's finance chief.

Share reaction and outlook Shares fell more than 5 percent in extended trading after the results. The company also increased its dividend. The company said demand remains healthy across its core Levi's brand, Signature line, and new premium Blue Tab products.