Levi Strauss Warns of Delay in Achieving $10 Billion Revenue Target, Reports FT By Reuters

Levi Strauss is facing challenges in achieving its revenue target of $9 billion to $10 billion by 2027, primarily due to the impact of rising living costs on Western consumers, according to a report by the Financial Times. The company originally announced these goals in 2022.

As of November 26, 2023, Levi Strauss, which operates over 1,200 stores in 38 countries, reported net revenues of $6.2 billion, nearly unchanged from the previous year. CEO Michelle Gass indicated that the company would reassess its strategy and timeline for these revenue goals before providing more specific updates to investors.

Additionally, a company executive previously mentioned plans to open 100 new stores globally in 2024. Harmit Singh, the company’s finance and growth chief, suggested that achieving the revenue targets might take an additional couple of years.

While the company’s target customers—those earning more than $100,000 annually—are better positioned than they were earlier this year, many cost-conscious shoppers still face financial pressure. To attract more female customers, who represent about a third of its customer base, CEO Gass plans to increase the availability of dresses and skirts.