With Denim Trends In Its Favor, Levi’s Shrugs Off The Price Of Cotton
Levi’s uses two pounds of cotton in every pair of pants it makes, but executives shrugged off concerns about rising cotton prices, telling analysts Wednesday that they bought plenty ahead and have pricing power to make up for any future cost concerns. Their remarks came as they reported that Q3 net revenue rose 41% year over year and 3% from 2019 to $1.5 billion. Net revenue through all digital channels rose 10% year over year and 76% from 2019; direct-to-consumer net revenue rose 34% year over year and 4% from 2019, per a company press release. Diversified manufacturing helped keep the revenue hit from added supply chain costs below $10 million, executives also said. Net income soared 616% year over year to $193.3 million. Read more at Retail Dive.