Levi Strauss reported strong fiscal second-quarter earnings with revenue of $1.45 billion, a 6% increase year-over-year, and adjusted earnings per share of $0.22, surpassing analyst estimates. The company expanded its gross margin by 140 basis points to a record 62.6%, driven by lower product costs despite facing tariffs. Levi Strauss raised its full-year 2025 revenue outlook, expecting net revenue growth of 1% to 2%, an improvement from prior guidance of a 1% to 2% decline. The company also increased its fiscal 2025 adjusted EPS guidance to a range of $1.25 to $1.30 and boosted its third-quarter dividend to $0.14 per share. The outlook assumes continued U.S. tariffs of 30% on imports from China and tariffs ranging from 25% to 50% on products sourced from countries such as Pakistan, Bangladesh, and Indonesia. CEO Michelle Gass highlighted that strong international sales helped mitigate the impact of tariffs. Following the earnings release and raised guidance, Levi Strauss shares rose by over 8%, with analysts raising price targets on the stock.