UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

Form 10-Q

(Mark One)


☑						QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended ~~August~~March 311, ~~2025~~2026


☐						TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number: 001-06631

_________________

LEVI STRAUSS & CO.

(Exact Name of Registrant as Specified in Its Charter)


Delaware						94-0905160
(State or Other Jurisdiction of Incorporation or Organization)						(I.R.S. Employer Identification No.)

1155 Battery Street, San Francisco, California 94111

(Address of Principal Executive Offices) (Zip Code)

(415) 501-6000

(Registrant’s Telephone Number, Including Area Code)

None

(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report)

_________________

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:

Title of each class

Trading symbol(s)

Name of each exchange on which registered

Class A Common Stock, $0.001 par value per share

LEVI

New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes þ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definition of "Large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):


Large accelerated filer þ	Accelerated filer ¨	Emerging growth company ☐
Non-accelerated filer ¨		Smaller reporting company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ¨ No þ

As of ~~October~~March 231, ~~2025~~2026, the registrant had ~~103~~98,~~091~~176,~~513~~901 shares of Class A common stock, $0.001 par value per share and ~~287~~286,~~738~~419,~~043~~350 shares of Class B common stock, $0.001 par value per share, outstanding.

Table of Contents

LEVI STRAUSS & CO. AND SUBSIDIARIES

INDEX TO FORM 10-Q

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

		PageNumber
PART I — FINANCIAL INFORMATION
Item 1.	Consolidated Financial Statements (unaudited):
	Consolidated Balance Sheets as of August 31, 2025 and December 1, 2024	3
	Consolidated Balance Sheets as of March 1, 2026 and November 30, 2025	3
	Consolidated Statements of Income for the Three and Nine Months Ended August 31, 2025 and August 25, 2024	4
	Consolidated Statements of Income for the Three Months Ended March 1, 2026 and March 2, 2025	4
	Consolidated Statements of Comprehensive Income (Loss) for the Three and Nine Months Ended August 31, 2025 and August 25, 2024	5
	Consolidated Statements of Comprehensive Income (Loss) for the Three Months Ended March 1, 2026 and March 2, 2025	5
	Consolidated Statements of Stockholders’ Equity for the Three and Nine Months Ended August 31, 2025 and August 25, 2024	6
	Consolidated Statements of Stockholders’ Equity for the Three Months Ended March 1, 2026 and March 2, 2025	6
	Consolidated Statements of Cash Flows for the Nine Months Ended August 31, 2025 and August 25, 2024	8
	Consolidated Statements of Cash Flows for the Three Months Ended March 1, 2026 and March 2, 2025	7
	Notes to Consolidated Financial Statements	98
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	3226
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	6355
Item 4.	Controls and Procedures	6355
PART II — OTHER INFORMATION
Item 1.	Legal Proceedings	6456
Item 1A.	Risk Factors	6456
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	6456
Item 3.	Defaults Upon Senior Securities	6456
Item 4.	Mine Safety Disclosures	6456
Item 5.	Other Information	6557
Item 6.	Exhibits	6658
SIGNATURE		6759

WHERE YOU CAN FIND MORE INFORMATION

Investors and others should note that we announce material financial information to our investors using our corporate website, press releases, SEC filings and public conference calls and webcasts (including our Investor Relations page at http://investors.levistrauss.com). We also use the following social media channels as a means of disclosing information about our company, products, planned financial and other announcements, attendance at upcoming investor and industry conferences and other matters, as well as for complying with our disclosure obligations under Regulation FD promulgated under the Securities Exchange Act of 1934, as amended.

•our X account (previously Twitter account) (https://X.com/LeviStraussCo);

•our company blog (https://www.levistrauss.com/unzipped-blog/);

•our Facebook page (https://www.facebook.com/levistraussco/);

•our LinkedIn page (https://www.linkedin.com/company/levi-strauss-&-co-);

•our Instagram page (https://www.instagram.com/levistraussco/); and

•our YouTube channel (https://www.youtube.com/user/levistraussvideo).

The information we post through these channels may be deemed material. Accordingly, investors should monitor these channels in addition to following our press releases, SEC filings and public conference calls and webcasts. This list may be updated from time to time. The information we post through these channels is not a part of this Quarterly Report.

Table of Contents

PART I — FINANCIAL INFORMATION


Item 1.			CONSOLIDATED FINANCIAL STATEMENTS

LEVI STRAUSS & CO. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

	(Unaudited)
	August 31,2025		December 1,2024
	March 1,2026		November 30,2025
	(Dollars in millions)
ASSETS
Current Assets:
Cash and cash equivalents	$	~~612~~716.86	$	~~690~~757.09
Short-term investments in marketable securities	9495.74		—90.9
Trade receivables, net	~~722~~728.9		~~710~~774.07
Inventories	1,~~286~~120.36		1,~~131~~237.37
Other current assets	~~232~~248.40		~~211~~238.75
Current assets held for sale	~~57.7~~—		~~108~~54.10
Total current assets	32,~~006~~909.85		23,~~851~~153.17
Property, plant and equipment, net	~~677~~669.41		~~687~~681.48
Goodwill	~~278~~282.84		~~277~~280.6
Other intangible assets, net	~~194~~193.76		~~196~~194.64
Deferred tax assets, net	~~808~~826.16		~~798~~830.51
Operating lease right-of-use assets, net	1,~~129~~154.74		1,~~065~~148.52
Other non-current assets	~~541~~539.82		~~463~~538.97
Non-current assets held for sale	~~19.1~~—		3421.93
Total assets	$	6,~~656~~574.48	$	6,~~375~~848.58
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities:
Accounts payable	$	~~621~~487.46	$	~~663~~597.46
Accrued salaries, wages and employee benefits	~~224~~201.5		~~234~~244.27
Accrued sales returns and allowances	~~212~~202.58		~~193~~226.41
Short-term operating lease liabilities	~~261~~266.17		~~247~~260.47
Other accrued liabilities	~~659~~686.57		~~672~~703.14
Total current liabilities	1,~~979~~845.03		2,~~010~~032.5
Long-term debt	1,~~042~~049.84		~~994~~1,039.02
Long-term operating lease liabilities	~~987.~~1,000.5		~~943~~1,005.06
Long-term employee related benefits and other liabilities	484.8		457.5
Long-term employee related benefits	241.2		252.7
Total liabilities	4,493.7		4,405.0
Other long-term liabilities	231.8		240.2
Total liabilities	4,368.2		4,570.2
Commitments and contingencies
Stockholders’ Equity:
Common stock — $0.001 par value; 1,200,000,000 Class A shares authorized, 102,602,359 shares and 103,984,741 shares issued and outstanding as of August 31, 2025 and December 1, 2024, respectively; and 422,000,000 Class B shares authorized, 288,227,197 shares and 291,411,568 shares issued and outstanding, as of August 31, 2025 and December 1, 2024, respectively	0.4		0.4
Common stock — $0.001 par value; 1,200,000,000 Class A shares authorized, 98,057,678 shares and 103,620,225 shares issued and outstanding as of March 1, 2026 and November 30, 2025, respectively; and 422,000,000 Class B shares authorized, 286,514,706 shares and 286,756,831 shares issued and outstanding, as of March 1, 2026 and November 30, 2025, respectively	0.4		0.4
Additional paid-in capital	~~761~~729.25		~~732~~788.61
Retained earnings	1,~~806~~863.4		1,~~672~~897.03
Accumulated other comprehensive loss	(~~405~~386.37)		(~~434~~407.52)
Total stockholders’ equity	2,~~162~~206.76		12,~~970~~278.56
Total liabilities and stockholders’ equity	$	6,~~656~~574.48	$	6,~~375~~848.58

The accompanying notes are an integral part of these consolidated financial statements.

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LEVI STRAUSS & CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions, except per share amounts)(Unaudited)
Net revenues	$	1,~~543~~742.45	$	1,~~443~~526.18	$	~~4,516.2~~	$	~~4,282.1~~
Cost of goods sold	~~591~~664.82		~~569~~579.2		~~1,711.2~~		~~1,706.0~~
Gross profit	~~951~~1,078.63		~~873~~947.96		~~2,805.0~~		~~2,576.1~~
Selling, general and administrative expenses	~~775~~871.67		~~726~~749.43		~~2,313.4~~		~~2,233.4~~
Restructuring charges, net	87.69		36.47		~~22.1~~		~~171.6~~
Goodwill and other intangible asset impairment charges	—		111.4		2.5		116.9
Operating income	198.7		191.6
Operating income	167.4		32.7		467.0		54.2
Interest expense	(13.1)		(10.9)
Interest expense	(12.5)		(10.1)		(35.2)		(30.4)
Other income (expense), net	42.6		(4.1)
Other income (expense), net	1.3		(0.4)		3.5		(2.3)
Income from continuing operations before income taxes	228.2		176.6
Income from continuing operations before income taxes	156.2		22.2		435.3		21.5
Income tax expense	51.1		36.4
Income tax expense (benefit)	34.2		(0.5)		93.5		(8.5)
Net income from continuing operations	177.1		140.2
Net income from continuing operations	122.0		22.7		341.8		30.0
Net income (loss) from discontinued operations, net of taxes	(1.3)		(5.2)
Net income (loss) from discontinued operations, net of taxes	96.1		(2.0)		78.3		(2.0)
Net income	$	175.8	$	135.0
Net income	$	218.1	$	20.7	$	420.1	$	28.0
Earnings (loss) per common share:
Continuing operations - Basic	$	0.3145	$	0.0635	$	~~0.87~~	$	~~0.08~~
Discontinued operations - Basic	~~0.24~~—		(0.01)		~~0.19~~		~~(0.01)~~
Net income - Basic	$	0.5545	$	0.0534	$	~~1.06~~	$	~~0.07~~
Continuing operations - Diluted	$	0.3145	$	0.0635	$	~~0.86~~	$	~~0.07~~
Discontinued operations - Diluted	~~0.24~~—		(0.01)		~~0.19~~		—
Net income - Diluted	$	0.5545	$	0.0534	$	~~1.05~~	$	~~0.07~~
Weighted-average common shares outstanding:
Basic	~~395~~389,~~659~~907,~~040~~760		~~398~~396,~~187~~576,~~049~~662		~~396,578,375~~		~~398,642,455~~
Diluted	~~399~~394,~~529~~196,~~649~~801		~~402~~400,~~398~~046,~~064~~382		~~400,401,333~~		~~402,848,679~~

The accompanying notes are an integral part of these consolidated financial statements.

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LEVI STRAUSS & CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME ~~(LOSS)~~

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)(Unaudited)
Net income	$	~~218~~175.18	$	20135.70	$	~~420.1~~	$	~~28.0~~
Other comprehensive income (loss), before related income taxes:
Pension and postretirement benefits	(1.94)		21.38		~~5.6~~		~~6.3~~
Derivative instruments gains (losses)	(26.6)		(12.7)		(91.4)		5.1
Derivative instruments (losses) gains	(16.3)		14.5
Foreign currency translation gains (losses)	2944.02		(346.38)		~~115.3~~		~~(36.1)~~
Unrealized gains (losses) on marketable securities	0.2		—		0.2		—
Total other comprehensive income, before related income taxes	26.5		9.5
Total other comprehensive income (loss), before related income taxes	4.5		(44.7)		29.7		(24.7)
Income tax expense related to items of other comprehensive income	(6.0)		(2.2)
Income tax benefit (expense) related to items of other comprehensive income	3.3		0.9		(0.5)		(2.9)
Comprehensive income, net of taxes	$	196.3	$	142.3
Comprehensive income (loss), net of taxes	$	225.9	$	(23.1)	$	449.3	$	0.4

The accompanying notes are an integral part of these consolidated financial statements.

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LEVI STRAUSS & CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

	Three Months Ended August 31, 2025
	Three Months Ended March 1, 2026
	Class A & Class B Common Stock(In Shares)	Class A & Class B Common Stock		Additional Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Stockholders’ Equity
	(Shares & Dollars in millions)(Unaudited)
Balance at June 1, 2025	395.6	$	0.4	$	762.0	$	1,740.7	$	(413.1)	$	2,090.0
Balance at November 30, 2025	390.4	$	0.4	$	788.1	$	1,897.3	$	(407.2)	$	2,278.6
Net income	—	—		—		~~218~~175.18		—		~~218~~175.18
Other comprehensive income, net of tax	—	—		—		—		720.85		720.85
Stock-based compensation and dividends, net	0.1.9	—		2315.78		~~(0.1)~~—		—		2315.68
Employee stock purchase plan	0.1	—		1.98		—		—		1.98
Accelerated share repurchase, including excise tax	(57.08)	—		(2445.01)		(96155.9)		—		(~~120~~201.90)
Tax withholdings on equity awards	—	—		(231.41)		—		—		(231.41)
Cash dividends declared ($0.14 per share)	—	—		—		(5553.48)		—		(5553.48)
Balance at August 31, 2025	390.8	$	0.4	$	761.2	$	1,806.4	$	(405.3)	$	2,162.7
Balance at March 1, 2026	384.6	$	0.4	$	729.5	$	1,863.4	$	(386.7)	$	2,206.6

	Nine Months Ended August 31, 2025
	Three Months Ended March 2, 2025
	Class A & Class B Common Stock(In Shares)	Class A & Class B Common Stock		Additional Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Stockholders’ Equity
	(Shares & Dollars in millions)(Unaudited)
Balance at December 1, 2024	395.4	$	0.4	$	732.6	$	1,672.0	$	(434.5)	$	1,970.5
Balance at December 01, 2024	395.4	$	0.4	$	732.6	$	1,672.0	$	(434.5)	$	1,970.5
Net income	—	—		—		~~420~~135.10		—		~~420~~135.10
Other comprehensive income, net of tax	—	—		—		—		297.23		297.23
Stock-based compensation and dividends, net	1.74	—		6719.93		~~(0.1)~~—		—		6719.83
Employee stock purchase plan	0.31	—		52.61		—		—		52.61
Accelerated share repurchase, including excise tax	(5.0)	—		(24.0)		(96.9)		—		(120.9)
Repurchase of common stock	(1.6)	—		—		(30.0)		—		(30.0)
Repurchase of common stock	(1.6)	—		—		(30.5)		—		(30.5)
Tax withholdings on equity awards	—	—		(18.3)		—		—		(18.3)
Tax withholdings on equity awards	—	—		(20.9)		—		—		(20.9)
Cash dividends declared ($0.13 per share)	—	—		—		(51.4)		—		(51.4)
Cash dividends declared ($0.40 per share)	—	—		—		(158.2)		—		(158.2)
Balance at March 2, 2025	395.3	$	0.4	$	735.7	$	1,725.6	$	(427.2)	$	2,034.5
Balance at August 31, 2025	390.8	$	0.4	$	761.2	$	1,806.4	$	(405.3)	$	2,162.7

The accompanying notes are an integral part of these consolidated financial statements.

Table of Contents

	Three Months Ended August 25, 2024
	Class A & Class B Common Stock(In Shares)	Class A & Class B Common Stock		Additional Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Stockholders’ Equity
	(Shares & Dollars in millions)(Unaudited)
Balance at May 26, 2024	397.4	$	0.4	$	708.0	$	1,620.0	$	(374.7)	$	1,953.7
Net income	—	—		—		20.7		—		20.7
Other comprehensive loss, net of tax	—	—		—		—		(43.8)		(43.8)
Stock-based compensation and dividends, net	0.1	—		12.7		(0.2)		—		12.5
Employee stock purchase plan	0.1	—		2.0		—		—		2.0
Repurchase of common stock	(0.9)	—		—		(17.8)		—		(17.8)
Tax withholdings on equity awards	—	—		(2.7)		—		—		(2.7)
Cash dividends declared ($0.13 per share)	—	—		—		(51.5)		—		(51.5)
Balance at August 25, 2024	396.7	$	0.4	$	720.0	$	1,571.2	$	(418.5)	$	1,873.1

	Nine Months Ended August 25, 2024
	Class A & Class B Common Stock(In Shares)	Class A & Class B Common Stock		Additional Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Loss		Total Stockholders’ Equity
	(Shares & Dollars in millions)(Unaudited)
Balance at November 26, 2023	397.3	$	0.4	$	686.7	$	1,750.2	$	(390.9)	$	2,046.4
Net income	—	—		—		28.0		—		28.0
Other comprehensive loss, net of tax	—	—		—		—		(27.6)		(27.6)
Stock-based compensation and dividends, net	2.3	—		48.2		(0.2)		—		48.0
Employee stock purchase plan	0.3	—		6.2		—		—		6.2
Repurchase of common stock	(3.2)	—		—		(59.7)		—		(59.7)
Tax withholdings on equity awards	—	—		(21.1)		—		—		(21.1)
Cash dividends declared ($0.37 per share)	—	—		—		(147.1)		—		(147.1)
Balance at August 25, 2024	396.7	$	0.4	$	720.0	$	1,571.2	$	(418.5)	$	1,873.1

The accompanying notes are an integral part of these consolidated financial statements.

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LEVI STRAUSS & CO. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Nine Months Ended
	Three Months Ended
	August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)(Unaudited)
Cash Flows from Operating Activities:
Net income	$	~~420~~175.18	$	28135.0
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	~~151~~55.46		~~138~~49.82
Goodwill and intangible asset impairment	2.5		116.9
Goodwill impairment	—		2.5
Property, plant, and equipment impairment, and early lease terminations, net	15.6		12.1
Gain on sale of business, prior to costs to sell	(35.1)		—
Gain on sale of business, prior to costs to sell	(155.6)		—
Stock-based compensation	15.8		19.3
Gain on sale of assets	(8.5)		—
Deferred income taxes	10.5		(5.7)
Stock-based compensation	67.8		48.2
Other, net	(7.6)		17.0
Deferred income taxes	8.2		(68.6)
Net change in operating assets and liabilities	(3.5)		(164.8)
Other, net	(13.6)		12.6
Net cash provided by operating activities	211.5		52.5
Net change in operating assets and liabilities	(225.1)		313.1
Net cash provided by operating activities	262.8		601.1
Cash Flows from Investing Activities:
Proceeds from sale of business	~~194~~96.73		—
Purchases of property, plant and equipment	(~~170~~59.34)		(~~161~~66.86)
Net proceeds from sales of assets	22.4		—
Payments to acquire short-term investments	(26.8)		(4.0)
Payment for business acquisition	—		(34.4)
Proceeds from sale, maturity and collection of short-term investments	22.7		—
Proceeds on settlement of forward foreign exchange contracts not designated for hedge accounting, net	37.1		5.3
Other investing activities, net	(6.5)		(0.5)
Payments to acquire short-term investments	(93.6)		—
Net cash provided by (used for) investing activities	26.3		(71.1)
Other investing activities, net	—		(1.3)
Net cash provided by (used for) investing activities	(9.7)		(192.2)
Cash Flows from Financing Activities:
Proceeds from issuance of long-term debt, net of issuance costs	543.8		—
Accelerated share repurchase	(200.0)		—
Repayments of long-term debt	(550.4)		—
Repurchase of common stock	—		(30.0)
Accelerated share repurchase	(120.0)		—
Tax withholdings on equity awards	(31.1)		(18.3)
Repurchase of common stock	(30.5)		(59.7)
Dividends to stockholders	(53.8)		(51.4)
Tax withholdings on equity awards	(20.9)		(21.1)
Other financing activities, net	0.8		2.2
Dividends to stockholders	(158.2)		(147.1)
Net cash used for financing activities	(284.1)		(97.5)
Other financing activities, net	(0.9)		(1.2)
Effect of exchange rate changes on cash and cash equivalents and restricted cash	5.0		0.5
Net cash used for financing activities	(337.1)		(229.1)
Net increase (decrease) in cash and cash equivalents and restricted cash	(41.3)		(115.6)
Effect of exchange rate changes on cash and cash equivalents and restricted cash	6.8		(1.5)
Beginning cash and cash equivalents	757.9		690.0
Net increase (decrease) in cash and cash equivalents and restricted cash	(77.2)		178.3
Ending cash and cash equivalents	$	716.6	$	574.4
Beginning cash and cash equivalents	690.0		398.8
Ending cash and cash equivalents	$	612.8	$	577.1
Noncash Investing Activity:
Property, plant and equipment acquired and not yet paid at end of period	$	3827.96	$	6136.43
Supplemental disclosure of cash flow information:
Supplemental Disclosure of Cash Flow Information:
Cash paid for income taxes during the period, net of refunds	~~119~~28.01		7518.7

____________

Consolidated statements of cash flows include the cash flows from continuing and discontinued operations.

The accompanying notes are an integral part of these consolidated financial statements.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 1: SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

Levi Strauss & Co. (the “Company”) is one of the world’s largest brand-name apparel companies. The Company designs, markets and sells – directly or through third parties and licensees – products that include jeans, casual and dress pants, activewear, tops, shorts, skirts, dresses, jackets, and related accessories, for men, women and children around the world under the Levi’s®, Levi Strauss Signature™, ~~Denizen®, Dockers®~~ and Beyond Yoga® brands.

In the fourth quarter of 2024 we announced we were undertaking an evaluation of strategic alternatives to the global Dockers® business, including a sale or other strategic transactions. During the second quarter of 2025, the Company entered into a definitive agreement to sell its Dockers® business. ~~The~~On ~~transaction is subject to customary closing conditions and closed on~~ July 31, 2025 ~~for~~the Company sold the Dockers® intellectual property and operations in the U.S. and Canada,. ~~and~~The isCompany ~~expected~~sold tothe ~~close~~remaining onDockers® oroperations ~~around~~in ~~January~~multiple ~~31,~~closings during the first quarter of 2026, ~~for~~with the ~~remaining~~final ~~Dockers®~~closing ~~operations~~on February 27, 2026. Dockers® net assets were classified as held for sale in the consolidated balance sheets for all periods presented. Additionally, the Company classified the Dockers® business as discontinued operations in its consolidated statements of income for all periods presented. See Note 2 “Discontinued Operations”. The Dockers® business is a separate operating segment historically presented in our financial statements under the caption of Other Brands.

The Company operates its business according to three reportable segments: Americas, Europe, and Asia, collectively comprising the Company's Levi's Brands business, which includes the Levi's®, and Levi Strauss Signature™ ~~and Denizen®~~ brands. ~~In the first quarter of 2024 the Company announced the strategic decision to discontinue the Denizen® brand with the wind down of operations substantially complete as of March 2, 2025.~~ The Beyond Yoga® business, which is managed separately, does not meet the quantitative thresholds for reportable segments but is presented separately to increase transparency of performance.

Basis of Presentation and Principles of Consolidation

The interim consolidated financial statements of the Company and its wholly-owned and majority-owned foreign and domestic subsidiaries, including the notes, have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) applicable to interim period financial statements and do not include all of the information and disclosures required by generally accepted accounting principles in the United States (“U.S. GAAP”) for complete financial statements. In the opinion of management, all adjustments necessary for a fair statement of the financial position and the results of operations for the periods presented have been included. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements of the Company for the year ended ~~December~~November 130, ~~2024~~2025, included in the Company’s ~~2024~~Annual Report on Form 10-K for the year ended November 30, 2025 (“2025 Annual Report on Form 10-K”).

The unaudited consolidated financial statements include the accounts of the Company and its subsidiaries. All significant intercompany balances and transactions have been eliminated. The results of operations for the three ~~and nine~~ months ended ~~August~~March 311, ~~2025~~2026 may not be indicative of the results to be expected for any other interim period or the year ending November 3029, ~~2025~~2026.

The Company’s fiscal year ends on the Sunday that is closest to November 30 of that year, although the fiscal years of certain foreign subsidiaries end on November 30. Each quarter of both fiscal years ~~2025~~2026 and ~~2024~~2025 consists of 13 weeks~~, with the exception of the fourth quarter of 2024, which consisted of 14 weeks~~. All references to years and quarters relate to fiscal years and quarters rather than calendar years and quarters.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the related notes to the consolidated financial statements. Estimates are based upon historical factors, current circumstances and the experience and judgment of the Company’s management. Management evaluates its estimates and assumptions on an ongoing basis and may employ outside experts to assist in its evaluations. Changes in such estimates, based on more accurate future information, or different assumptions or conditions, may affect amounts reported in future periods.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

Distribution Center Conversion

On June 6, 2024, the Company entered into an agreement to replace certain of the Company’s legacy U.S. distribution centers with a new third party logistics center. The Company maintains certain rights over the warehouse, and warehouse equipment and technologies which resulted in an Operating lease right-of-use asset and lease liability of $30.6 million in “Operating lease right-of-use assets, net” and “Short-term Operating lease liabilities” and “Long-term Operating lease liabilities” balances and a Financing lease right-of-use asset and lease liability of $14.0 million in “Other non-current assets” and “Long-term employee related benefits and other liabilities” balances on the consolidated balance sheets during 2024. In the first quarter of 2025, the Company recorded an additional Financing lease right-of-use asset and lease liability of $61.6 million in “Other non-current assets” and “Long-term employee related benefits and other liabilities” balances on the consolidated balance sheets.

Long-Lived Assets

The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may be impaired. Impairment losses are measured and recorded for the excess of carrying value over its fair value, estimated based on expected future cash flows and other quantitative and qualitative factors. Property, plant and equipment, net includes accumulated depreciation of $1.34 billion as of both ~~August~~March 311, ~~2025~~2026 and ~~December~~November 130, ~~2024~~2025.

InPrepaid the third quarter of 2024, the Company recorded $11.1 million of asset impairment charges related to technology projects discontinued in connection with Project Fuel, which were recorded in “Selling, general and administrative expenses” in the consolidated statements of income. The Company also recorded an impairment charge of $9.1 million related to the Beyond Yoga® customer relationship intangible assets, which is included in “Goodwill and other intangible asset impairment charges” in the Company’s consolidated statements of income. See Note 3 for additional information.Expenses

~~Supplier~~Prepaid ~~Finance~~expenses ~~Program~~were $156.1 million and $138.0 million as of March 1, 2026 and November 30, 2025, respectively.

The Company offers a supplier financing program which enables the Company’s suppliers, at their sole discretion, to sell their receivables (i.e., the Company’s payment obligations to suppliers) to a financial institution on a non-recourse basis in order to be paid earlier than current payment terms provide.

The Company’s obligations to its suppliers, including amounts due and scheduled payment dates, are not impacted by the supplier’s participation in these arrangements. The Company’s payment terms to the financial institutions, including the timing and amount of payments, are based on the original supplier invoices. Our current payment terms with a majority of our suppliers are typically 90 days. The Company has not pledged any assets and does not provide guarantees under the supplier finance program. As such, the outstanding payment obligations under the Company’s supplier finance program are included within Accounts Payable in the Consolidated Balance Sheets.

The Company’s outstanding payment obligations under this program were $150.6 million as of August 31, 2025 and $152.2 million as of December 1, 2024.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

Share Repurchases

~~During~~On ~~the~~January ~~first quarter of 2025, the Company repurchased 1.6 million shares for $~~30~~.0 million~~, ~~plus broker’s commissions~~2026, in the ~~open market. On August 1, 2025, the~~ Company entered into an accelerated share repurchase transaction with a third-party financial institution (“the ASR Agreement”) to repurchase an aggregate of $~~120~~200.0 million of the Company’s Class A common stock as part of its share repurchase program. At inception, the Company made an initial payment of $~~120~~200.0 million and ~~took~~received ~~delivery~~and ofimmediately ~~approximately~~retired 57.08 million shares of its Class A common stock, representing 80% of the dollar amount of the transaction, based on the ~~August~~January 129, ~~2025~~2026 closing share price~~, over the transaction's term (the "ASR Agreement")~~. The initial shares received, which had an aggregate cost of $96160.0 million ~~based on the August 1~~, ~~2025 closing share price,~~ were retired and recorded as a reduction of Retained Earnings, with the remainder of $2440.0 million recorded as a reduction of additional paid-in capital. ~~These purchases equate to an average repurchase price of approximately $19.05 per share for the nine months ended August 31, 2025.~~ The total number of shares the Company will ultimately repurchase will be based on the volume-weighted average price per share of the Company's Class A common stock over the term of the ASR Agreement, less an agreed upon discount, and subject to customary adjustments pursuant to the terms and conditions of the ASR Agreement. Final settlement of the transactions under the ASR Agreement is expected to occur no later than the ~~first~~third quarter of 2026.

During the three ~~and nine~~ months ended ~~August~~March 252, ~~2024~~2025, the Company repurchased 1.06 million ~~and 3.3 million shares~~ for $1730.80 million ~~and $59.7 million~~, plus broker's commissions, ~~respectively,~~ in the open market. This equates to an average repurchase price of approximately $18.3545 per share for the ~~nine~~three months ended ~~August~~March 252, ~~2024~~2025.

The Company accounts for share repurchases by charging the excess of the repurchase price over the repurchased Class A common stock’s par value entirely to retained earnings. All repurchased shares are retired and become authorized but unissued shares. The Company accrues for the shares purchased under the share repurchase plan based on the trade date. The Company may terminate or limit the share repurchase program at any time.

Assets Held for Sale and Discontinued Operations

Assets and liabilities of a business that meet the accounting requirements to be classified as held for sale are separated in a disposal group. Disposal group net assets are recorded at the lower of their carrying amount or estimated fair value less expected costs to sell. After being classified as held for sale, assets are not depreciated or amortized.

Assets and liabilities of a disposal group that meet the accounting requirements to be classified as discontinued operations are presented separately for all current and prior periods in the consolidated balance sheets. The results of discontinued operations are reported in “Net income (loss) from discontinued operations, net of taxes” in the consolidated statements of income for the current and prior periods beginning in the period in which the business meets the held for sale criteria. ~~Income~~Net income (loss) from discontinued operations includes direct costs attributable to the business held for sale, and an estimate of costs from corporate functions dedicated to the business, but excludes corporate expenses composed of selling, general and administrative expenses not attributable to any of the operating segments. See Note 2 “Discontinued Operations”.

Unless otherwise indicated, the information in the notes to the consolidated financial statements refers only to the Company’s continuing operations.

~~Reclassification~~Revenue Recognition

~~Certain~~Effective ~~amounts~~in onthe first quarter of 2026, the ~~consolidated~~Company ~~balance~~revised ~~sheets~~its operating policies and procedures for e-commerce transactions. This change results in revenue being recognized upon shipment rather than upon delivery to the customer, ~~consolidated~~in ~~statements~~line with the timing of ~~income~~the ~~and~~transfer ~~statements~~of control. The impact of ~~cash~~the ~~flows~~change ~~have~~was ~~been~~not ~~conformed~~material to the ~~August 31,~~current ~~2025~~period ~~presentation~~consolidated financial statements.

~~Recently Issued Accounting Standards~~9

There have been no developments to recently issued accounting standards, including the expected dates of adoption and estimated effects on the Company’s consolidated financial statements and footnote disclosures, from those disclosed in the 2024 Annual Report on Form 10-K. The Company will adopt ASU 2023-07, Improvements to Reportable Segment Disclosures, on a retrospective basis in the Annual Report on Form 10-K for the fiscal year ending November 30, 2025. This new guidance is designed to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

Reclassification

Certain amounts on the consolidated balance sheets, consolidated statements of income and statements of cash flows have been conformed to the March 1, 2026 presentation.

Recently Issued Accounting Standards

There have been no developments to recently issued accounting standards, including the expected dates of adoption and estimated effects on the Company’s consolidated financial statements and footnote disclosures, from those disclosed in the 2025 Annual Report on Form 10-K. The Company will adopt ASU 2023-09, Improvements to Income Tax Disclosures, in the Annual Report on Form 10-K for the fiscal year ending November 29, 2026. This new guidance is designed to enhance the transparency and decision usefulness of income tax disclosures, primarily through enhanced disclosures related to the rate reconciliation and income taxes paid. The Company is currently assessing the impact that adopting this new accounting standard will have on its consolidated financial statements and related disclosures.

NOTE 2: DISCONTINUED OPERATIONS

In the fourth quarter of 2024 the Company announced it had initiated a formal review of strategic alternatives to the global Dockers® brand, which could include a sale or other strategic transactions. During the first quarter of 2025, the Company commenced a sale process of its Dockers® business and the Company determined that the Dockers® business met held for sale and discontinued operations accounting criteria. During the second quarter of 2025, the Company entered into a definitive agreement to sell its Dockers® business for an initial transaction value of $311 million, subject to customary adjustments and closing conditions, with the potential to reach up to $391 million through an $80 million earnout opportunity in future years based on the performance of the Dockers® business. On July 31, 2025 the Company sold the Dockers® intellectual property and operations in the U.S. and Canada for gross proceeds of $194.7 million, resulting in a gain on sale of $139.0 million, net of direct costs to sell. The ~~sale~~Company ofsold the remaining Dockers® operations isin ~~expected~~multiple toclosings ~~close~~during onthe orfirst ~~around~~quarter ~~January~~of 312026, with the final closing on February 27, 2026, for gross proceeds of $96.3 million, resulting in a gain on sale of $20.5 million, net of direct costs to sell.

Under the terms of a transition services agreement, the Company ~~will~~provided ~~provide~~ certain post-closing accounting, tax, digital technology and supply chain services for Dockers® operations in the U.S. and Canada for a transitional period ~~generally~~ ending onin ~~January~~the ~~31,~~first quarter of 2026. Fees earned under the transition services agreement ~~are~~were included in “Selling, general and administrative expenses” in the consolidated statements of income.

The following table reconciles the gross proceeds with the gain on sale of the remaining Dockers® ~~intellectual property and~~ operations ~~in the U.S. and Canada~~ included in “Net income (loss) from discontinued operations, net of taxes”.

	Three Months Ended
	August 31,2025
	March 1,2026
Gross proceeds	$	194.7
	(Dollars in millions)
Less direct costs to sell	16.6
Gross proceeds	$	96.3
Less carrying amount of Dockers® intellectual property and operations in the U.S. and Canada	39.1
Less direct costs to sell	14.6
Gain on sale of Dockers® intellectual property and operations in the U.S. and Canada	$	139.0
Less carrying amount of Dockers® remaining operations	61.2
Gain on sale of Dockers® remaining operations	$	20.5

Prior to the sale of Dockers operations in the first quarter of 2026, Dockers® net assets were classified as held for sale in the consolidated balance sheets for all periods presented. The Dockers® net assets were classified as current and non-current. Additionally, the Company classified the Dockers® business as discontinued operations in its consolidated statements of income for all periods presented.

~~The following table presents the assets and liabilities held for sale:~~10

	August 31,2025		December 1,2024
	(Dollars in millions)
Current Assets:
Inventories	$	57.7	$	108.1
Total current assets held for sale	57.7		108.1
Property, plant and equipment, net	6.8		11.3
Operating lease right-of-use assets, net	12.3		23.6
Total non-current assets held for sale	19.1		34.9
Total assets held for sale	$	76.8	$	143.0
Current Liabilities:
Short-term operating lease liabilities	$	4.5	$	5.9
Total current liabilities held for sale	4.5		5.9
Long-term operating lease liabilities	6.1		17.5
Total long-term liabilities held for sale	6.1		17.5
Total liabilities held for sale	$	10.6	$	23.4

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

The following table presents the assets and liabilities held for sale:


	November 30, 2025

	(Dollars in millions)
Current Assets:
Inventories	$	54.0
Total current assets held for sale	54.0
Property, plant and equipment, net	6.9
Operating lease right-of-use assets, net	14.4
Total non-current assets held for sale	21.3
Total assets held for sale	$	75.3

Current Liabilities:
Short-term operating lease liabilities	$	3.9
Total current liabilities held for sale	3.9
Long-term operating lease liabilities	6.1
Total long-term liabilities held for sale	6.1
Total liabilities held for sale	$	10.0

The following table presents the results of discontinued operations:

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)
Net revenues	$	5531.31	$	7367.74	$	~~194.5~~	$	~~233.5~~
Cost of goods sold	2715.30		3631.90		~~95.6~~		~~120.7~~
Gross profit	2816.01		36.84		~~98.9~~		~~112.8~~
Selling, general and administrative expenses	3024.47		3941.25		~~116.0~~		~~112.1~~
Restructuring charges, net(1)	8.6		—		16.9		3.1
Restructuring charges, net	8.4		1.8
Income (loss) from discontinued operations before income taxes and gain on sale	(11.0)		(2.4)		(34.0)		(2.4)
Operating loss	(17.0)		(6.9)
Gain on sale of Dockers® intellectual property and operations in the U.S. and Canada before income taxes	139.0		—		139.0		—
Other expense	(2.9)		—
Total income (loss) from discontinued operations before income taxes	128.0		(2.4)		105.0		(2.4)
Income (loss) from discontinued operations before gain on sale and income taxes	(19.9)		(6.9)
Income tax expense (benefit)	31.9		(0.4)		26.7		(0.4)
Gain on sale of Dockers® remaining operations before income taxes	20.5		—
Net income (loss) from discontinued operations, net of taxes	$	96.1	$	(2.0)	$	78.3	$	(2.0)
Total income (loss) from discontinued operations before income taxes	0.6		(6.9)
Income tax expense (benefit)	1.9		(1.7)
Net income (loss) from discontinued operations, net of taxes	$	(1.3)	$	(5.2)

~~____________~~Cash flows related to discontinued operations are included in the consolidated statements of cash flows. The gain on sale of Dockers® remaining operations of $35.1 million, prior to costs to sell, was an adjustment to reconcile net income to net cash provided by operating activities and the proceeds from sale of $96.3 million were included in cash flows from investing activities. There were no other significant operating noncash items or investing activities cash flows from discontinued operations during the three months ended March 1, 2026 and March 2, 2025.

~~(1)Restructuring charges, net amounts previously attributable to corporate expenses were reported as discontinued operations for the nine months ended August 25, 2024.~~11

Cash flows related to discontinued operations are included in the consolidated statements of cash flows. The gain on sale of Dockers® intellectual property and operations in the U.S. and Canada of $155.6 million, prior to costs to sell, was an adjustment to reconcile net income to net cash provided by operating activities and the proceeds from sale of $194.7 million were included in cash flows from investing activities. There were no other significant operating noncash items or investing activities cash flows from discontinued operations during the three and nine months ended August 31, 2025 and August 25, 2024.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 3: ~~GOODWILL~~FAIR ~~AND~~VALUE ~~OTHER~~OF ~~INTANGIBLE~~FINANCIAL ~~ASSETS~~INSTRUMENTS

The changes in the carrying amount of goodwill by business segment for the nine months ended August 31, 2025 and August 25, 2024 were as follows:

	Nine Months Ended August 31, 2025
	Americas		Europe		Asia		Other Brands(1)		Total
	(Dollars in millions)
Balance, December 1, 2024
Goodwill	$	242.7	$	37.2	$	2.9	$	123.6	$	406.4
Accumulated impairment losses	—		(17.1)		—		(111.7)		(128.8)
	242.7		20.1		2.9		11.9		277.6
Impairment losses	(2.5)		—		—		—		(2.5)
Goodwill acquired during the year	—		—		—		—		—
Foreign currency fluctuation	1.7		2.0		—		—		3.7
Balance, August 31, 2025
Goodwill	244.4		39.2		2.9		123.6		410.1
Accumulated impairment losses	(2.5)		(17.1)		—		(111.7)		(131.3)
	$	241.9	$	22.1	$	2.9	$	11.9	$	278.8

(1)Comprised of the Beyond Yoga® reporting unit goodwill only.

	Nine Months Ended August 25, 2024
	Americas		Europe		Asia		Other Brands(1)		Total
	(Dollars in millions)
Balance, November 26, 2023
Goodwill	$	231.7	$	32.6	$	2.8	$	123.6	$	390.7
Accumulated impairment losses	—		(11.6)		—		(75.4)		(87.0)
	231.7		21.0		2.8		48.2		303.7
Impairment losses(2)	—		(5.5)		—		(36.3)		(41.8)
Goodwill acquired during the year(3)	15.9		5.0		—		—		20.9
Foreign currency fluctuation	(2.7)		0.6		0.1		—		(2.0)
Balance, August 25, 2024
Goodwill	244.9		38.2		2.9		123.6		409.6
Accumulated impairment losses	—		(17.1)		—		(111.7)		(128.8)
	$	244.9	$	21.1	$	2.9	$	11.9	$	280.8

(1)Comprised of the Beyond Yoga® reporting unit goodwill only.

(2)For the nine months ended August 25, 2024 the Company recorded a Beyond Yoga® goodwill noncash impairment charge of $36.3 million.

(3)For the nine months ended August 25, 2024 the Company recorded goodwill of $15.9 million in connection with the acquisition of all operating assets related to Levi’s® brands from Expofaro S.A.S, the Company’s former distributor in Colombia.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

The significant assumptions used in the assessment of the fair value of the reporting unit included revenue growth rates, profit margins, operating expenses, capital expenditures, terminal value and a discount rate. The significant assumptions used in the assessment of the fair value of the trademark intangible asset included revenue growth rates, a discount rate and a royalty rate. As our long-term strategies change, planned business performance expectations are not met over time, or specific valuation factors outside of our control, such as discount rates, change significantly, then the estimated fair values of the Beyond Yoga® reporting unit, the Beyond Yoga® indefinite-lived trademark intangible asset, or both might decline and lead to impairment charges in the future. Several factors could impact the Beyond Yoga® brand's ability to achieve expected future cash flows, including the success of retail store and international expansion, store and e-commerce productivity, the impact of promotional activity, continued economic volatility and potential operational challenges related to macroeconomic factors and other strategic initiatives to drive increased profitability.

During the third quarter of 2024, as part of the Company’s annual review of the Beyond Yoga® reporting unit, the Company elected to perform a single step quantitative impairment test on the goodwill and indefinite lived trademark intangible assigned to the Beyond Yoga® reporting unit and performed impairment tests on the related customer relationship intangible assets. The Company engaged third-party valuation specialists and used industry accepted valuation models and criteria that were reviewed and approved by various levels of management. The Company assessed the fair value of the Beyond Yoga® reporting unit as of the test date, May 27, 2024, using the discounted cash flow method under the income approach, utilizing estimated cash flows and a terminal value, discounted at a rate of return that reflects the relative risk of the cash flows. As a result of this assessment, we concluded that the carrying value of the Beyond Yoga® reporting unit exceeded the estimated fair value by $36.3 million, which was recorded as a noncash impairment charge to goodwill.

Prior to the assessment of the reporting unit, we concluded that the carrying values of the trademark and customer relationship intangible assets exceeded their estimated fair values. The trademark fair value was determined using the relief-from-royalty method to utilize the discounted projected future cash flows. Based on this assessment, we recorded a $66.0 million noncash impairment charge related to the Beyond Yoga® trademark. The customer relationship intangible assets fair values were determined using the multi-period excess earnings and distributor methods under the income approach. Based on these assessments, we recorded a $9.1 million noncash impairment charge related to the customer relationship intangible assets.

Total impairment charges for the nine months ended August 25, 2024 were $111.4 million and were recorded within “Goodwill and other intangible asset impairment charges” on the accompanying consolidated statements of income. During 2024, the Company appointed new Beyond Yoga® executive management and implemented a new strategic plan for growth and expansion, resulting in an adverse impact on expected cash flows.

During the first quarter of 2024, the Company recognized $5.5 million in goodwill impairment charges related to the footwear business in its Europe segment as a result of the decision to discontinue the category in connection with Project Fuel.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

The following table presents the Company’s other intangible assets, net:

	August 31, 2025						December 1, 2024
	Gross Carrying Value		Accumulated Amortization		Total		Gross Carrying Value		Accumulated Amortization		Total
	(Dollars in millions)
Non-amortized intangible assets:
Trademarks (1)	$	177.9	$	—	$	177.9	$	177.9	$	—	$	177.9
Amortized intangible assets:
Customer relationships and other (2)	38.6		(21.8)		16.8		37.6		(18.9)		18.7
Total	$	216.5	$	(21.8)	$	194.7	$	215.5	$	(18.9)	$	196.6

_____________

(1)For the year ended December 1, 2024 the Company recorded a Beyond Yoga® trademark noncash impairment charge of $66.0 million based on a Level 3 fair value of $135.1 million.

(2)For the year ended December 1, 2024 the Company recorded a Beyond Yoga® customer relationship intangible assets noncash impairment charge of $9.1 million based on a Level 3 fair value of $9.7 million.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

NOTE 4: FAIR VALUE OF FINANCIAL INSTRUMENTS

The following table presents the Company’s financial instruments that are carried at fair value:

	August 31, 2025						December 1, 2024
	March 1, 2026						November 30, 2025
			Fair Value EstimatedUsing						Fair Value EstimatedUsing
	Fair Value		Level 1 Inputs(1)		Level 2 Inputs(2)		Fair Value		Level 1 Inputs(1)		Level 2 Inputs(2)
	(Dollars in millions)
Financial assets carried at fair value
Rabbi trust assets	$	~~103~~108.40	$	~~103~~108.40	$	—	$	95107.47	$	95107.47	$	—
Short-term investments in marketable securities	9495.74		—		9495.74		—90.9		—		—90.9
Derivative instruments(3)	54.9		—		54.9		~~17.~~6.8		—		~~17.~~6.8
Total	$	~~204~~208.03	$	~~103~~108.40	$	100.63	$	~~113~~205.04	$	95107.47	$	1797.67
Financial liabilities carried at fair value
Derivative instruments(3)	$	2515.69	$	—	$	2515.69	$	913.54	$	—	$	913.54

_____________

(1)Fair values estimated using Level 1 inputs are inputs which consist of quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Rabbi trust assets consist of marketable ~~equity~~ securities.

(2)Fair values estimated using Level 2 inputs are inputs, other than quoted prices, that are observable for the asset or liability, either directly or indirectly, and include among other things, quoted prices for similar assets or liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable. Short-term investments in marketable securities consist of fixed income securities. For forward foreign exchange contracts, inputs include foreign currency exchange and interest rates and, where applicable, credit default swap prices.

(3)The Company’s cash flow hedges are subject to International Swaps and Derivatives Association, Inc. master agreements. These agreements permit the net settlement of these contracts on a per-institution basis. Refer to Note 54 for more information.

The following table presents the carrying value, including related accrued interest, and estimated fair value of the Company’s financial instruments that are carried at adjusted historical cost:

	August 31, 2025				December 1, 2024
	March 1, 2026				November 30, 2025
	CarryingValue		Estimated Fair Value		CarryingValue		Estimated Fair Value
	(Dollars in millions)
Financial liabilities carried at adjusted historical cost
4.000% senior notes due 2030(1)	$	~~549~~554.14	$	~~560~~562.01	$	—550.8	$	—559.7
3.375% senior notes due 2027(1)	—		—		502.5		498.1
3.50% senior notes due 2031(1)	496.1		463.0		500.3		467.8
3.50% senior notes due 2031(1)	504.5		466.1		499.6		440.8
Short-term borrowings	1.0		1.0		—		—
Short-term borrowings	5.7		5.7		5.5		5.5
Total	$	1,051.5	$	1,026.1	$	1,051.1	$	1,027.5
Total	$	1,059.3	$	1,031.8	$	1,007.6	$	944.4

_____________

(1)Fair values are estimated using Level 2 inputs and incorporate mid-market price quotes. Level 2 inputs are inputs other than quoted prices, that are observable for the liability, either directly or indirectly and include among other things, quoted prices for similar liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable.

1712

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 54: DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES

As of ~~August~~March 311, ~~2025~~2026, the Company had forward foreign exchange contracts derivatives to buy $~~578~~497.1 million and to sell $~~491~~426.06 million in various foreign currencies. These contracts are at various exchange rates and expire at various dates through February 2027.

The table below provides data about the carrying values of derivative instruments and non-derivative instruments:

	August 31, 2025						December 1, 2024
	March 1, 2026						November 30, 2025
	Assets		(Liabilities)		Derivative Net Carrying Value		Assets		(Liabilities)		Derivative Net Carrying Value
	CarryingValue		CarryingValue				CarryingValue		CarryingValue
	(Dollars in millions)
Derivatives designated as hedging instruments
Foreign exchange risk cash flow hedges(1)	$	32.34	$	—	$	32.34	$	155.69	$	—	$	155.69
Foreign exchange risk cash flow hedges(2)	—		(2214.81)		(2214.81)		—		(411.78)		(411.78)
Total	$	32.34	$	(2214.81)			$	155.69	$	(411.78)
Derivatives not designated as hedging instruments
Forward foreign exchange contracts(1)	$	54.9	$	(32.34)	$	2.65	$	~~17.~~6.8	$	(155.69)	$	2.0.9
Forward foreign exchange contracts(2)	2214.81		(2515.69)		(21.8)		411.78		(913.54)		(41.86)
Total	$	2819.70	$	(2818.93)			$	2218.36	$	(2519.13)
Non-derivatives designated as hedging instruments
4.000% Euro senior notes due 2030	$	—	$	(~~554~~560.84)			$	—	$	—(550.8)
3.375% Euro senior notes due 2027	—		—				—		(500.9)

_____________

(1)Included in “Other current assets” or “Other non-current assets” on the Company’s consolidated balance sheets.

(2)Included in “Other accrued liabilities” or “~~Long~~Other long-term ~~employee related benefits and other~~ liabilities” on the Company’s consolidated balance sheets.

The Company’s over-the-counter forward foreign exchange contracts are subject to International Swaps and Derivatives Association, Inc. master agreements. These agreements permit the net settlement of these contracts on a per-institution basis; however, the Company records the fair value on a gross basis on its consolidated balance sheets based on maturity dates, including those subject to master netting arrangements.

1813

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

The table below presents the gross and net amounts of these contracts recognized on the Company’s consolidated balance sheets by type of financial instrument:

	August 31, 2025							December 1, 2024
	March 1, 2026							November 30, 2025
	Gross Amounts of Assets / (Liabilities) Presented in the Balance Sheet		Gross Amounts Not Offset in the Balance Sheet		Net Amounts of Assets / (Liabilities)		Gross Amounts of Assets / (Liabilities) Presented in the Balance Sheet	Gross Amounts Not Offset in the Balance Sheet		Net Amounts of Assets / (Liabilities)
	(Dollars in millions)
Foreign exchange risk contracts and forward foreign exchange contracts
Financial assets	$	3221.04	$	(78.40)	$	2413.64		$	3724.95	$	(1112.08)	$	2611.97
Financial liabilities	(5132.74)		78.40		(4424.34)			(2931.91)		1112.08		(18.93)
Total					$	(1911.70)						$	8(6.06)

The table below provides data about the amount of gains and losses related to derivative instruments and non-derivative instruments designated as cash flow and net investment hedges included in “Accumulated other comprehensive loss” (“AOCL”) on the Company’s consolidated balance sheets, and in “Other income (expense), net” in the Company’s consolidated statements of income:

	Amount of (Loss) GainRecognized in AOCL(Effective Portion)				Amount of (Loss) Gain Reclassified from AOCL into Net Income(1)
	As ofAugust 31,2025		As ofDecember 1, 2024		Three Months Ended				Nine Months Ended
	As ofMarch 1, 2026		As ofNovember 30, 2025		Three Months Ended
					August 31,2025		August 25,2024		August 31,2025		August 25,2024
					March 1,2026		March 2,2025
	(Dollars in millions)
Foreign exchange risk contracts	$	(2729.25)	$	10(22.28)	$	(5.1)	$	(0.2.4)	$	~~6.1~~	$	~~(18.2)~~
Realized forward foreign exchange swaps(2)	4.6		4.6		—		—		—		—
Yen-denominated Eurobonds	(19.8)		(19.8)		—		—		—		—
Euro-denominated senior notes	(6773.83)		(1363.87)		—		—		—		—
Cumulative income taxes	3029.08		925.83		—		—		—		—
Total	$	(8088.2)	$	(976.04)

_____________

(1)Amounts reclassified from AOCL were classified as net revenues or costs of goods sold on the consolidated statements of income.

(2)Prior to 2006, the Company used foreign exchange currency swaps to hedge the net investment in its foreign operations. For hedges that qualified for hedge accounting, the net gains were included in AOCL and are not reclassified to earnings until the related net investment position has been liquidated.

There was no hedge ineffectiveness for the ~~nine~~three months ended ~~August~~March 311, ~~2025~~2026. Within the next 12 months, a $26.57 million loss from cash flow hedges is expected to be reclassified from AOCL into net income.

1914

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

The table below presents the effects of the Company’s cash flow hedges of foreign exchange risk contracts on the consolidated statements of income:

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)
Amount of (Loss) Gain on Cash Flow Hedge Activity:
Amount of Gain (Loss) on Cash Flow Hedge Activity:
Net revenues	$	01.32	$	(1.25)	$	~~(2.3)~~	$	~~(4.0)~~
Cost of goods sold	$	4(6.83)	$	1.(0.9)	$	~~8.4~~	$	~~(14.2)~~

The table below provides data about the amount of gains and losses related to ~~derivative~~derivatives not designated as hedging instruments included in “Other income (expense), net” in the Company’s consolidated statements of income:

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)
Forward foreign exchange contracts:
Realized (loss) gain(1)	$	10.6	$	(1.0)	$	39.8	$	8.3
Realized gain (loss) (1)	$	5.2	$	(5.3)
Unrealized (loss) gain	0.4		(0.1)		1.2		(6.5)
Unrealized gain (loss)	0.4		(5.5)
Total	$	115.06	$	(110.18)	$	~~41.0~~	$	~~1.8~~

_____________

(1)The realized gain (loss) is included in “Other, net” under cash flows from operating activities on the Company’s consolidated statements of cash flows.

NOTE 65: OTHER ACCRUED LIABILITIES

The following table presents the Company’s other accrued liabilities:

	August 31,2025		December 1,2024
	March 1,2026		November 30,2025
	(Dollars in millions)
Other accrued liabilities
Accrued non-trade payables	$	~~161~~169.30	$	~~188~~195.95
Accrued advertising and promotion	6774.58		6456.19
Taxes other than income taxes payable	67.0		69.0
Accrued income taxes	72.7		55.6
Restructuring liabilities	64.7		69.8
Taxes other than income taxes payable	64.3		83.7
Accrued income taxes	41.9		40.3
Restructuring liabilities	53.6		55.8
Accrued property, plant and equipment	3827.96		6551.4
Fair value derivatives	2515.59		913.54
Accrued rent	149.37		910.2
Accrued interest payable	~~11.~~1.4		812.32
Short-term debt	5.7		5.5
Other	197.7		168.7
Other	161.6		142.1
Total other accrued liabilities	$	686.7	$	703.4
Total other accrued liabilities	$	659.5	$	672.1

2015

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 6: SUPPLIER FINANCE PROGRAM

The Company’s obligations to its suppliers, including amounts due and scheduled payment dates, are not impacted by the supplier’s participation in these arrangements. The Company’s payment terms to the financial institutions, including the timing and amount of payments, are based on the original supplier invoices. The Company’s current payment terms with a majority of its suppliers are typically 90 days. The Company has not pledged any assets and does not provide guarantees under the supplier finance program. As such, the outstanding payment obligations under the Company’s supplier finance program are included within “Accounts Payable” in the Consolidated Balance Sheets. The Company’s outstanding payment obligations under this program were $123.8 million as of March 1, 2026 and $136.5 million as of November 30, 2025.

NOTE 7: DEBT

The following table presents the Company’s debt:

	August 31,2025		December 1,2024
	March 1,2026		November 30,2025
	(Dollars in millions)
Long-term debt
3.375% senior notes due 2027	$	—	$	498.8
4.000% senior notes due 2030	$	553.3	$	543.3
4.000% senior notes due 2030	547.1		—
3.50% senior notes due 2031	496.1		495.9
3.50% senior notes due 2031	495.7		495.2
Total long-term debt	$	1,049.4	$	1,039.2
Total long-term debt	$	1,042.8	$	994.0
Short-term debt
Short-term borrowings	51.70		~~5.5~~—
Total debt	$	1,~~048~~050.54	$	~~999~~1,039.52

Senior Revolving Credit Facility

As of ~~August~~March 311, ~~2025~~2026, the Company had no borrowings under the Credit Facility. The Company’s unused availability under the Credit Facility was $~~743~~831.13 million at ~~August~~March 311, ~~2025~~2026, as the total availability of $~~762~~850.14 million was reduced by $19.01 million of letters of credit and other credit usage allocated under the Credit Facility.

Interest Rates on Borrowings

The Company’s weighted-average interest rate on average borrowings outstanding during the three ~~and nine~~ months ended ~~August~~March 311, ~~2025~~2026 was 4.4367% ~~and 4.32%, respectively,~~ as compared to 34.9723% ~~and 3.98%, respectively,~~ during the same ~~periods~~period of ~~2024~~2025.

Issuance of Senior Notes due 2030 and Redemption of Senior Notes due 2027

In July 2025, the Company issued €475.0 million in aggregate principal amount of 4.000% senior notes due 2030 (the “Senior Notes due 2030”) to qualified institutional buyers and to purchasers outside the U.S. The Company used the net proceeds of the Notes, together with cash on hand, to redeem all €475.0 million in aggregate principal amount of its outstanding 3.375% Senior Notes due 2027.

Principal, interest and maturity. The Senior Notes due 2030 will mature on August 15, 2030. Interest on the Senior Notes due 2030 is payable semi-annually in arrears on February 15 and August 15.

Ranking. The Senior Notes due 2030 are not guaranteed by any of the Company's subsidiaries and are unsecured obligations. Accordingly, they:

•rank equal in right of payment with all of the Company's other existing and future unsecured and unsubordinated debt;

•rank senior in right of payment to the Company's future debt and other obligations that are, by their terms, expressly subordinated in right of payment to the Senior Notes due 2030;

•are effectively subordinated in right of payment to all of the Company's existing and future senior secured debt and other obligations (including the Credit Facility) to the extent of the value of the collateral securing such debt; and

•are structurally subordinated to all obligations of each of the Company's subsidiaries.

Optional redemption. The Company may redeem some or all of the Senior Notes due 2030, at once or over time, at redemption prices specified in the indenture governing the Senior Notes due 2030 (the “2030 indenture”), plus accrued and unpaid interest, if any, to the date of redemption.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

Mandatory redemption, offer to purchase and open market purchases. The Company is not required to make any sinking fund payments with respect to the Senior Notes due 2030. However, under certain circumstances as described under “Change of control” below, the Company may be required to offer to purchase the Senior Notes due 2030. The Company may from time to time purchase the Senior Notes due 2030 in the open market or otherwise.

Covenants. The 2030 indenture contains covenants that limit, among other things, the Company’s ability to incur liens, enter into sale and leaseback transactions and merge or consolidate with another person. The 2030 indenture also limits the ability of the Company’s subsidiaries to incur additional debt, incur liens and enter into sale and leaseback transactions. The 2030 indenture provides for customary events of default (subject in certain cases to customary grace and cure periods), which include nonpayment, breach of covenants, payment defaults or acceleration of certain other indebtedness, a failure to pay certain judgments and certain events of bankruptcy and insolvency. Generally, if an event of default occurs, the trustee under the 2030 indenture or the holders of at least 25% in aggregate principal amount of the then outstanding Senior Notes due 2030 may declare all the Senior Notes due 2030 to be due and payable immediately. As of August 31, 2025, the Company was in compliance with these covenants.

Change of control. Upon the occurrence of a change of control triggering event (as defined in the 2030 indenture), each holder of the Senior Notes due 2030 may require the Company to repurchase all or a portion of the Senior Notes due 2030 in cash at a price equal to 101% of the principal amount of the Senior Notes due 2030 to be repurchased, plus accrued and unpaid interest, if any, to the date of purchase.

NOTE 8: RESTRUCTURING ACTIVITIES

InFor the ~~first~~three ~~quarter~~months ofended ~~2024~~March 1, 2026, the Company’s ~~Board~~recognized restructuring charges of ~~Directors~~$7.9 ~~(the~~million ~~"Board")~~in ~~approved~~connection awith ~~multi-year~~our continuing global productivity initiative, ~~“Project~~consisting ~~Fuel”,~~primarily ~~designed~~of toseverance ~~accelerate~~and ~~the~~other ~~execution~~post-employment ofbenefits, ~~our~~based ~~Brand~~on ~~Led~~separation ~~and~~benefits ~~DTC~~provided ~~First~~by ~~strategies~~Company ~~while~~policy ~~fueling~~or ~~long-term~~statutory ~~profitable~~benefit ~~growth~~plans. ~~The~~These ~~first~~charges ~~phase~~were ofrecorded ~~the~~in ~~global~~“Restructuring ~~productivity~~charges, ~~initiative~~net” ~~was completed primarily~~ in the ~~first~~consolidated ~~half~~statements of ~~2024~~income. ~~The~~As ~~two-year~~of ~~initiative~~March 1, is2026, ~~expected~~the torestructuring ~~continue~~liability ~~through~~was ~~the~~$66.5 ~~end~~million, ofwith ~~2025~~$53.6 Asmillion ~~this~~and ~~initiative~~$12.9 ~~progresses,~~million ~~the~~classified ~~Company~~as ~~may~~“Other ~~incur~~accrued ~~additional~~liabilities” ~~restructuring~~and ~~charges,~~“Other ~~which~~long-term ~~could~~liabilities”, berespectively, ~~significant~~within tothe aCompany’s ~~future~~consolidated ~~fiscal~~balance ~~quarter or year~~sheet.

For the three and nine months ended August 31, 2025, the Company recognized restructuring charges of $8.6 million and $22.1 million, respectively, in connection with Project Fuel, consisting primarily of severance and other post-employment benefits, based on separation benefits provided by Company policy or statutory benefit plans as well as contract termination costs and asset impairments partially offset by a gain on the sale of a previously closed distribution center. These charges were recorded in “Restructuring charges, net” in the consolidated statements of income. As of August 31, 2025, the restructuring liability was $81.7 million, with $64.7 million and $17.0 million classified as “Other accrued liabilities” and “Long-term employee related benefits and other liabilities”, respectively, within the Company’s consolidated balance sheet.16

The Company also recognized $4.3 million and $11.8 million of restructuring related charges during the three and nine months ended August 31, 2025, respectively, primarily consisting of consulting costs, distribution center transition costs, and employee one-time incentives, which were recorded in “Selling, general and administrative expenses” in the consolidated statements of income.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

For the three ~~and nine~~ months ended ~~August~~March 252, ~~2024~~2025, the Company recognized restructuring charges of $36.47 million ~~and~~in ~~$171.6~~connection ~~million~~with Project Fuel, ~~respectively~~a multi-year global productivity initiative that was substantially complete as of November 30, 2025, consisting primarily of severance and other post-employment benefits, based on separation benefits provided by Company policy or statutory benefit plans as well as contract termination costs and asset impairments. These charges were recorded in “Restructuring charges, net” in the consolidated statements of income.

The Company also recognized $193.01 million ~~and $34.3 million~~ of restructuring related charges during the three ~~and nine~~ months ended ~~August~~March 252, ~~2024~~2025, ~~respectively,~~ consisting primarily of consulting fees which were recorded in “Selling ~~general and administrative expenses” in the consolidated statements of income. Additionally~~, the Company recognized an impairment charge of $11.1 million in the third quarter of 2024 related to capitalized internal-use software as a result of the decision to discontinue certain technology projects in connection with Project Fuel which was recorded in “Selling, general and administrative expenses” in the consolidated statements of income.

The following tables summarize the activities associated with restructuring liabilities for the periods presented. "Net Charges (Reversals)" represents the initial charge related to the restructuring activity as well as revisions of estimates related to severance and employee-related benefits and other, "Payments" consists of cash payments for severance and employee-related benefits and other, and "Foreign Currency Fluctuations" includes foreign currency fluctuations.

	Three Months Ended August 31, 2025
	Three Months Ended March 1, 2026
	Liabilities		Net Charges (Reversals)(1)			Payments		Foreign Currency Fluctuations		Liabilities
	June 1,2025				August 31,2025
	November 30,2025				March 1,2026
	(Dollars in millions)
Severance and employee-related benefits	$	5853.61	$	1316.50		$	(1016.71)	$	10.52	$	6253.92
Contract termination costs and other	2816.19		(0.1)2			(93.58)		~~0.3~~—		1813.83
Total	$	8670.70	$	1316.42		$	(2019.29)	$	10.82	$	8166.75

_____________

(1)~~Excludes $4.0 million in stock compensation related charges recorded in Additional paid-in capital.~~ Includes $8.64 million of Dockers® restructuring costs reported as discontinued operations.

	Nine Months Ended August 31, 2025
	Three Months Ended March 2, 2025
	Liabilities		Net Charges (Reversals)(1)			Payments		Foreign Currency Fluctuations		Liabilities
	December 1,2024				~~August~~March 312,2025
	(Dollars in millions)
Severance and employee-related benefits	$	83.7	$	253.19		$	(4923.75)	$	3(0.83)	$	6263.98
Contract termination costs and other	20.7		31.67			(100.15)		4(0.61)		1821.8
Total	$	104.4	$	285.76		$	(5924.80)	$	8(0.4)	$	8185.76

_____________

(1)Excludes $50.3 8 million in stock compensation related charges recorded in Additional paid-in capital, and $9.2 .1 million ofrecorded ~~asset impairment charges~~ in ~~connection~~Property, ~~with~~plant ~~the~~and ~~closures of distribution centers~~equipment, ~~partially~~net ~~offset~~related byto aimpairment ~~$9.3 million~~charges ~~gain~~associated onwith the ~~sale~~closure of ~~a previously closed~~ distribution ~~center~~centers. Includes $111.8 million of Dockers® restructuring costs reported as discontinued operations.

	Three Months Ended August 25, 2024
	Liabilities		Net Charges (Reversals)			Payments		Foreign Currency Fluctuations		Liabilities
	May 26,2024				August 25,2024
	(Dollars in millions)
Severance and employee-related benefits	$	133.6	$	2.5		$	(35.2)	$	1.3	$	102.2
Contract termination costs and other	20.4		0.9			(0.3)		1.5		22.5
Total	$	154.0	$	3.4		$	(35.5)	$	2.8	$	124.7

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

	Nine Months Ended August 25, 2024
	Liabilities		Net Charges (Reversals)(1)			Payments		Foreign Currency Fluctuations		Liabilities
	November 26,2023				August 25,2024
	(Dollars in millions)
Severance and employee-related benefits	$	17.8	$	148.5		$	(66.2)	$	2.1	$	102.2
Contract termination costs and other	0.2		23.4			(2.5)		1.4		22.5
Total	$	18.0	$	171.9		$	(68.7)	$	3.5	$	124.7

_____________

(1)Excludes $2.0 million in stock compensation related charges recorded in Additional paid-in capital and $0.8 million in operating lease termination. Includes $3.1 million of Dockers® restructuring costs reported as discontinued operations.

NOTE 9: COMMITMENTS AND CONTINGENCIES

Forward Foreign Exchange Contracts

The Company uses over-the-counter derivative instruments to manage its exposure to foreign currencies. The Company is exposed to credit loss in the event of nonperformance by the counterparties to the forward foreign exchange contracts. However, the Company believes that its exposures are appropriately diversified across counterparties and that these counterparties are creditworthy financial institutions. See Note 5 for additional information.

Other Contingencies

Litigation. In the ordinary course of business, the Company has various claims, complaints and pending cases, including contractual matters, facility and employee-related matters, distribution matters, product liability matters, intellectual property matters, bankruptcy preference matters, and tax and administrative matters. The Company establishes loss provisions for these ordinary course claims as well as other matters in which losses are probable and can be reasonably estimated. The Company does not believe any of these pending claims, complaints and legal proceedings will have a material impact on its financial condition, results of operations or cash flows.

Customs Duty Audits. The Company imports both raw materials and finished garments into all of its geographic regions and, as such, is subject to numerous countries’ complex customs laws and regulations with respect to its import and export activity. The Company has various pending audit assessments in connection with these activities. As of August 31, 2025, the Company has recorded certain reserves for these matters which are not material. The Company does not believe any of the claims for customs duty and related charges will have a material impact on its financial condition, results of operations or cash flows.17

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED MARCH 1, 2026

contractual matters, facility and employee-related matters, distribution matters, product liability matters, intellectual property matters, bankruptcy preference matters, and tax and administrative matters. The Company establishes loss provisions for these ordinary course claims as well as other matters in which losses are probable and can be reasonably estimated. The Company does not believe any of these pending claims, complaints and legal proceedings will have a material impact on its financial condition, results of operations or cash flows.

Customs Duty Audits. The Company imports both raw materials and finished garments into all of its geographic regions and, as such, is subject to numerous countries’ complex customs laws and regulations with respect to its import and export activity. The Company has various pending audit assessments in connection with these activities. As of March 1, 2026, the Company has recorded certain estimated liabilities for these matters which are not material. The Company does not believe any of the claims for customs duty and related charges will have a material impact on its financial condition, results of operations or cash flows.

Other Matters. On February 20, 2026, a U.S. Supreme Court ruling invalidated tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”). The Company estimates it has paid approximately $80 million under the IEEPA tariffs. The ruling did not address potential refunds, creating uncertainty regarding the potential recovery of tariffs previously assessed under that statute. As of March 1, 2026, the Company has not recognized an asset related to the potential refund. The Company will continue to evaluate new information and will recognize the refund when the requirements under ASC 450, Contingencies, have been met.

NOTE 10: DIVIDENDS

Dividends are declared at the discretion of the Board. In January, ~~April,~~2026 and ~~July~~ 2025, the Company declared cash dividends of $0.~~13, $0.13, and $0.~~14 ~~per share, respectively, to holders of record of its Class A~~ and ~~Class B common stock. In January, April, and July 2024, the Company declared cash dividends of~~ $0.~~12, $0.12, and $0.~~13 per share, respectively, to holders of record of its Class A and Class B common stock. During the three ~~and nine~~ months ended ~~August~~March 311, ~~2025~~2026, dividends were paid in the amount of $5553.48 million ~~and $158.2 million respectively~~, compared to $51.54 million ~~and $147.1 million, respectively,~~ for the same prior-year period.

The Company does not have an established dividend policy. The Board reviews the Company’s ability to pay dividends on an ongoing basis and establishes the dividend amount based on the Company’s financial condition, results of operations, capital requirements, current and projected cash flows and other factors, and any restrictions related to the terms of the Company’s debt agreements.

24Subsequent to the Company’s quarter end, the Board declared a cash dividend of $0.14 per share to holders of record of its Class A and Class B common stock at the close of business on April 22, 2026, for a total quarterly dividend of approximately $54 million.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

Subsequent to the Company’s quarter end, the Board declared a cash dividend of $0.14 per share to holders of record of its Class A and Class B common stock at the close of business on October 20, 2025, for a total quarterly dividend of approximately $55 million.

NOTE 11: ACCUMULATED OTHER COMPREHENSIVE LOSS

The following is a summary of the components of "Accumulated other comprehensive loss," net of related income taxes:

	Three Months Ended August 31, 2025
	Three Months Ended March 1, 2026
	Pension and Postretirement Benefits(1)		Translation Adjustments				Unrealized (Loss) Gain on Marketable Securities
			Derivative Instruments(2)		Foreign Currency Translation				Total
	(Dollars in millions)
Accumulated other comprehensive loss at June 1, 2025	$	(138.4)	$	(59.7)	$	(215.0)	$	—	$	(413.1)
Accumulated other comprehensive loss at November 30, 2025	$	(136.9)	$	(76.4)	$	(194.1)	$	0.2	$	(407.2)
Other comprehensive (loss) income before reclassifications	(03.5)		(1516.49)		2634.51		~~0.2~~—		1013.87
Amounts reclassified from accumulated other comprehensive loss	2.1.7		(5.1)		—		—		(36.0)8
Net increase (decrease) in other comprehensive (loss) income	(1.68)		(2011.58)		2634.51		~~0.2~~—		720.85
Accumulated other comprehensive (loss) income at August 31, 2025	$	(136.8)	$	(80.2)	$	(188.5)	$	0.2	$	(405.3)
Accumulated other comprehensive loss at March 1, 2026	$	(138.7)	$	(88.2)	$	(160.0)	$	0.2	$	(386.7)

	Nine Months Ended August 31, 2025
	Pension and Postretirement Benefits(1)		Translation Adjustments				Unrealized (Loss) Gain on Marketable Securities
			Derivative Instruments(2)		Foreign Currency Translation				Total
	(Dollars in millions)
Accumulated other comprehensive loss at December 1, 2024	$	(141.2)	$	(9.0)	$	(284.3)	$	—	$	(434.5)
Other comprehensive (loss) income before reclassifications	(1.2)		(65.1)		95.8		0.2		$	29.7
Amounts reclassified from accumulated other comprehensive loss	5.6		(6.1)		—		—		$	(0.5)
Net increase (decrease) in other comprehensive (loss) income	4.4		(71.2)		95.8		0.2		29.2
Accumulated other comprehensive (loss) income at August 31, 2025	$	(136.8)	$	(80.2)	$	(188.5)	$	0.2	$	(405.3)

___________

(1)Amounts reclassified were recorded in “Other income (expense), net”.

(2)Amounts reclassified were recorded within “Net revenues” and “Cost of goods sold”. For more information, refer to Note 54.


	Three Months Ended March 2, 2025
	Pension and Postretirement Benefits(1)		Translation Adjustments
			Derivative Instruments(2)		Foreign Currency Translation		Total

	(Dollars in millions)
Accumulated other comprehensive loss at December 01, 2024	$	(141.2)	$	(9.0)	$	(284.3)	$	(434.5)
Other comprehensive (loss) income before reclassifications	(0.5)		9.0		(5.4)		3.1
Amounts reclassified from accumulated other comprehensive loss	1.8		2.4		—		4.2
Net increase (decrease) in other comprehensive income (loss)	1.3		11.4		(5.4)		7.3
Accumulated other comprehensive loss at March 2, 2025	$	(139.9)	$	2.4	$	(289.7)	$	(427.2)

~~LEVI STRAUSS & CO. AND SUBSIDIARIES~~_____________

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2025

	Three Months Ended August 25, 2024
	Pension and Postretirement Benefits(1)		Translation Adjustments
			Derivative Instruments(2)		Foreign Currency Translation		Total
	(Dollars in millions)
Accumulated other comprehensive loss at May 26, 2024	$	(150.2)	$	(27.2)	$	(197.3)	$	(374.7)
Other comprehensive (loss) income before reclassifications	(0.4)		(11.0)		(34.9)		(46.3)
Amounts reclassified from accumulated other comprehensive loss	2.3		0.2		—		2.5
Net increase (decrease) in other comprehensive income (loss)	1.9		(10.8)		(34.9)		(43.8)
Accumulated other comprehensive loss at August 25, 2024	$	(148.3)	$	(38.0)	$	(232.2)	$	(418.5)

	Nine Months Ended August 25, 2024
	Pension and Postretirement Benefits(1)		Translation Adjustments
			Derivative Instruments(2)		Foreign Currency Translation		Total
	(Dollars in millions)
Accumulated other comprehensive loss at November 26, 2023	$	(153.2)	$	(42.0)	$	(195.7)	$	(390.9)
Other comprehensive (loss) income before reclassifications	(1.8)		(14.2)		(36.5)		(52.5)
Amounts reclassified from accumulated other comprehensive loss	6.7		18.2		—		24.9
Net increase (decrease) in other comprehensive (loss) income	4.9		4.0		(36.5)		(27.6)
Accumulated other comprehensive loss at August 25, 2024	$	(148.3)	$	(38.0)	$	(232.2)	$	(418.5)

(1)Amounts reclassified were recorded in “Other income (expense), net”.

(2)Amounts reclassified were recorded within “Net revenues” and “Cost of goods sold”. For more information, refer to Note 54.

2619

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 12: NET REVENUES

Disaggregated Revenue

The table below provides the Company’s revenues disaggregated by segment and channel.

Three Months Ended August 31, 2025

Three Months Ended March 1, 2026

Levi’s Brands

Americas

Europe

Asia

Beyond Yoga®

Total

(Dollars in millions)

Net revenues by channel:

Wholesale

~~472~~455.70

~~213~~222.3

~~134~~143.72

1110.5

~~832~~831.20

Direct-to-consumer

~~333~~400.7

~~213~~273.07

~~143~~204.03

2132.58

~~711~~911.25

Total net revenues

~~806~~855.47

~~426~~496.30

~~277~~347.75

3343.03

1,~~543~~742.45

Nine Months Ended August 31, 2025

Three Months Ended March 2, 2025

Levi’s Brands

Americas

Europe

Asia

Beyond Yoga®

Total

(Dollars in thousands)

(Dollars in millions)

Net revenues by channel:

Wholesale

~~1,338~~422.32

~~561~~170.92

~~365~~135.20

3611.09

~~2,301~~739.43

Direct-to-consumer

~~999~~360.58

~~668~~230.03

~~478~~173.31

6923.03

~~2,214~~787.85

Total net revenues

~~2,337~~783.80

~~1,229~~400.95

~~843~~308.51

~~105~~35.02

41,~~516~~526.28

	Three Months Ended August 25, 2024
	Levi’s Brands
	Americas		Europe		Asia		Beyond Yoga®		Total
	(Dollars in millions)
Net revenues by channel:
Wholesale	$	450.4	$	215.2	$	123.8	$	14.7	$	804.1
Direct-to-consumer	306.8		191.4		123.3		17.5		639.0
Total net revenues	$	757.2	$	406.6	$	247.1	$	32.2	$	1,443.1

The Company did not have any material contract assets or contract liabilities recorded in the consolidated balance sheets as of March 1, 2026 and November 30, 2025.

	Nine Months Ended August 25, 2024
	Levi’s Brands
	Americas		Europe		Asia		Beyond Yoga®		Total
	(Dollars in thousands)
Net revenues by channel:
Wholesale	$	1,289.9	$	574.8	$	368.3	$	40.3	$	2,273.3
Direct-to-consumer	915.3		609.0		427.6		56.9		2,008.8
Total net revenues	$	2,205.2	$	1,183.8	$	795.9	$	97.2	$	4,282.1

The Company did not have any material contract assets or contract liabilities recorded in the consolidated balance sheets as of August 31, 2025 and December 1, 2024.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 13: OTHER INCOME (EXPENSE), NET

The following table summarizes significant components of “Other income (expense), net”:

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)
Foreign exchange management gains (losses)(1)	$	115.06	$	(110.18)	$	~~41.0~~	$	~~1.8~~
Foreign currency transaction losses(2)	(11.1)		(5.8)		(48.6)		(11.2)
Foreign currency transaction (losses) gain(2)	(5.5)		2.2
Other, net	1.4		6.5		11.1		7.1
Marketable securities losses	(0.7)		(5.2)
Total other income (expense), net	$	1.3	$	(0.4)	$	3.5	$	(2.3)
Legal settlement gain (3)	33.0		—
Other, net	10.2		9.7
Total other income (expense), net	$	42.6	$	(4.1)

____________

(1)Gains and losses on forward foreign exchange contracts primarily result from currency fluctuations relative to negotiated contract rates. For the three ~~and~~months ~~nine~~ended March 1, 2026, gains were primarily due to currency fluctuations relative to negotiated contract rates on positions to buy the Australian dollar. For the three months ended ~~August~~March 312, 2025, ~~gains~~losses were primarily due to currency fluctuations relative to negotiated contract rates on positions to buy the Euro.

(2)Foreign currency transaction gains and losses reflect the impact of currency fluctuations on the Company's foreign currency denominated balances. For the three months ended March 1, 2026, losses were primarily due to the impact of U.S. dollar weakening against the Euro, Australian dollar, and ~~nine~~Mexican peso. For the three months ended ~~August~~March 312, 2025, ~~losses~~gains were primarily due to the impact of U.S. dollar ~~weakening~~strengthening against the Euro.

(3)During the three months ended March 1, 2026 the Company recognized a gain related to a trademark infringement legal settlement.

NOTE 14: INCOME TAXES

The Company’s effective income tax rate was 2122.94% for the three months ended ~~August~~March 311, ~~2025~~2026, compared to (120.9)6% for the same prior-year period. The increase in the effective tax rate in the current quarter iswas primarily due to ~~lower~~a ~~earnings~~higher ~~before~~effective tax inrate on foreign earnings compared with the prior -year period.

~~The Company’s effective income tax rate was~~ 21.5% for the nine months ended August 31, 2025, compared to (39.3)% for the same prior-year period. The increase in the effective tax rate is primarily due to lower earnings before tax in the prior year, and a $10.1 million tax benefit related to favorable resolutions of state audits.

The Organization for Economic Cooperation and Development reached agreement among over 140 countries to implement a minimum 15% tax rate on certain multinational enterprises, commonly referred to as Pillar Two. Many countries continue to announce changes in their tax laws and regulations based on the Pillar Two framework. The Company determined that Pillar Two did not have a material impact to our tax provision for the three and nine months ended August 31, 2025. We will continue to evaluate the impact of legislative changes as additional guidance becomes available.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S. The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions. The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. The Company has evaluated the OBBBA enacted during the quarter and estimated its impact on the consolidated financial statements to be immaterial. We will continue to evaluate the full impact of these legislative changes as additional guidance becomes available.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 15: EARNINGS PER SHARE

The following table sets forth the computation of the Company’s basic and diluted earnings per share:

Three Months Ended

~~Nine Months Ended~~

August 31,2025

August 25,2024

August 31,2025

August 25,2024

March 1,2026

March 2,2025

(Dollars in millions, except per share amounts)

Numerator:

Net income from continuing operations

~~122~~177.01

22140.72

~~341.8~~

~~30.0~~

Net income (loss) from discontinued operations, net of taxes

~~96.~~(1.3)

(25.02)

~~78.3~~

~~(2.0)~~

Net income

~~218~~175.18

20135.70

~~420.1~~

~~28.0~~

Denominator:

Weighted-average common shares outstanding - basic

~~395~~389,~~659~~907,~~040~~760

~~398~~396,~~187~~576,~~049~~662

~~396,578,375~~

~~398,642,455~~

Dilutive effect of stock awards

34,~~870~~289,~~609~~041

43,~~211~~469,~~015~~720

~~3,822,958~~

~~4,206,224~~

Weighted-average common shares outstanding - diluted

~~399~~394,~~529~~196,~~649~~801

~~402~~400,~~398~~046,~~064~~382

~~400,401,333~~

~~402,848,679~~

Earnings (loss) per common share:

Continuing operations - Basic

0.3145

0.0635

~~0.87~~

~~0.08~~

Discontinued operations - Basic

~~0.24~~—

(0.01)

~~0.19~~

~~(0.01)~~

Net income - Basic

0.5545

0.0534

~~1.06~~

~~0.07~~

Continuing operations - Diluted

0.3145

0.0635

~~0.86~~

~~0.07~~

Discontinued operations - Diluted

~~0.24~~—

(0.01)

~~0.19~~

—

Net income - Diluted

0.5545

0.0534

~~1.05~~

~~0.07~~

Anti-dilutive securities excluded from calculation of diluted earnings per share

31,~~691~~827,~~474~~299

23,~~609~~911,~~700~~185

~~3,953,446~~

~~4,171,552~~

NOTE 16: RELATED PARTIES

Michelle Gass (President and Chief Executive Officer) and David Jedrzejek (Senior Vice President and General Counsel) are members of the Board of Directors of the Levi Strauss Foundation, which is an independent non-profit entity that is not one of our consolidated entities. Mr. Jedrzejek also serves as a Vice ~~President~~Chair of the Levi Strauss Foundation. During the three ~~and nine~~ months ended ~~August~~March 311, ~~2025~~2026, the Company donated $07.47 million ~~and $5.3 million, respectively,~~ to the Levi Strauss Foundation as compared to $04.4 million ~~and $5.7 million, respectively,~~ for the same prior-year ~~periods~~period. During the three ~~and nine~~ months ended ~~August~~March 311, ~~2025~~2026, the Company recognized expenses related to their donation commitments of $52.96 million ~~and $9.1 million, respectively,~~ as compared to $20.28 million ~~and $6.4 million, respectively,~~ for the same prior-year periods.

2922

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

NOTE 17: BUSINESS SEGMENT INFORMATION

The Company manages its business according to three reportable segments: Americas, Europe, and Asia, collectively comprising the Company’s Levi’s Brands business, which includes Levi’s®, and Levi Strauss Signature™ ~~and Denizen®~~ brands. The Beyond Yoga® business is managed separately and does not meet the quantitative threshold for reportable segments. Corporate expenses are comprised of selling, general and administrative expenses that management does not attribute to any of our operating segments and these expenses primarily relate to corporate administration, information resources, finance and human resources functional and organizational costs. ~~In the first quarter of 2024 we announced the strategic decision to discontinue the Denizen® brand with the wind down of operations substantially complete as of March 2, 2025.~~ At the end of the first quarter of 2025, the Company determined that the Dockers® business met held for sale and discontinued operations accounting criteria. During the second quarter of 2025, the Company entered into a definitive agreement to sell its Dockers® business and on July 31, 2025 the Company sold the Dockers® intellectual property and operations in the U.S. and Canada. The ~~sale~~Company ofsold the remaining Dockers® operations isin ~~expected~~multiple toclosings ~~close~~during onthe orfirst ~~around~~quarter ~~January~~of 312026, with the final closing on February 27, 2026. Accordingly, the Company classified the Dockers® business as discontinued operations in its consolidated statements of income for all periods presented and excluded the business from segment results for all periods presented. See Note 2 “Discontinued Operations”.

The Company considers its chief executive officer to be its chief operating decision maker. The Company’s chief operating decision maker manages business operations, evaluates performance and allocates resources based on the segments’ net revenues and operating income. The Company reports inventories by segment as that information is used by the chief operating decision maker in assessing segment performance. The Company does not report its other assets by segment as that information is not regularly provided to the chief operating decision maker in assessing segment performance.

30Business segment information for the Company is as follows:


	Three Months Ended March 1, 2026
	Levi’s Brands
	Americas		Europe		Asia		Total
	(Dollars in millions)
Segment net revenues	$	855.7	$	496.0	$	347.5	$	1,699.2
Beyond Yoga® net revenues							43.3
Total net revenues							$	1,742.5

Segment cost of goods sold	376.9		131.7		128.8
Segment selling, general, and administrative	315.6		235.1		148.3

Segment operating income	$	163.2	$	129.2	$	70.4	$	362.8
Beyond Yoga® operating loss							(0.8)
Restructuring charges, net(1)							(7.9)
Corporate expenses							(155.4)
Interest expense							(13.1)
Other income (expense), net(2)							42.6
Income from continuing operations before income taxes							$	228.2

____________

(1) For the three months ended March 1, 2026 restructuring charges, net consisted primarily of severance and post-employment benefit charges.

(2) For the three months ended March 1, 2026 other income (expense), net includes a $33.0 million gain on legal settlement.

LEVI STRAUSS & CO. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (continued)

FOR THE QUARTERLY PERIOD ENDED ~~AUGUST~~MARCH 311, ~~2025~~2026

Business segment information for the Company is as follows:


	Three Months Ended March 2, 2025
	Levi’s Brands
	Americas		Europe		Asia		Total
	(Dollars in millions)
Segment net revenues	$	783.0	$	400.5	$	308.1	$	1,491.6
Beyond Yoga® net revenues							35.2
Total net revenues							$	1,526.8

Segment cost of goods sold	337.2		117.6		117.4
Segment selling, general, and administrative	276.1		180.5		132.8

Segment operating income	$	169.7	$	102.4	$	57.9	$	330.0
Beyond Yoga® operating loss							(3.1)
Restructuring charges, net(1)							(6.7)
Corporate expenses							(128.6)
Interest expense							(10.9)
Other income (expense), net							(4.1)
Income from continuing operations before income taxes							$	176.6

	Three Months Ended				Nine Months Ended
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	(Dollars in millions)
Net revenues:
Americas	$	806.4	$	757.2	$	2,337.8	$	2,205.2
Europe	426.3		406.6		1,229.9		1,183.8
Asia	277.7		247.1		843.5		795.9
Total segment net revenues	1,510.4		1,410.9		4,411.2		4,184.9
Beyond Yoga®	33.0		32.2		105.0		97.2
Total net revenues	$	1,543.4	$	1,443.1	$	4,516.2	$	4,282.1
Income (loss) from continuing operations before income taxes:
Americas	$	189.3	$	173.9	$	512.3	$	432.8
Europe	91.0		83.2		262.8		239.9
Asia	33.4		28.5		120.9		111.0
Total segment operating income	313.7		285.6		896.0		783.7
Beyond Yoga® operating (loss) income	(4.8)		(5.8)		(12.3)		(9.6)
Restructuring charges, net(1)	(8.6)		(3.4)		(22.1)		(171.6)
Goodwill and other intangible asset impairment charges(2)	—		(111.4)		(2.5)		(116.9)
Corporate expenses(3)	(132.9)		(132.3)		(392.1)		(431.4)
Interest expense	(12.5)		(10.1)		(35.2)		(30.4)
Other income (expense), net(4)	1.3		(0.4)		3.5		(2.3)
Income (loss) from continuing operations before income taxes	$	156.2	$	22.2	$	435.3	$	21.5

____________

(1)~~Restructuring~~For ~~charges, net for~~ the three ~~and nine~~ months ended ~~August~~March 312, 2025 restructuring charges, net consisted primarily of severance, ~~and other~~ post-employment benefit charges, ~~and asset impairment and~~ contract termination costs, ~~partially~~and ~~offset~~asset byimpairments ~~a gain recognized on the sale of a distribution center~~ in connection with Project Fuel.

Restructuring charges, net for the three and nine months ended August 25, 2024 consisted primarily of severance and other post-employment benefit charges in connection with Project Fuel.


	Three Months Ended
	March 1, 2026		March 2, 2025

	(Dollars in millions)
Depreciation and amortization expense:
Americas	$	15.1	$	14.6
Europe	8.4		6.9
Asia	5.2		4.4
Total segment depreciation and amortization expense	28.7		25.9
Beyond Yoga and unallocated	26.7		22.2
Total continuing operations depreciation and amortization expense	$	55.4	$	48.1

(2)For the three and nine months ended August 25, 2024, goodwill and other intangible asset impairment charges includes $36.3 million related to Beyond Yoga® reporting unit goodwill, $66.0 million related to the Beyond Yoga® trademark and $9.1 million related to the Beyond Yoga® customer relationship intangible assets. Additionally, the nine months ended August 25, 2024.includes a $5.5 million goodwill impairment charge related to the footwear business.24

~~(3)$3.1 million~~LEVI ~~benefit~~STRAUSS ~~related to incentive compensation for the Dockers® business was reclassified from Corporate expenses to SG~~&A ~~within~~CO. ~~discontinued~~AND ~~operations for the nine months ended August 25, 2024.~~SUBSIDIARIES

~~(4)Other~~NOTES ~~income~~TO ~~(expense),~~CONSOLIDATED ~~net~~FINANCIAL ~~for~~STATEMENTS ~~the~~— ~~three and nine months ended August 31, 2025 includes subrogation related to an insurance recovery of $1.1 million. Other income~~ (~~expense~~continued)~~, net for the three and nine months ended August 25, 2024 includes an insurance recovery of 2.7 million and a government subsidy gain of 1.4 million.~~

31FOR THE QUARTERLY PERIOD ENDED MARCH 1, 2026


	March 1, 2026
	Levi's Brands
	Americas		Europe		Asia		Segment Total		Unallocated(1)		Consolidated Total

	(Dollars in millions)
Assets:
Inventories	$	681.1	$	175.9	$	186.9	$	1,043.9	$	76.7	$	1,120.6
All other assets									5,454.2		5,454.2
Total assets											$	6,574.8

____________


(1)			Unallocated inventories include $40.4 million of Beyond Yoga inventory.


	November 30, 2025
	Levi's Brands
	Americas		Europe		Asia		Segment Total		Unallocated(1)		Consolidated Total

	(Dollars in millions)
Assets:
Inventories	$	761.7	$	161.3	$	178.1	$	1,101.1	$	136.6	$	1,237.7
All other assets									5,611.1		5,611.1
Total assets											$	6,848.8

____________


(1)			Unallocated inventories include $38.5 million of Beyond Yoga inventory.

NOTE 18: SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

Changes in operating assets and liabilities affecting cash were as follows:


	Three Months Ended
	March 1, 2026		March 2, 2025

	(Dollars in millions)
Change in operating assets and liabilities:
Trade receivables	$	55.7	$	49.2
Inventories	140.2		55.0
Accounts payable	(114.7)		(104.5)
Accrued salaries, wages and employee benefits and long-term employee related benefits	(59.4)		(57.5)
Right-of-use operating lease assets and current and non-current operating lease liabilities, net	(7.6)		(3.2)
Other current and non-current assets	5.1		(29.5)
Other current and long-term liabilities	(22.8)		(74.3)
Net change in operating assets and liabilities	$	(3.5)	$	(164.8)

Table of Contents


Item 2.			MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You should read the following discussion and analysis of our financial condition and results of operations together with our unaudited consolidated financial statements and related notes thereto included in Part I, Item 1 of this Quarterly Report and with our audited financial statements and related notes in our Annual Report on Form 10-K for the year ended ~~December 1~~November 30, ~~2024~~2025, filed with the Securities and Exchange Commission on January 2928, ~~2025~~2026. Some of the information contained in this discussion and analysis or set forth elsewhere in this Quarterly Report, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks and uncertainties. See “Special Note Regarding Forward-Looking Statements” and “Risk Factors” for a discussion of forward-looking statements and important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements. We use a 52- or 53-week fiscal year, with each fiscal year ending on the Sunday that is closest to November 30 of that year. References to ~~2024~~2026 and 2025 below in this section are references to our fiscal years ending in ~~December~~November ~~2024~~2026 and November 2025, respectively, unless otherwise indicated. See “Financial Information Presentation - Fiscal Year.”

This Management’s Discussion and Analysis of Financial Condition and Results of Operations is designed to provide a reader of our financial statements with a narrative from the perspective of our management on our financial condition, results of operations, liquidity and certain other factors that may affect our future results.

To supplement our consolidated financial statements prepared and presented in accordance with generally accepted accounting principles in the United States (“GAAP”), we use certain non-GAAP financial measures throughout this Quarterly Report, as described further below, to provide investors with additional useful information about our financial performance, to enhance the overall understanding of our past performance and future prospects and to allow for greater transparency with respect to important metrics used by our management for financial and operational decision-making. We are presenting these non-GAAP financial measures to assist investors in seeing our financial performance from management’s point of view and because we believe they provide an additional tool for investors to use in comparing our core financial performance over multiple periods with other companies in our industry.

However, non-GAAP financial measures have limitations in their usefulness to investors because they have no standardized meaning prescribed by GAAP and are not prepared under any comprehensive set of accounting rules or principles. In addition, non-GAAP financial measures may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies. As a result, non-GAAP financial measures should be viewed as supplementing, and not as an alternative or substitute for, our consolidated financial statements prepared and presented in accordance with GAAP. For more information on our calculation of non-GAAP measures and reconciliations of these non-GAAP financial measures to the most directly comparable financial measures calculated in accordance with GAAP, see “Non-GAAP Financial Measures.”

Overview

We are an iconic American company with a rich history of profitable growth, quality, innovation and corporate citizenship. Our story began in San Francisco, California, in 1853 as a wholesale dry goods business. We created the first riveted blue jean 20 years later. Today we design, market and sell products that include jeans, casual and dress pants, activewear, tops, shorts, skirts, dresses, jackets and related accessories for men, women and children around the world under our Levi’s®, ~~Dockers®,~~ Levi Strauss Signature™, ~~Denizen®~~ and Beyond Yoga® brands. We service our consumers through our global infrastructure which develops, sources and markets our products around the world. In the first quarter of 2024 we announced the strategic decision to discontinue the Denizen® brand. The wind down of Denizen® brand operations was substantially complete as of March 2, 2025. In the second quarter of 2025 we entered into a definitive agreement to sell our Dockers® business. On July 31, 2025 the Company sold the Dockers® intellectual property and operations in the U.S. and Canada. The sale of the remaining Dockers® operations is expected to close on or around January 31, 2026.

We recognize wholesale revenue from sales of our products through third-party retailers such as department stores, specialty retailers, third-party e-commerce sites and franchise locations dedicated to our brands. We also sell our products directly to consumers (“DTC”) through a variety of formats, including our own company-operated mainline and outlet stores, company-operated e-commerce sites and select shop-in-shops that we operate within department stores and other third-party retail locations. As of ~~August~~March 311, ~~2025~~2026, our products were sold in approximately 50,000 retail locations in approximately 120 countries, including approximately 3,~~200~~300 brand-dedicated stores and shop-in-shops. As of ~~August~~March 311, ~~2025~~2026, we had 1,~~201~~232 company-operated stores located in 3938 countries and approximately ~~510~~520 company-operated shop-in-shops. The remainder of our brand-dedicated stores and shop-in-shops were operated by franchisees and other partners.

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Across all of our brands, pants – including jeans, casual pants, dress pants, shorts, skirts and activewear – represented 67% and 6569% of our total units sold in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively. Tops – including shirts, sweaters, jackets, dresses and jumpsuits – represented 29% and 28% of our total units sold in the first ~~nine~~three months of ~~both~~2026 ~~2025~~ and ~~2024~~2025, respectively. The remainder of our products are accessories. Men’s products generated 6059% and 61% of our net revenues in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively. Women’s products generated 3940% and 38% of our net revenues in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively. The remainder of our products are non-gendered. Products other than denim bottoms – which include tops, accessories and pants excluding jeans – represented 3837% and 3735% of our net revenues in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively.

Our Europe and Asia businesses, collectively, contributed 48% and 46% of our net revenues in the first ~~nine~~three months of ~~both~~2026 ~~2025~~ and ~~2024~~2025, respectively. Net revenues from our international business, which includes our Europe and Asia segments, as well as Canada and Latin America from our Americas segment, represented 5861% and 57% of our net revenues in the first ~~nine~~three months of ~~both~~2026 ~~2025~~ and ~~2024~~2025, respectively. Sales of Levi’s® brand products represented approximately 94% of our net revenues in the first ~~nine~~three months of both ~~2025~~2026 and ~~2024~~2025.

Our wholesale channel generated 5148% ~~and 53%~~ of our net revenues in the first ~~nine~~three months of ~~2025~~both 2026 and ~~2024, respectively~~2025. Sales to franchise partners, included as a component of our wholesale channel, generated 7% of our net revenues in the first ~~nine~~three months of both ~~2025~~2026 and ~~2024~~2025. Our DTC channel generated 4952% ~~and 47%~~ of our net revenues in the first ~~nine~~three months of ~~2025~~both 2026 and ~~2024,~~2025 ~~respectively,~~ with our company operated e-commerce business representing 2225% and 2124% of DTC channel net revenues in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively, and 1113% and 1012% of total net revenues in the first ~~nine~~three months of ~~2025~~2026 and ~~2024~~2025, respectively.

Sale of Dockers®

In the fourth quarter of 2024, the Company announced it had initiated a formal review of strategic alternatives for the Dockers® brand, which could include a potential sale or other strategic transaction. During the second quarter of 2025 the Company entered into a definitive agreement to sell its Dockers® business, subject to customary closing conditions. On July 31, 2025 the Company sold the Dockers® intellectual property and operations in the U.S. and Canada. The ~~sale~~Company ofsold the remaining Dockers® operations isin ~~expected~~multiple toclosings ~~close~~during onthe orfirst ~~around~~quarter ~~January~~of 312026, with the final closing on February 27, 2026. The Dockers® business was reported as discontinued operations in the consolidated statements of income for all periods presented. The current year and prior year metrics included in this Management’s Discussion and Analysis exclude the impact of Dockers®.

Project Fuel

In the first quarter of 2024, our Board of Directors (the "Board") approved a multi-year global productivity initiative, “Project Fuel”, designed to accelerate the execution of our Brand Led and DTC First strategies while fueling long-term profitable growth. This is a two-year initiative that began in 2024, with a focus on optimizing our operating model and structure, redesigning business processes and identifying opportunities to reduce costs and simplify processes across our organization. The Company is changing its distribution strategy from an owned and operated model to a mix of owned and third-party operated distribution centers, which has resulted and will continue to result in the sale, lease, exit or transfer of certain distribution centers currently owned and operated by the Company to third-party logistics providers. The first phase of the global productivity initiative was completed primarily in the first half of 2024. In connection with the initiative, we incurred restructuring charges of $22.1 million and restructuring related charges of $11.8 million in the first nine months of 2025, which were included in “Restructuring charges, net” and “Selling, general and administrative expenses” (“SG&A”), respectively, in the consolidated statements of income. We may incur additional significant restructuring and restructuring related charges as we progress our global productivity initiative, which could be material in a future fiscal quarter or year.

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Other Factors Affecting Our Business

We believe the other key business and marketplace factors that are impacting our business include the following:

•~~Additional~~Reciprocal tariffs ~~recently~~previously imposed on products imported into the U.S. from most jurisdictions, along with retaliatory actions by other countries, have created an uncertain environment for global trade. InOn ~~addition~~February 20, ~~many~~2026 a U.S. Supreme Court ruling invalidated the tariffs imposed by the U.S. government under the International Emergency Economic Powers Act (“IEEPA”) on products imported into the U.S., which introduced the potential for such previously collected tariffs to be refunded by the U.S. government. Through the first quarter of 2026, the Company paid approximately $80 million of these tariffs. The U.S. government subsequently imposed new tariffs under a separate authority prospectively in response to the ruling, all of which have created additional tariff uncertainty. Many of our products are produced in countries, such as Bangladesh, Cambodia, Pakistan, ~~Cambodia~~ and Vietnam, ~~which~~that ~~have~~were ~~been~~subject to the ~~subject~~recently ofinvalidated ~~new~~ U.S. ~~reciprocal~~IEEPA tariffs, and ~~there~~are subject to new prospective tariffs. There may be additional tariff actions or ~~increased~~increases ~~incremental~~to ~~tariff~~existing ~~actions~~tariffs in the future in response to the recently invalidated tariffs. As a result of ~~the~~these ~~new~~tariff ~~tariffs~~actions, ~~expected additional tariffs,~~ retaliatory actions taken by other countries in response, and ~~continuing~~ongoing uncertainty asregarding toU.S. ~~the~~trade ~~status of such tariffs~~policy, the cost of our inventory in the U.S. has increased and may increase further in the future. These increased costs could lead to a significant increase in cost of sales and a significant reduction in gross margin and income from operations. We are monitoring the changing ~~tariff~~tariffs and trade restrictions, assessing the impact on our business and taking steps to mitigate their impact~~, which include supplier negotiations, cost reductions, changing the timing of receiving inventory and selective price increases~~. However, the duration, magnitude and scope of any additional tariffs, trade restrictions, and retaliatory or other measures are difficult to predict, including related unfavorable impacts to consumer demand, along with the extent (if any) to which we will be able to offset the impacts of such actions through our mitigation efforts. These tariff actions, retaliatory measures, or other trade restrictions, could materially and adversely affect our business.

•As part of our effort to optimize our logistics network, we are in the process of transitioning the operation of certain of our global distribution and fulfillment centers to third-party logistics providers. This transition from owner-operated facilities to third-party logistics providers has and may continue to cause interruptions to these centers as we transition or restructure systems, technology and employees. We have and may continue to experience shipping delays, order cancellations and increased costs as a result of this transition. Given that, we are subject to concentration risks and any disruptions, delays or other events impacting the business of the third-party logistics providers may have a significant impact on our business, including our ability to timely fulfill orders. If we continue to encounter problems with our distribution system, our ability to meet customer and consumer expectations, manage inventory, complete sales and achieve operating efficiencies may be adversely affected.27

•Macroeconomic pressures in the U.S. and the global economy such as changes in tariff regimes, inflation and recession fears are creating a complex and challenging retail environment for us and our customers as consumers may reduce discretionary spending. A decline in consumer spending has had and may continue to have an adverse effect on our revenues, margins and net income. These trends historically have impacted and may impact our future financial results, affecting revenue, margins and net income.

•As we continue to execute on our strategic framework to be DTC First, we expect to see greater impact on our margins, as the diversification of our business model across channels, geographies, brands, and categories affects our gross margin. For example, if our sales in higher gross margin channels, geographies, brands and categories grow at a faster rate than in our lower gross margin channels, geographies, brands and categories, we would expect a favorable impact to aggregate gross margin over time. Gross margin in our Europe segment is generally higher than in our Americas and Asia segments. DTC sales generally have higher gross margins than sales through third parties, although DTC sales also typically have higher selling expenses and could have lower profitability. Enhancements to our existing product offerings, or our expansion into new brands and products categories, may also impact our future gross margin.

•The current domestic and international political environment, including volatile trade relations and military and civil conflicts, have resulted in uncertainty surrounding the future state of the global economy. There is greater uncertainty with respect to potential changes in trade regulations, tariffs, sanctions and export controls which also increase volatility in the global economy. This environment has affected and may continue to affect production and distribution lead times, increasing our costs and potentially affecting our ability to meet customer demand. If these disruptions persist, they may require us to modify our current sourcing practices, which may impact our product costs, and, if not mitigated, could have a material adverse effect on our business and results of operations.

•Foreign currencies continue to be volatile, with the volatility increasing due to the imposition of and changing tariff regimes. Significant fluctuations of the U.S. Dollar against various foreign currencies, including the Euro and Mexican Peso, has in the past and may in the future negatively impact our financial results, revenue, operating margins and net income.

•Tax legislation continues to evolve globally with new laws and regulations that create uncertainty in the global economy. The Organization for Economic Cooperation and Development reached agreement among over 140 countries to implement a minimum 15% tax rate on certain multinational enterprises, commonly referred to as Pillar Two. Many countries continue to announce changes in their tax laws and regulations based on the Pillar Two

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~~framework.~~•As ~~Additionally~~part of our effort to optimize our logistics network, ~~U.S~~we ~~Congress~~are ~~enacted~~in the ~~One~~process ~~Big~~of ~~Beautiful~~transitioning ~~Bill~~and ~~Act~~stabilizing ~~(“OBBBA”)~~the ~~which~~operation ~~includes~~of ~~significant~~certain ~~provisions~~of our global distribution and fulfillment centers to third-party logistics providers. This transition from owner-operated facilities to third-party logistics providers has and may continue to cause interruptions to these centers as we transition or restructure systems, ~~including~~technology ~~tax~~and ~~cut~~employees. ~~extensions~~We have and ~~modifications~~may continue to ~~the~~experience ~~international~~shipping ~~tax~~delays, ~~framework~~order cancellations and increased costs as a result of this transition and stabilization. ~~Although~~We weare ~~expect~~subject to concentration risks and any disruptions, delays or other events impacting the ~~OBBBA~~business toof the third-party logistics providers may have ~~immaterial~~a ~~impacts~~significant impact on our business, including our ability to timely fulfill orders. If we continue to encounter problems with our ~~financial~~distribution ~~results~~system, weour ~~will~~ability ~~continue~~to ~~monitoring~~meet ~~its~~customer ~~impacts~~and consumer expectations, manage inventory, complete sales and achieve operating efficiencies may be adversely affected.

•Macroeconomic pressures in the U.S. and the global economy such as changes in tariff regimes, inflation, energy prices and recession fears are creating a complex and challenging retail environment for us and our customers as consumers may reduce discretionary spending. These trends historically have impacted and may impact our future financial results, affecting revenue, margins and net income.

•As we continue to execute on our strategic framework to be DTC First, we expect to see greater impact on our margins, as the diversification of our business model across channels, geographies, brands, and categories affects our gross margin. For example, if our sales in higher gross margin channels, geographies, brands and categories grow at a faster rate than in our lower gross margin channels, geographies, brands and categories, we would expect a favorable impact to aggregate gross margin over time. Gross margin in our Europe segment is generally higher than in our Americas and Asia segments. DTC sales generally have higher gross margins than sales through third parties, although DTC sales also typically have higher selling expenses and could have lower profitability. Gross margin on tops is generally lower than our bottoms category. Enhancements to our existing product offerings, or our expansion into new brands and products categories, may also impact our future gross margin.

•The current domestic and international political environment, including volatile trade relations and military and civil conflicts, and most recently heightened military action in the Middle East, have resulted in uncertainty surrounding the future state of the global economy. There is greater uncertainty with respect to potential changes in trade regulations, tariffs, sanctions and export controls which also increase volatility in the global economy. This environment has affected and may continue to affect consumer sentiment and demand and production and distribution lead times, increasing our costs and potentially affecting our ability to meet customer demand. If these disruptions persist, they may require us to modify our current sourcing and logistics practices, which may impact our product costs, and, if not mitigated, could have a material adverse effect on our business and results of operations.

•Foreign currencies continue to be volatile, with the volatility increasing due to the imposition of tariffs and evolving trade policies. Significant fluctuations of the U.S. Dollar against various foreign currencies, including the Euro, Mexican peso and Australian dollar, has in the past and may in the future adversely impact our financial results, revenue, operating margins and net income.

•Tax legislation continues to evolve globally with new laws and regulations that create uncertainty and may adversely affect our financial results. The Organization for Economic Cooperation and Development reached agreement among over 140 countries to implement a minimum 15% tax rate on certain multinational enterprises, commonly referred to as Pillar Two. Many countries continue to announce changes in their tax laws and regulations based on the Pillar Two framework. The Company does not expect the impact of Pillar Two will be significant to our financial results in the short term. Additionally, U.S Congress enacted the One Big Beautiful Bill Act (“OBBBA”) which includes significant provisions, including extension of the Tax Cuts and Jobs Act and modifications to the international tax framework. We do not expect the OBBBA to have a material impact to our financial results and we will continue to monitor its impacts as the legislative landscape evolves.

•There has been increased focus from our stakeholders, including consumers, employees, investors, regulatory organizations and legislatures on corporate environmental, social, and governance (“ESG”) practices, including corporate practices related to the causes and impacts of climate change and corporate statements, practices or products related to a variety of social issues. We expect that stakeholder expectations and actions with respect to ESG practices and social issues and regulatory requirements will continue to evolve rapidly, which may impact our reputation and financial results.

These factors contribute to a global market environment of intense competition, constant product innovation and continuing cost pressure, and combine with the continuing global economic conditions to create a challenging commercial and economic environment. We evaluate these factors as we develop and execute our strategies.

For additional information regarding these risks, as well as other risks we face, see the risk factors discussed in Part I, Item 1A. “Risk Factors” in our Annual Report on Form 10-K for the year ended December 1, 2024.28

Seasonality of Sales

We typically achieve our largest quarterly revenues in the fourth quarter. In fiscal year 2024, our net revenues in the first, second, third and fourth quarters represented 24%, 23%, 24% and 29%, respectively, of our total net revenues for the year.

Our Third Quarter 2025 Results

•Net revenues. Consolidated net revenues increased 7.0% on a reported basis and 6.9% on an organic net revenues basis compared to the third quarter of 2024 reflecting net revenue growth across all regions and in both DTC and wholesale channels. Organic net revenues excludes the impact on net revenues of the footwear and Denizen® divestitures from the third quarter of 2024.

•Net income from continuing operations. We recognized consolidated net income from continuing operations of $122.0 million, compared to $22.7 million in the third quarter of 2024. The increase was primarily driven by Beyond Yoga® goodwill and intangible impairment charges recorded in the third quarter of 2024 as well as higher gross profit. These increases were partially offset by higher income taxes in the current year. Operating margin was 10.8%, up from 2.3% in the third quarter of 2024.

•Adjusted EBIT. Compared to the third quarter of 2024, Adjusted EBIT increased 2.5% to $182.3 million from $177.8 million. The increase is due to higher gross profit partially offset by higher Adjusted SG&A. As a result, Adjusted EBIT margin was 11.8%, 50 basis points lower than the third quarter of 2024 on a reported basis, and 70 basis points lower on a constant-currency basis.

•Adjusted net income. Compared to the third quarter of 2024, Adjusted net income increased to $135.7 million from $133.9 million. The increase was due to higher Adjusted EBIT as described above, partially offset by higher income taxes in the current year.

•Diluted earnings per share from continuing operations. We recognized diluted earnings per share from continuing operations of $0.31, compared to $0.06 in the third quarter of 2024, mainly due to the higher Net income from continuing operations described above.

•Adjusted diluted earnings per share. Compared to the third quarter of 2024, Adjusted diluted earnings per share increased to $0.34 from $0.33, mainly due to the higher Adjusted net income described above. Currency translation favorably affected Adjusted diluted earnings per share by $0.01.

•Inventory. Compared to the third quarter of 2024, inventory increased 12%, excluding the Dockers® business, in preparation for sales for the remainder of the year and from earlier receipts in order to mitigate potential impacts from tariffs.

Our Year-to-Date 2025 Results

•Net revenues. Consolidated net revenues increased 5.5% on a reported basis and 8.0% on an organic net revenues basis compared to the first nine months of 2024. Net revenues grew across our regions and in both our DTC and wholesale channels. Organic net revenues excludes the impact on net revenues of the footwear and Denizen® divestitures.

•Net income from continuing operations. Compared to the first nine months of 2024, consolidated net income from continuing operations increased to $341.8 million from $30.0 million, primarily due to the recognition of $22.1 million

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inFor ~~restructuring~~additional ~~charges~~information inregarding ~~the~~these ~~current~~risks, ~~year~~as ~~compared~~well toas ~~$171.6~~other ~~million~~risks ~~recognized~~we ~~in the prior year~~face, ~~and~~see ~~Beyond~~the ~~Yoga®~~risk ~~goodwill~~factors ~~and~~discussed ~~intangible impairment charges recorded~~ in ~~the~~Part ~~third~~I, ~~quarter~~Item ~~of 2024~~1A. ~~These~~“Risk ~~increases~~Factors” ~~were~~in ~~partially~~our ~~offset~~Annual byReport ~~higher~~on ~~income~~Form ~~taxes~~10-K infor the ~~current~~ year. ~~Operating~~ended ~~margin~~November 30, ~~was~~2025 ~~10.3%~~(“2025 ~~compared~~Annual toReport ~~1.3%~~on inForm ~~the first nine months of 2024~~10-K”).

~~•Adjusted~~Seasonality ~~EBIT. Compared to the first nine months~~ of 2024, Adjusted EBIT increased 25.6% to $505.6 million from $402.4 million, primarily due to higher gross profit in the current year. Adjusted EBIT margin was 11.2%, 180 basis points higher than the first nine months of 2024 on a reported basis and 190 basis points higher on a constant-currency basis.Sales

~~•Adjusted~~We ~~net~~typically ~~income. Compared~~achieve toour ~~the~~largest ~~first~~quarterly ~~nine~~revenues ~~months~~in ofthe ~~2024,~~fourth ~~Adjusted~~quarter. ~~net~~In ~~income~~fiscal ~~increased~~year ~~24.9%~~2025, toour ~~$374.2~~net ~~million~~revenues ~~from~~in ~~$299.5~~the ~~million~~first, ~~primarily~~second, ~~due~~third toand ~~higher~~fourth ~~Adjusted~~quarters ~~EBIT~~represented ~~described~~24%, ~~above~~23%, ~~partially~~25%, ~~offset~~28%, byrespectively, ~~higher~~of ~~income~~our ~~taxes~~total innet ~~the~~revenues ~~current~~for the year.

~~•Diluted~~Our ~~earnings~~First ~~per~~Quarter ~~share~~2026 from continuing operations. Compared to the first nine months of 2024, diluted earnings per share increased to $0.86 from $0.07, mainly due to higher net income from continuing operations described above.Results

•~~Adjusted~~Net ~~diluted~~revenues. Consolidated ~~earnings~~net ~~per~~revenues ~~share~~increased 14. ~~Compared~~1% toon ~~the~~a ~~first~~reported ~~nine~~basis ~~months~~and of9.2% ~~2024,~~on ~~Adjusted~~an ~~diluted~~organic ~~earnings~~net ~~per~~revenues ~~share~~basis ~~increased~~compared to ~~$0.94~~the ~~from~~first ~~$0.75,~~quarter ~~due~~of to2025 ~~higher~~reflecting ~~Adjusted~~ net ~~income~~revenue ~~described~~growth ~~above.~~across ~~Currency~~all ~~translation~~regions ~~unfavorably~~and ~~affected~~in ~~Adjusted~~both ~~diluted~~DTC ~~earnings~~and ~~per~~wholesale ~~share by $0~~channels.~~01.~~

~~For~~•Net ~~more~~income ~~information~~from oncontinuing ~~Organic~~operations. We recognized consolidated net ~~revenues,~~income ~~Adjusted~~from ~~SG&A,~~continuing ~~Adjusted~~operations ~~EBIT~~of $177.1 million, ~~Adjusted~~compared ~~net~~to ~~income~~$140.2 ~~and~~million ~~Adjusted~~in ~~diluted~~the ~~earnings~~first ~~per~~quarter ~~share,~~of ~~measures~~2025. ~~not~~The ~~prepared~~increase inwas ~~accordance~~primarily ~~with~~driven ~~GAAP,~~by higher net revenues and ~~reconciliations~~a oflegal ~~such~~settlement ~~measures~~gain, topartially ~~net~~offset ~~income~~by ~~from~~higher ~~continuing~~selling, ~~operations~~general and ~~diluted~~administrative ~~earnings~~expenses ~~per~~(“SG&A”). ~~share~~Net income margin from continuing operations was 10.2%, ~~see~~up ~~“Non-GAAP~~from ~~Financial~~9.2% ~~Measures~~in the first quarter of 2025.” Operating margin was 11.4%, down from 12.5% in the first quarter of 2025.

•Adjusted EBIT. Compared to the first quarter of 2025, Adjusted EBIT increased 6.8% to $217.8 million from $204.0 million primarily driven by higher net revenues, partially offset by the impact of tariffs and higher advertising and promotion expense. Adjusted EBIT margin was 12.5%, 90 basis points lower than the first quarter of 2025 on a reported basis, and 140 basis points lower on a constant-currency basis.

•Adjusted net income. Compared to the first quarter of 2025, Adjusted net income increased to $166.7 million from $150.0 million due to higher Adjusted EBIT described above.

•Diluted earnings per share from continuing operations. We recognized diluted earnings per share from continuing operations of $0.45, compared to $0.35 in the first quarter of 2025 mainly due to the higher Net income from continuing operations described above.

•Adjusted diluted earnings per share. Compared to the first quarter of 2025, Adjusted diluted earnings per share increased to $0.42 from $0.38, mainly due to the higher Adjusted net income described above. Currency translation favorably affected Adjusted diluted earnings per share by $0.01.

For more information on Organic net revenues, Adjusted EBIT, Adjusted EBIT margin, Adjusted net income and Adjusted diluted earnings per share, measures not prepared in accordance with GAAP, and reconciliations of such measures to net revenues, net income from continuing operations, net income margin from continuing operations and diluted earnings per share from continuing operations, see “Non-GAAP Financial Measures.”

Financial Information Presentation

Fiscal year. We use a 52- or 53- week fiscal year, with each fiscal year ending on the Sunday that is closest to November 30 of that year. Certain of our foreign subsidiaries have fiscal years ending November 30. Each fiscal year generally consists of four 13-week quarters, with each quarter ending on the Sunday that is closest to the last day of the last month of that quarter. Fiscal year ~~2025~~2026 is a 52-week year, ending on November 30 29, ~~2025~~2026 and fiscal year ~~2024~~2025 was a 5352-week year, ending on ~~December 1~~November 30, ~~2024~~2025. Each quarter of fiscal years ~~2025~~2026 and ~~2024~~2025 consists of 13 weeks~~, with the exception of the fourth quarter of 2024, which consisted of 14 weeks~~.

Segments. Our Levi’s Brands business, which includes Levi’s®, and Levi Strauss Signature™ ~~and Denizen®~~ brands, is defined by geographical regions into three segments: Americas, Europe and Asia. Our Beyond Yoga® business, which is managed separately, does not meet the quantitative thresholds for reportable segments but is presented separately to increase transparency of our performance.

Classification. Our classification of certain significant revenues and expenses reflects the following:

•Net revenues comprise net sales and licensing revenues. Net sales include sales of products to wholesale customers, including franchised stores, and direct sales to consumers at our company-operated stores and shop-in-shops located within department stores and other third-party locations, as well as company-operated e-commerce sites. Net revenues are recorded net of discounts, allowances for estimated returns and retailer promotions and other incentives. Licensing revenues, which include revenues from the use of our trademarks in connection with the manufacturing, advertising and distribution of trademarked products by third-party licensees, are earned and recognized as products are sold by licensees based on royalty rates as set forth in the applicable licensing agreements.

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•Cost of goods sold primarily comprises product costs, labor and related overhead, sourcing costs, inbound freight, internal transfers and the cost of operating our manufacturing facilities, including the related depreciation expense. On both a reported and constant-currency basis, cost of goods sold reflects the transactional currency impact resulting from the purchase of products in a currency other than the functional currency.

•Selling expenses reflected in SG&A include, among other things, all occupancy costs and depreciation associated with our company-operated stores and commissions associated with our company-operated shop-in-shops, as well as costs associated with our e-commerce operations.

•We reflect substantially all distribution costs in SG&A, for both our DTC and wholesale channels, including costs related to receiving and inspection at distribution centers, warehousing, shipping to our customers, handling, and certain other activities associated with our distribution network.

Discontinued operations. At the end of the first quarter of 2025 the Dockers® business was held for sale and reported as discontinued operations in the consolidated statements of income for all periods presented.

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Results of Operations

The following table summarizes, for the periods indicated, our consolidated statements of income, the changes in these items from period to period and these items expressed as a percentage of net revenues:

	Three Months Ended										~~Nine Months Ended~~
	August 31,2025		August 25,2024		%Increase(Decrease)		August 31,2025% of NetRevenues		August 25,2024% of NetRevenues		August 31,2025		August 25,2024		%Increase(Decrease)		August 31,2025% of NetRevenues		August 25,2024% of NetRevenues
	March 1,2026		March 2,2025		%Increase(Decrease)		March 1,2026% of NetRevenues		March 2,2025% of NetRevenues
	(Dollars and shares in millions, except per share amounts)
Net revenues	$	1,~~543~~742.45	$	1,~~443~~526.18	714.01	%	100.0	%	100.0	%	$	~~4,516.2~~	$	~~4,282.1~~	~~5.5~~	%	~~100.0~~	%	~~100.0~~	%
Cost of goods sold	~~591~~664.82		~~569~~579.2		414.07	%	38.31	%	3937.49	%	~~1,711.2~~		~~1,706.0~~		~~0.3~~	%	~~37.9~~	%	~~39.8~~	%
Gross profit	~~951~~1,078.63		~~873~~947.96		813.98	%	61.79	%	6062.61	%	~~2,805.0~~		~~2,576.1~~		~~8.9~~	%	~~62.1~~	%	~~60.2~~	%
Selling, general and administrative expenses	~~775~~871.67		~~726~~749.43		616.83	%	50.30	%	5049.31	%	~~2,313.4~~		~~2,233.4~~		~~3.6~~	%	~~51.2~~	%	~~52.2~~	%
Restructuring charges, net	87.69		36.47		~~152~~17.9	%	0.65	%	0.24	%	~~22.1~~		~~171.6~~		~~(87.1)~~	%	~~0.5~~	%	~~4.0~~	%
Goodwill and other intangible asset impairment charges	—		111.4		(100.0)	%	—	%	7.7	%	2.5		116.9		(97.9)	%	0.1	%	2.7	%
Operating income	198.7		191.6		3.7	%	11.4	%	12.5	%
Operating income	167.4		32.7		*		10.8	%	2.3	%	467.0		54.2		*		10.3	%	1.3	%
Interest expense	(13.1)		(10.9)		20.2	%	(0.8)	%	(0.7)	%
Interest expense	(12.5)		(10.1)		23.8	%	(0.8)	%	(0.7)	%	(35.2)		(30.4)		15.8	%	(0.8)	%	(0.7)	%
Other income (expense), net	42.6		(4.1)		*		2.4	%	(0.3)	%
Other income (expense), net	1.3		(0.4)		*		0.1	%	—	%	3.5		(2.3)		*		0.1	%	(0.1)	%
Income from continuing operations before income taxes	228.2		176.6		29.2	%	13.1	%	11.6	%
Income from continuing operations before income taxes	156.2		22.2		*		10.1	%	1.5	%	435.3		21.5		*		9.6	%	0.5	%
Income tax expense	51.1		36.4		40.4	%	2.9	%	2.4	%
Income tax expense (benefit)	34.2		(0.5)		*		2.2	%	—	%	93.5		(8.5)		*		2.1	%	(0.2)	%
Net income from continuing operations	177.1		140.2		26.3	%	10.2	%	9.2	%
Net income from continuing operations	122.0		22.7		*		7.9	%	1.6	%	$	341.8	$	30.0	*		7.6	%	0.7	%
Net income (loss) from discontinued operations, net of taxes	(1.3)		(5.2)		(75.0)	%	(0.1)	%	(0.3)	%
Net income (loss) from discontinued operations, net of taxes	96.1		(2.0)		*		6.2	%	(0.1)	%	78.3		(2.0)		*		1.7	%	—	%
Net income	$	175.8	$	135.0	30.2	%	10.1	%	8.8	%
Net income	$	218.1	$	20.7	*		14.1	%	1.4	%	$	420.1	$	28.0	*		9.3	%	0.7	%
Earnings (loss) per common share:
Continuing operations - Basic	$	0.3145	$	0.0635	*		*		*		$	~~0.87~~	$	~~0.08~~	*		*		*
Discontinued operations - Basic	~~0.24~~—		(0.01)		*		*		*		~~0.19~~		~~(0.01)~~		*		*		*
Net income - Basic	$	0.5545	$	0.0534	*		*		*		$	~~1.06~~	$	~~0.07~~	*		*		*
Continuing operations - Diluted	$	0.3145	$	0.0635	*		*		*		$	~~0.86~~	$	~~0.07~~	*		*		*
Discontinued operations - Diluted	~~0.24~~—		(0.01)		*		*		*		~~0.19~~		—		*		*		*
Net income - Diluted	$	0.5545	$	0.0534	*		*		*		$	~~1.05~~	$	~~0.07~~	*		*		*
Weighted-average common shares outstanding(in millions):
Basic	~~395~~389.79		~~398~~396.26		(01.67)	%	*		*		~~396.6~~		~~398.6~~		~~(0.5)~~	%	*		*
Diluted	~~399~~394.52		~~402~~400.40		(01.75)	%	*		*		~~400.4~~		~~402.8~~		~~(0.6)~~	%	*		*

_____________

* Not meaningful

3731

Table of Contents

Net revenues

The following table presents net revenues for the periods indicated and the changes in net revenues on both reported and organic net revenues basis from period to period.

	Three Months Ended								~~Nine Months Ended~~
					% Increase (Decrease)								~~% Increase (Decrease)~~
	August 31,2025		August 25,2024		AsReported		Organic Net Revenues		August 31,2025		August 25,2024		AsReported		Organic Net Revenues
	March 1,2026		March 2,2025		AsReported		Organic Net Revenues
	(Dollars in millions)
Net revenues:
Levi’s Brands:
Americas	$	~~806~~855.47	$	~~757~~783.20	69.53	%	7.31	%	$	~~2,337.8~~	$	~~2,205.2~~	~~6.0~~	%	~~9.0~~	%
Europe	~~426~~496.30		~~406~~400.65		423.8	%	39.18	%	~~1,229.9~~		~~1,183.8~~		~~3.9~~	%	~~6.6~~	%
Asia	~~277~~347.75		~~247~~308.1		12.48	%	12.34	%	~~843.5~~		~~795.9~~		~~6.0~~	%	~~7.5~~	%
Total Levi’s Brands net revenues	1,~~510~~699.42		1,~~410~~491.96		713.19	%	78.09	%	~~4,411.2~~		~~4,184.9~~		~~5.4~~	%	~~8.0~~	%
Beyond Yoga®	3343.03		3235.2		223.50	%	223.50	%	~~105.0~~		~~97.2~~		~~8.0~~	%	~~8.0~~	%
Total net revenues	$	1,~~543~~742.45	$	1,~~443~~526.18	714.01	%	6.9.2	%	$	~~4,516.2~~	$	~~4,282.1~~	~~5.5~~	%	~~8.0~~	%
Net revenues by channel:
Wholesale	$	~~832~~831.20	$	~~804~~739.13	312.54	%	58.34	%	$	~~2,301.4~~	$	~~2,273.3~~	~~1.2~~	%	~~5.7~~	%
DTC	~~711~~911.25		~~639~~787.05		1115.37	%	810.80	%	~~2,214.8~~		~~2,008.8~~		~~10.3~~	%	~~10.6~~	%
Total net revenues	$	1,~~543~~742.45	$	1,~~443~~526.18	714.01	%	6.9.2	%	$	~~4,516.2~~	$	~~4,282.1~~	~~5.5~~	%	~~8.0~~	%
Levi’s Brands net revenues:
Levi’s®	$	1,~~450~~633.85	$	1,~~358~~432.58	614.80	%	68.47	%	$	~~4,236.4~~	$	~~4,004.3~~	~~5.8~~	%	~~7.9~~	%
Levi Strauss SignatureTM	5965.67		4956.25		2116.13	%	2115.19	%	~~172.5~~		~~152.9~~		~~12.8~~	%	~~13.0~~	%
Denizen®	—		3.2		(100.0)	%	*		2.3		27.7		(91.7)	%	*
Denizen® (1)	—		2.3		(100.0)	%	*
Total Levi’s Brands net revenues	$	1,~~510~~699.42	$	1,~~410~~491.96	713.19	%	78.09	%	$	~~4,411.2~~	$	~~4,184.9~~	~~5.4~~	%	~~8.0~~	%

______________

(1)The wind down of Denizen® brand operations was substantially complete as of March 2, 2025.

* Not meaningful

Total net revenues increased on both a reported and organic net revenues basis for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026, as compared to the same ~~periods~~period in ~~2024~~2025. Currency translation had a favorable impact on total net revenues of approximately $2771 million for the three~~-month~~ ~~period~~months ended ~~August~~March 311, ~~2025 and an unfavorable impact of approximately $27 million for the nine-month period ended August 31, 2025~~2026. The divestitures of the Denizen® business and footwear category impacted net revenues unfavorably by $3 million and $22 million, respectively, for the three-month period ended August 31, 2025 and by $25 million and $50 million, respectively, for the nine-month period ended August 31, 2025.

Americas. Currency translation had ana ~~unfavorable~~favorable impact on net revenues of approximately $218 million ~~and approximately $36 million~~ for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025, respectively~~2026. Net revenues in the Americas increased for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 on both a reported and organic net revenues basis compared to the prior-year ~~periods~~period driven by growth in both DTC and wholesale channels.

The increase in DTC revenues was attributable to growth across all markets, ~~led by the U.S. and Latin America,~~ driven primarily by store performance ~~due to higher traffic, and also benefited from higher average revenues per unit~~. E-commerce revenues increased, primarily due to higher online traffic and higher units per transaction. Wholesale revenues increased primarily due to ~~higher~~an ~~volume~~increase in ~~the~~average ~~U.S.~~revenues ~~and~~per ~~Latin America~~unit, ~~including from door and category expansion. This was~~ partially offset by a decrease ~~related to lower shipping~~ in ~~connection with the transition to the distribution center in Groveport, Ohio for the three-month period ended August 31, 2025~~volume. ~~Additionally,~~DTC ~~Colombia stores, distribution~~ and ~~logistics~~wholesale ~~operations~~revenues ~~acquired~~also atbenefited ~~the~~from ~~start~~price ~~of the second quarter of 2024, contributed $17 million to net revenue growth for the nine-month period ended August 31, 2025~~increases.

Europe. Currency translation had a favorable impact on net revenues of approximately $2951 million ~~and approximately $20 million~~ for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025, respectively~~2026. Net revenues in Europe increased for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 on both a reported and organic net revenues basis compared to the prior-year ~~periods~~period, reflecting growth in ~~our~~both ~~DTC channel as well as growth in our~~ wholesale ~~channel~~and onDTC ~~an organic basis~~channels.

38Wholesale revenues increased for the three-month period ended March 1, 2026 compared to the prior year period primarily due to higher volumes. Wholesale revenues in the first quarter of 2025 were negatively impacted by decreased shipping in connection with the transition to the distribution center in Dorsten, Germany. The increase in DTC revenues was primarily due to e-commerce revenues and an increase in revenues from outlet stores.

Table of Contents

~~The~~Asia. Currency ~~increase~~translation indid ~~DTC~~not ~~revenues~~have ~~was~~a ~~primarily~~significant ~~due~~impact toon ~~store~~net ~~performance.~~revenues ~~E-commerce~~for ~~revenues~~the ~~increased~~three ~~primarily~~months ~~due~~ended toMarch ~~higher~~1, ~~traffic~~2026. ~~Wholesale~~Net revenues in Asia increased for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 ~~on an organic net revenue basis~~ compared to the prior year period ~~primarily~~on ~~due~~both toa ~~higher~~reported ~~volumes,~~ and ~~decreased~~organic onnet arevenues ~~reported~~ basis ~~due~~and toin ~~the~~both ~~divestiture~~our ofDTC ~~the~~and ~~footwear~~wholesale ~~category~~channels.

~~Asia. Currency~~The ~~translation~~increase ~~did~~in ~~not~~DTC ~~have~~revenues awas ~~significant~~primarily ~~impact~~due onto ~~net~~store ~~revenues~~performance ~~for~~and ~~the~~expansion ~~three~~in our company-~~month~~operated ~~period~~stores ~~ended~~as ~~August 31,~~a ~~2025,~~result ~~and~~of ~~had~~increased anaverage ~~unfavorable~~revenues ~~impact~~per ofunit ~~approximately~~and ~~$11~~higher ~~million~~volumes. ~~for~~We ~~the~~benefited ~~nine-month~~from ~~period~~38 ~~ended~~more ~~August 31,~~company-operated ~~2025.~~stores ~~Net~~in ~~revenues~~operation in Asia ~~increased~~as ~~for~~of ~~the~~March 1, ~~three-month~~2026 ~~and~~as ~~nine-month~~compared ~~periods~~to ~~ended August~~March 312, 2025. onThe ~~both~~increase ~~reported~~in ~~and~~wholesale ~~organic~~revenues ~~net~~was ~~revenues~~primarily ~~basis~~due to an increase in units sold.

~~Organic~~Beyond ~~net~~Yoga®. Net revenues in Beyond Yoga® increased inon ~~our~~a ~~DTC~~reported and ~~wholesale~~organic ~~channels~~net revenues basis for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025,~~2026 ~~particularly~~compared into ~~India,~~the ~~Japan~~prior ~~and~~year ~~Turkey.~~period, ~~The increase in DTC revenues was~~ primarily due to ~~store~~growth ~~expansion and strong performance~~ in ~~our company~~e-~~operated~~commerce ~~stores~~net asrevenues areflecting ~~result of increased volume driven by~~ higher ~~traffic~~demand. WeCurrency ~~benefited~~translation ~~from~~did 46not ~~more~~have ~~company-operated stores in operation in Asia as of August 31, 2025 as compared to August 25, 2024. The increase in wholesale revenue was primarily due to~~ an ~~increase~~impact inon ~~units~~net ~~sold. DTC and wholesale~~ revenues ~~benefited from price increases in Turkey and India~~.

Beyond Yoga®. Net revenues in Beyond Yoga® increased on a reported and organic net revenues basis for the three-month and nine-month periods ended August 31, 2025 compared to the prior year periods, primarily due to growth in e-commerce net revenues reflecting higher demand, partially offset by a decrease in wholesale net revenues. Currency translation did not have an impact on net revenues.

Net revenues by channel

Wholesale. Currency translation had a favorable impact on net revenues of approximately $1229 million for the three~~-month~~ ~~period~~months ended ~~August~~March 311, ~~2025 and an unfavorable impact of approximately $21 million for the nine-month period ended August 31, 2025~~2026. Net revenues in our wholesale channel increased for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 compared with the prior-year ~~periods~~period on a reported and organic net revenues basis primarily due to higher volumes., ~~For~~and ~~the~~benefited ~~nine-month~~from ~~period~~price ~~ended~~increases. ~~August 31,~~Wholesale ~~2025, wholesale~~ revenues onin athe ~~reported~~first ~~basis~~quarter ~~increased~~of in2025 ~~the~~were ~~Americas,~~negatively ~~partially~~impacted ~~offset~~ by adecreased ~~decline~~shipping in ~~Europe~~connection ~~due~~with the transition to the ~~divestiture~~distribution ofcenter ~~the~~in ~~footwear~~Dorsten, ~~category~~Germany.

DTC (Direct to Consumer). Currency translation had a favorable impact on net revenues of approximately $1541 million for the three~~-month~~ ~~period~~months ended ~~August~~March 311, ~~2025 and an unfavorable impact of approximately $6 million for the nine-month period ended August 31, 2025~~2026. Net revenues in our DTC channel increased on both a reported and organic net revenues basis for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026. The increase was driven by store performance, asand ~~well~~store asexpansion. eE-commerce, ~~which~~revenues ~~was~~increased driven primarily by higher traffic~~. On an organic net revenues basis our DTC business grew 7% and 8% in the U.S.~~, 4%higher ~~and~~units 8%per intransaction ~~Europe,~~ and ~~14%~~higher ~~and~~average ~~13%~~revenues inper ~~Asia~~unit. ~~for~~DTC ~~the~~revenues ~~three-month~~also ~~and~~benefited ~~nine-month~~from ~~periods~~price ~~ended August 31, 2025, respectively~~increases. For the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 net revenues from e-commerce on a reported basis grew 1821% ~~and 14%, respectively~~. As a percentage of net revenues on a reported basis for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025,~~2026 DTC comprised 4652% ~~and 49%~~ of total net revenues~~, respectively~~.

Levi’s Brands net revenues

Levi’s®. Currency translation had a favorable impact on net revenues of approximately $2771 million for the three~~-month~~ ~~period~~months ended ~~August~~March 311, ~~2025 and an unfavorable impact of approximately $26 million for the nine-month period ended August 31, 2025~~2026. Net revenues for the Levi’s® brand increased on both a reported and organic net revenues basis for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026. The increase was a result of higher revenue in our DTC channel, primarily due to ~~improved~~ store performance and expansion and higher e-commerce traffic, and an increase in wholesale revenues, ~~primarily~~due into higher volumes. Net revenues for the ~~Americas,~~Levi’s® ~~due~~brand toalso ~~higher~~benefited ~~volume~~from price increases.

Levi Strauss Signature™. Currency translation did not have a significant impact on net revenues for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026. Net revenues for the Levi Strauss Signature™ brand increased on both a reported and organic net revenues basis for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 due to more units sold.

Denizen®. Currency translation did not have a significant impact on net revenues for the three-month and nine-month periods ended August 31, 2025. Net revenues decreased on a reported basis due to the exit of the brand which was largely complete by March 2, 2025. 33

Table of Contents

Gross profit

The following table shows consolidated gross profit and gross margin for the periods indicated and the changes in these items from period to period:

	Three Months Ended								~~Nine Months Ended~~
	August 31,2025			August 25,2024			%Increase(Decrease)		August 31,2025			August 25,2024			%Increase(Decrease)
	March 1,2026			March 2,2025			%Increase(Decrease)
	(Dollars in millions)
Net revenues	$	1,~~543~~742.45		$	1,~~443~~526.18		714.01	%	$	~~4,516.2~~		$	~~4,282.1~~		~~5.5~~	%
Cost of goods sold	~~591~~664.82			~~569~~579.2			414.07	%	~~1,711.2~~			~~1,706.0~~			~~0.3~~	%
Gross profit	$	~~951~~1,078.63		$	~~873~~947.96		813.98	%	$	~~2,805.0~~		$	~~2,576.1~~		~~8.9~~	%
Gross margin	61.79		%	6062.61		%			~~62.1~~		%	~~60.2~~		%

Currency translation had a favorable impact on gross profit of approximately $1847 million for the three~~-month~~ ~~period~~months ended ~~August~~March 311, ~~2025 and an unfavorable impact of approximately $10 million for the nine-month period ended August 31, 2025~~2026. For the three-month period ended ~~August~~March 311, ~~2025~~2026, the ~~increase~~decrease in gross margin was primarily driven by ~~favorable channel mix and price increases, partially offset by~~ the impact of tariffs~~. For the nine-month period ended August 31~~, ~~2025,~~partially ~~the~~offset ~~increase in gross margin was primarily driven~~ by ~~favorable~~price ~~channel~~increases ~~mix~~ and ~~lower~~less ~~product~~promotional ~~costs~~activity. Additionally, gross margin increased approximately 5030 basis points ~~and 40 basis points~~ as a result of currency exchange, including transaction impacts, for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025, respectively,~~2026.

Selling, general and administrative expenses

The following table shows SG&A for the periods indicated, the changes in these items from period to period and these items expressed as a percentage of net revenues:

	Three Months Ended										~~Nine Months Ended~~
	August 31,2025		August 25,2024		%Increase(Decrease)		August 31,2025		August 25,2024		August 31,2025		August 25,2024		%Increase(Decrease)		August 31,2025		August 25,2024
	March 1,2026		March 2,2025		%Increase(Decrease)		March 1,2026		March 2,2025
							% of NetRevenues		% of NetRevenues								~~% of NetRevenues~~		~~% of NetRevenues~~
	(Dollars in millions)
Selling	$	~~336~~383.36	$	~~319~~330.61	516.2	%	2122.80	%	2221.16	%	$	~~992.9~~	$	~~968.6~~	~~2.5~~	%	~~22.0~~	%	~~22.6~~	%
Advertising and promotion	98123.51		8983.4		1047.26	%	67.41	%	65.25	%	~~306.4~~		~~297.1~~		~~3.1~~	%	~~6.8~~	%	~~6.9~~	%
Distribution	~~108~~123.53		90114.8		197.54	%	7.01	%	67.35	%	~~331.2~~		~~271.1~~		~~22.2~~	%	~~7.3~~	%	~~6.3~~	%
Other	~~232~~241.37		~~226~~221.60		29.54	%	1513.19	%	1514.75	%	~~682.9~~		~~696.6~~		~~(2.0)~~	%	~~15.1~~	%	~~16.3~~	%
Total SG&A	$	~~775~~871.67	$	~~726~~749.43	616.83	%	50.30	%	5049.31	%	$	~~2,313.4~~	$	~~2,233.4~~	~~3.6~~	%	~~51.2~~	%	~~52.2~~	%

~~______________~~Currency translation had an unfavorable impact on SG&A of approximately $30 million for the three months ended March 1, 2026.

*Selling. Currency ~~Not~~translation ~~meaningful~~had an unfavorable impact on selling expenses of approximately $17 million for the three months ended March 1, 2026. Excluding the effects of currency, selling expenses increased for the three-month period ended March 1, 2026 primarily due to higher DTC store expenses in the current year as compared to the prior-year period, including from store expansion.

Advertising and promotion. Currency translation had an unfavorable impact on ~~SG&A~~advertising and promotion expenses of approximately $123 million ~~and~~for athe ~~favorable~~three ~~impact~~months ofended ~~approximately~~March $51, ~~million~~2026. ~~for~~Excluding the ~~three-month~~effects of currency, the increase in advertising and ~~nine-month~~promotion ~~periods~~expenses ~~ended~~was ~~August~~primarily ~~31,~~due ~~2025~~to increased spending related to the launch of the Behind Every Original campaign, ~~respectively~~including a commercial during Super Bowl LX which was held at Levi’s® Stadium.

~~Selling~~Distribution. Currency translation had an unfavorable impact on ~~selling~~distribution expenses of approximately $75 million ~~and a favorable impact of approximately $3 million~~ for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025, respectively~~2026. Excluding the effects of currency, ~~selling expenses increased for~~ the ~~three-month~~increase ~~and~~in ~~nine-month~~distribution ~~periods~~expenses ~~ended~~was ~~August 31, 2025~~ primarily due to ~~DTC~~increased ~~business expansion in the current year as compared to the prior-year periods~~volume, ~~partially~~largely offset by ~~e-commerce~~the ~~related~~impact ~~fulfillment~~of ~~costs~~owned ~~that~~and ~~are~~operated ~~now~~distribution ~~included~~center asclosures ~~distribution~~in ~~expenses~~the prior year.

Advertising and promotion. Currency translation did not have a significant impact on advertising and promotion expenses for the three-month and nine-month periods ended August 31, 2025. The increase in advertising and promotion expenses was due to increased media spending which included expenses associated with the REIIMAGINE campaign.34

Distribution. Currency translation had an unfavorable impact on distribution expenses of approximately $2 million for the three-month period ended August 31, 2025 and did not have a significant impact for the nine-month period ended August

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~~31, 2025~~Other. Other ~~The increase in distribution~~ expenses ~~was~~include ~~primarily~~functional ~~due~~administrative ~~to higher spend in support of both our DTC~~ and ~~wholesale~~organization ~~businesses, including~~ costs ~~to transition to third-party distribution centers in Groveport~~, ~~Ohio~~information ~~and Dorsten~~resources, ~~Germany~~ and ~~costs~~marketing toorganization ~~run parallel distribution centers in the U~~costs.S. asCurrency wetranslation ~~continue~~had toan ~~implement~~unfavorable ~~our~~impact ~~distribution~~on ~~strategy~~other ~~model~~expenses toof ~~operate~~approximately a$4 ~~mix~~million offor ~~owned~~the ~~and~~three ~~third-party~~months ~~operated~~ended ~~distribution~~March ~~centers~~1, 2026. ~~This~~The isincrease ~~partially~~in ~~offset~~other bySG&A ~~lower~~expenses ~~costs~~for ~~from~~the ~~Company~~three-month ~~owned~~period ~~and~~ended ~~operated~~March 1, ~~distribution~~2026 ~~centers~~includes ~~that~~the weimpact ~~are~~of ~~winding~~attorney ~~down~~fees ~~and~~of ~~exiting~~$9.8 ~~Distribution~~million ~~expenses~~related ~~for~~to ~~the~~a ~~three-month~~gain ~~and~~on ~~nine-month~~legal ~~periods ended August 31~~settlement, ~~2025~~partially ~~included~~offset ~~e-commerce~~by ~~related~~a ~~fulfillment~~decrease ~~costs~~in ofincentive ~~approximately $8~~compensation.0 ~~million and $27.0 million.~~

Other. Other expenses include functional administrative and organization costs, information resources, and marketing organization costs. Currency translation did not have a significant impact on other expenses for the three-month period ended August 31, 2025, and had a favorable impact of approximately $2 million for the nine-month period ended August 31, 2025. The increase in other expenses for the three-month period ended August 31, 2025 was primarily due to increases in incentive compensation, professional fees and technology costs partially offset by lower restructuring-related charges and an $11.1 million impairment charge related to discontinued technology projects in the prior year. During the three-month periods ended August 31, 2025 and August 25, 2024 the company recorded restructuring related charges of $4.3 million and $19.0 million, respectively.

The decrease in other expenses for the nine-month period ended August 31, 2025 was primarily due to decreases in restructuring related charges and an $11.1 million impairment charge related to discontinued technology projects in the prior year. This was partially offset by increases in incentive compensation, professional fees and technology costs. During the nine-month periods ended August 31, 2025 and August 25, 2024, the Company recognized restructuring related charges of $11.8 million and $34.3 million, respectively.

Restructuring charges, net

During the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025,~~2026 we recognized restructuring charges of $87.69 million ~~and $22.1 million, respectively, in connection with Project Fuel~~ consisting primarily of severance and other post-employment benefit charges, ~~asset impairments and contract terminations~~ in connection with ~~closures~~our ofcontinuing ~~distribution~~global ~~centers~~productivity ~~which were largely offset by a gain on sale of a previously closed distribution center~~initiative. During the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024,~~2025 we recognized restructuring charges, ~~net~~ of $36.~~4 million~~7 ~~and $171.6~~ million, ~~respectively,~~ in connection with Project Fuel, a multi-year global productivity initiative that was substantially complete as of November 30, 2025, consisting primarily of severance and other post-employment benefit charges, contract termination costs and asset impairments.

Goodwill and other intangible asset impairment charges

For the three-month and nine-month periods ended August 25, 2024, we recognized impairment charges of $111.4 million related to the Beyond Yoga® acquisition. The impairment charge is composed of a $36.3 million impairment in goodwill, a $66.0 million impairment in the trademark intangible asset and a $9.1 million impairment in the customer relationship intangible assets. During 2024, the Company appointed new Beyond Yoga® executive management and implemented a new strategic plan for growth and expansion. Additionally, during the first quarter of 2024 we recognized $5.5 million in goodwill impairment charges related to our footwear business as a result of the decision to discontinue the category.

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Operating income

The following table shows operating income, restructuring charges and corporate expenses for the periods indicated, the changes in these items from period to period and these items expressed as a percentage of net revenues:

	Three Months Ended														~~Nine Months Ended~~
	August 31,2025			August 25,2024			%Increase(Decrease)		August 31,2025			August 25,2024			August 31,2025			August 25,2024			%Increase(Decrease)		August 31,2025			August 25,2024
	March 1,2026			March 2,2025			%Increase(Decrease)		March 1,2026			March 2,2025
									% of NetRevenues			% of NetRevenues											~~% of NetRevenues~~			~~% of NetRevenues~~
	(Dollars in millions)
Operating income:
Levi’s Brands:
Americas	$	~~189~~163.32		$	~~173~~169.97		8(3.8)	%	2319.51	%		2321.07	%		$	~~512.3~~		$	~~432.8~~		~~18.4~~	%	~~21.9~~	%		~~19.6~~	%
Europe	91129.02			83102.24			926.42	%	2126.31	%		2025.56	%		~~262.8~~			~~239.9~~			~~9.5~~	%	~~21.4~~	%		~~20.3~~	%
Asia	3370.4			2857.59			1721.25	%	1220.03	%		1118.58	%		~~120.9~~			~~111.0~~			~~8.9~~	%	~~14.3~~	%		~~13.9~~	%
Total Levi’s Brands operating income	~~313~~362.78			~~285~~330.60			9.89	%	2021.84	%		2022.21	%		~~896.0~~			~~783.7~~			~~14.3~~	%	~~20.3~~	%		~~18.7~~	%
Beyond Yoga® operating income (loss)	(40.8)			(53.81)			~~(16~~73.6)0	%	(141.69)	%		(178.97)	%		~~(12.3)~~			~~(9.6)~~			~~28.1~~	%	~~(11.7)~~	%		~~(9.9)~~	%
Restructuring charges, net	(87.69)			(36.47)			(~~152~~17.20)	%	(0.65)	%	v	(0.24)	%	v	~~(22.1)~~			~~(171.6)~~			~~(87.1)~~	%	~~(0.5)~~	%	v	~~(4.0)~~	%	v
Goodwill and other intangible asset impairment charges	—			(111.4)			100.0	%	—	%	v	(7.7)	%	v	(2.5)			(116.9)			(97.9)	%	(0.1)	%	v	(2.7)	%	v
Corporate expenses	(155.4)			(128.6)			(20.8)	%	(8.9)	%	v	(8.4)	%	v
Corporate expenses	(132.9)			(132.3)			(0.5)	%	(8.6)	%	v	(9.2)	%	v	(392.1)			(431.4)			9.1	%	(8.7)	%	v	(10.1)	%	v
Total operating income	$	198.7		$	191.6		3.7	%	11.4	%	v	12.5	%	v
Total operating income	$	167.4		$	32.7		*		10.8	%	v	2.3	%	v	$	467.0		$	54.2		*		10.3	%	v	1.3	%	v
Operating margin	11.4		%	12.5		%
Operating margin	10.8		%	2.3		%									10.3		%	1.3		%

______________

v Percentage of consolidated net revenues

*Currency ~~Not~~translation ~~meaningful~~had a favorable impact on total operating income of approximately $17 million for the three months ended March 1, 2026.

Currency translation had a favorable impact on total operating income of approximately $6 million for the three-month period ended August 31, 2025 and an unfavorable impact of approximately $9 million for the nine-month period ended August 31, 2025.35

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Levi’s Brands operating income.

•Americas. Currency translation ~~did~~had ~~not have~~ a ~~significant~~favorable impact on operating income ~~for~~in the ~~three-month~~segment ~~period ended August 31, 2025, and had an unfavorable impact~~ of approximately $63 million for the ~~nine-month~~three ~~period~~months ended ~~August 31~~March 1, ~~2025~~2026. The ~~increases~~decrease in operating income for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 ~~were~~was due to higher ~~revenues~~SG&A, which increased as a percent of revenue, and ~~higher~~lower gross margins, partially offset by higher ~~SG&A~~revenues compared to the prior-year ~~periods~~period.

•Europe. Currency translation had a favorable impact on operating income ofin ~~approximately~~the $7segment ~~million~~of ~~and~~ approximately $316 million for the three~~-month~~ ~~and~~months ~~nine-month periods~~ ended ~~August~~March 311, ~~2025, respectively~~2026. Excluding the effects of currency, operating income increased for the three-month period ended ~~August~~March 311, ~~2025~~2026 compared with the prior-year period primarily due to higher revenues and gross margins partially offset by ~~lower revenues and~~ higher SG&A. ~~Operating~~which ~~income~~ increased ~~during~~as ~~the~~a ~~nine-month~~percent ~~period~~of ~~ended August 31, 2025 compared with the prior-year period primarily due to higher revenues and gross margins, partially offset by higher SG&A~~revenue.

•Asia. Currency translation did not have a significant impact on operating income ~~for~~in the ~~three-month~~segment ~~period ended August 31, 2025, and had an unfavorable impact of approximately $3 million~~ for the ~~nine-month~~three ~~period~~months ended ~~August 31~~March 1, ~~2025~~2026. Excluding the effects of currency, operating income increased for the three-month period ended ~~August~~March 311, ~~2025~~2026 due to an increase in revenues, partially offset by ~~a decrease in gross margins and~~ higher SG&A. ~~Operating income increased for the nine-month period ended August 31, 2025 compared to the prior year period primarily due to higher revenues partially offset by higher SG&A.~~

Beyond Yoga® operating loss. Currency translation did not have ana significant impact ~~for~~on operating income in the ~~three-month~~segment ~~and~~for ~~nine-month~~the ~~periods~~three months ended ~~August 31~~March 1, ~~2025~~2026. The decrease in operating losses for the three-month period ended ~~August~~March 311, ~~2025~~2026 as compared to the prior year period was due to higher revenues and gross margins, partially offset by higher SG&A. The increase in operating losses for the nine-month period ended August 31, 2025 as compared to the prior-year period was primarily due to higher SG&A, partially offset by higher revenue and gross margins.

Restructuring charges, net. Currency translation did not have a significant impact on restructuring charges, net for the three~~-month~~ ~~period~~months ended ~~August 31,~~March ~~2025~~1, ~~and had an unfavorable impact of approximately $4 million for the nine-month period ended August 31, 2025~~2026. During the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025,~~2026 we recognized restructuring charges of $87.69 million ~~and $22.1 million, respectively, in connection with Project Fuel~~ consisting primarily of severance and other post-employment benefit charges, ~~asset impairments and contract terminations~~ in connection with ~~closures~~our ofcontinuing ~~distribution~~global ~~centers~~productivity ~~which were largely offset by gain on sale of a previously closed distribution center~~initiative. During the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024,~~2025 we recognized restructuring charges of $36.~~4 million~~7 ~~and $171.6~~ million, ~~respectively,~~ in connection with Project Fuel, a multi-year global productivity initiative that was substantially complete as of November 30, 2025, consisting primarily of severance and other post-employment benefit charges, contract termination costs and asset impairments.

~~Goodwill~~Corporate ~~and other intangible asset impairment charges~~expenses. Corporate ~~For~~expenses ~~the~~represent ~~three-month~~costs ~~and~~that ~~nine-month~~management ~~periods~~does ~~ended~~not ~~August 25,~~attribute ~~2024,~~to weany ~~recognized impairment charges~~ of ~~$111.4 million~~our ~~related~~operating ~~to the Beyond Yoga® acquisition~~segments. ~~The~~Included ~~impairment charge is composed of a $36.3 million impairment~~ in ~~goodwill,~~corporate aexpenses ~~$66.0 million~~are ~~impairment~~other incorporate ~~the~~staff ~~trademark~~costs ~~intangible asset~~ and acosts ~~$9.1 million~~associated ~~impairment~~with inour ~~the~~global ~~customer~~inventory ~~relationship~~sourcing ~~intangible assets. During 2024~~organization, ~~the~~which ~~Company~~are ~~appointed~~reported ~~new~~as ~~Beyond Yoga® executive management and implemented~~ a ~~new~~component ~~strategic plan for growth and expansion. Additionally, during the first quarter~~ of ~~2024~~consolidated wegross ~~recognized $5~~margin.~~5 million~~ inCurrency ~~goodwill~~translation ~~impairment~~did ~~charges~~not ~~related~~have toa ~~our~~significant ~~footwear~~impact ~~business~~on ascorporate aexpenses ~~result~~for of the ~~decision~~three tomonths ~~discontinue~~ended ~~the~~March ~~category~~1, 2026.

~~Corporate. Corporate~~The ~~expenses~~increase ~~represent costs that management does not attribute to any of our operating segments. Included~~ in corporate expenses ~~are~~for ~~other~~the ~~corporate~~three-month ~~staff~~period ~~costs~~ended ~~and~~March 1, ~~costs~~2026 ~~associated~~compared with ~~our~~the ~~global~~prior ~~inventory~~year ~~sourcing~~period ~~organization,~~includes ~~which~~the ~~are~~impact ~~reported as a component~~ of ~~consolidated~~attorney ~~gross~~fees ~~margin.~~related ~~Currency~~to ~~translation~~a ~~did~~gain ~~not~~on ~~have~~legal asettlement ~~significant~~of ~~impact~~$9.8 onmillion ~~corporate~~and ~~expenses~~higher ~~for~~global ~~the~~sourcing ~~three-month~~costs, ~~and~~partially ~~nine-month~~offset ~~periods~~by ~~ended~~a ~~August~~decrease ~~31,~~in ~~2025~~incentive compensation.

Corporate expenses were flat for the three-month period ended August 31, 2025 compared with the prior year period as increases in incentive compensation, professional fees and technology costs were largely offset by lower restructuring-related charges and an $11.1 million impairment charge related to discontinued technology projects in the prior year. During the three-month periods ended August 31, 2025 and August 25, 2024 the company recorded restructuring related charges of $4.3 million and $19.0 million, respectively.

Corporate expenses decreased for the nine-month period ended August 31, 2025 primarily due to decreases in restructuring related charges and technology impairments related to our restructuring initiative and lower global sourcing costs. These decreases were partially offset by increases in incentive compensation, professional fees and technology costs.

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Interest expense

Interest expense was $1213.51 million and $3510.29 million for the three-month ~~and nine-month~~ periods ended ~~August~~March 311, 2026 and March 2, 2025, respectively,. asOur ~~compared~~weighted-average tointerest ~~$10.1 million~~rate ~~and~~on ~~$30.4~~average ~~million~~borrowings inoutstanding during the ~~prior~~three-~~year~~month periods ended March 1, 2026 and March 2, 2025 was 4.67% and 4.23%, respectively.

Our weighted-average interest rate on average borrowings outstanding during the three-month and nine-month periods ended August 31, 2025 was 4.43% and 4.32%, respectively, as compared to 3.97% and 3.98% during the comparable periods in 2024.

Other income (expense), net

For the three-month ~~and nine-month~~ periods ended ~~August~~March 311, 2026 and March 2, 2025, respectively, we recorded other income of $142.36 million and ~~$3.5 million, respectively, as compared to~~ other expense of $0.4.1 million ~~and $2.3 million~~, respectively~~, in the prior-year periods~~. The ~~increases~~increase in other income for the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 311, ~~2025~~2026 was primarily due to the recognition of ~~foreign~~a ~~exchange~~legal ~~management~~settlement ~~gains~~gain of $1133.0 million and ~~$41.0~~foreign ~~million~~exchange ~~for~~management ~~the~~gains ~~three-month~~of ~~and nine-month periods ended August~~$5.6 31million, ~~2025, respectively,~~ compared to ~~losses~~foreign ofexchange ~~$1.1~~management ~~million~~losses ~~and gains~~ of $110.8 million, ~~respectively,~~ in the prior year ~~periods,~~period. This was partially offset by the recognition of foreign currency transaction losses of $115.1 5 million ~~and $48.6 million~~, ~~respectively,~~ compared to transaction ~~losses~~gains of $52.~~8 million and $11.~~2 million, ~~respectively,~~ in the prior year.

Income tax expense (benefit)

Our effective income tax rate was 2122.94% for the three-month ~~months~~period ended ~~August~~March 311, ~~2025~~2026, compared to (120.9)6% for the same prior-year period. The increase in the effective tax rate in the current quarter iswas primarily due to ~~lower~~a ~~earnings~~higher ~~before~~effective tax inrate on foreign earnings compared with the prior -year period.

Our effective income tax rate was 21.5% for the nine months ended August 31, 2025, compared to (39.3)% for the same prior-year period. The increase in the effective tax rate is due to lower earnings before tax in the prior year, and a $10.1 million tax benefit related to favorable resolutions of state audits.

On July 4, 2025, the OBBBA was enacted in the U.S. The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions. The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. We have evaluated the OBBBA enacted during the quarter and estimated its impact on the consolidated financial statements to be immaterial. We will continue to evaluate the full impact of these legislative changes as additional guidance becomes available.

Discontinued operations

Discontinued operations consists of the operations of our Dockers® business. See Note 2 to our unaudited consolidated financial statements included in this Quarterly Report for additional information.

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Liquidity and Capital Resources

Liquidity outlook

We believe we will have adequate liquidity over the next 12 months and in the longer term to operate our business and to meet our cash requirements. Over the long term, we plan to deploy capital across all four of our capital allocation priorities: (1) to reinvest 3.5-4% of our revenue in capital, including high growth investment opportunities and initiatives, to grow our business organically, (2) to return capital to our stockholders in the form of cash dividends, with a dividend payout ratio target of 25-35% of net income, (3) to pursue high return on investment acquisitions, both organic and inorganic, that support our current strategies, and (4) to repurchase shares with the goal of offsetting dilution or opportunistic buybacks or both, while maintaining an adequate public float of our shares. Our aim is to return 55-65% of our Adjusted free cash flow to stockholders in the form of dividends and share repurchases. We continue to concentrate our capital investments in new stores, distribution capacity and technology to accelerate the profitable growth of our business. For more information on our calculation of Adjusted free cash flow, a non-GAAP financial measure, see “Non-GAAP Financial Measures.”

Future determinations regarding the declaration and payment of dividends, if any, will be at the discretion of our Board and will depend on then-existing conditions, including our results of operations, payout ratio, capital requirements, financial condition, prospects, contractual arrangements, any limitations on payment of dividends present in our current and future debt agreements and other factors that our Board may deem relevant.

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Cash sources

We have historically relied primarily on cash flows from operations, borrowings under credit facilities, issuances of notes and other forms of debt financing. We regularly explore financing and debt reduction alternatives, including new credit agreements, unsecured and secured note issuances, equity financing, equipment and real estate financing, securitizations and asset sales.

Our Credit Agreement provides for an asset-based, senior secured revolving credit facility (“Credit Facility”), in which the borrowing availability is primarily based on the value of our U.S. Levi’s® trademarks and the levels of accounts receivable and inventory in the U.S. and Canada. The maximum availability under the facility is $1.0 billion, of which $950.0 million is available to us for revolving loans in U.S. Dollars and $50.0 million is available to us for revolving loans either in U.S. Dollars or Canadian Dollars. The facility has an accordion feature which, if exercised, can expand the maximum availability to $1.15 billion.

As of ~~August~~March 311, ~~2025~~2026, we did not have any borrowings under the Credit Facility. Unused availability under the facility was $~~743~~831.13 million, and our total availability of $~~762~~850.14 million (based on collateral levels as defined by the agreement less outstanding borrowings under the Credit Facility) was reduced by $19.01 million from other credit-related instruments. We also had cash and cash equivalents totaling approximately $~~612~~716.86 million and short-term investments of $9495.74 million resulting in a total liquidity position (unused availability and cash and cash equivalents and short-term investments) of approximately $1.56 billion. Of our $~~612~~716.86 million in cash and cash equivalents, approximately $~~536~~539.16 million was held by foreign subsidiaries.

Cash uses

Our principal cash requirements include working capital, capital expenditures, payments of principal and interest on our debt, payments of taxes, contributions to our pension plans and payments for postretirement health benefit plans, payment of taxes resulting from net settlement of shares issued under our equity incentive plans and, if market conditions warrant, occasional investments in, or acquisitions of, business ventures. In addition, we regularly evaluate our ability to pay dividends or repurchase stock, all consistent with the terms of our debt agreements.

During the first quarter of 2025, we repurchased 1.6 million shares for $30.0 million, plus broker’s commissions, in the open market. On August 1, 2025, the Company entered into an accelerated share repurchase program with a third-party financial institution under which it made an upfront payment of $120.0 million in exchange for an initial delivery of 5.0 million shares of its Class A common stock, representing 80% of the total shares ultimately expected to be delivered over the program's term (the "ASR Agreement"). The initial shares received, which had an aggregate cost of $96.0 million based on the August 1, 2025 closing share price, were retired and recorded as a reduction of Retained Earnings. The total number of shares the Company will ultimately repurchase will be based on the volume-weighted average price per share of the Company's Class A common stock over the term of the ASR Agreement, less an agreed upon discount, and subject to customary adjustments pursuant to the terms and conditions of the ASR Agreement. Final settlement of the transactions under the ASR Agreement is expected to occur no later than the first quarter of 2026. We used a portion of the net proceeds from the sale of Dockers® intellectual property and operations in the U.S. and Canada to fund the upfront payment due under the ASR Agreement. See Note 2 to our unaudited consolidated financial statements included in this Quarterly Report for additional information.37

InTable ~~July 2025, we used the proceeds from the newly issued €475.0 million 4.000% Senior Notes due 2030 plus cash on hand to redeem all~~ of ~~the €475.0 million 3.375% Senior Notes due 2027.~~Contents

InOn ~~October~~January ~~2025~~30, a2026, ~~cash~~we ~~dividend~~entered ofinto ~~$0.14~~an ~~per~~accelerated share ~~was~~repurchase ~~declared~~transaction with a third-party financial institution to ~~holders~~repurchase an aggregate of ~~record~~$200.0 million of our Class A common stock as part of our share repurchase program (the “ASR Agreement”). At inception, we made an initial payment of $200.0 million and received and immediately retired 7.8 million shares of our Class BA common stock, atrepresenting 80% of the ~~close~~dollar amount of ~~business~~the transaction based on ~~October~~the 20January 29, ~~2025~~2026 closing share price. The ~~cash~~initial ~~dividend~~shares received, which had an aggregate cost of $160.0 million, were retired and recorded as a reduction of Retained Earnings, with the remainder of $40.0 million recorded as a reduction of additional paid-in capital. The total number of shares we will ultimately repurchase will be ~~payable~~based on ~~November~~the 4volume-weighted average price per share of our Class A common stock over the term of the ASR Agreement, ~~2025~~less an agreed upon discount, ~~for~~and subject to customary adjustments pursuant to the terms and conditions of the ASR Agreement. Final settlement of the transactions under the ASR Agreement is expected to occur no later than the third quarter of 2026. We used a ~~total~~portion ~~quarterly~~of ~~dividend~~the net proceeds from the sale of ~~approximately~~Dockers® ~~$55 million~~remaining operations to fund the upfront payment due under the ASR Agreement. See Note 2 to our unaudited consolidated financial statements included in this Quarterly Report for additional information.

In April 2026, a cash dividend of $0.14 per share was declared to holders of record of our Class A and Class B common stock at the close of business on April 22, 2026. The cash dividend will be payable on May 6, 2026, for a total quarterly dividend of approximately $54 million.

Cash flows

The following table summarizes, for the periods indicated, selected items in our consolidated statements of cash flows:

	Nine Months Ended
	Three Months Ended
	August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Dollars in millions)
Cash provided by operating activities	$	~~262~~211.85	$	~~601~~52.15
Cash used for investing activities	(9.7)		(192.2)
Cash provided by (used for) investing activities	26.3		(71.1)
Cash used for financing activities	(~~337~~284.1)		(~~229~~97.15)
Cash and cash equivalents at period end	~~612~~716.86		~~577~~574.14

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Cash flows from operating activities

Cash provided by operating activities was $~~262~~211.85 million for the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, as compared to $~~601~~52.15 million for the comparable period in ~~2024~~2025. The ~~decrease~~increase in cash provided by operating activities was primarily driven by anhigher ~~increase~~collections inof ~~SG&A~~receivables and ~~higher~~lower spending on inventory, partially offset by higher ~~collections~~spending ofin ~~receivables~~SG&A. ~~In 2024, we also received $77.9 million as an advance payment associated with the transition of our distribution center to a third-party logistics provider.~~

Cash flows from investing activities

Cash ~~used~~provided ~~for~~by investing activities was $926.73 million for the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, as compared to cash used for investing activities of $~~192~~71.21 million for the comparable period in ~~2024~~2025. The ~~decrease~~increase in net cash ~~used~~provided ~~for~~by investing activities was primarily due to ~~net~~ proceeds ~~from the divestiture~~ of ~~Dockers®~~$96.3 USmillion ~~and Canada business, higher net proceeds~~ from ~~foreign exchange contracts and proceeds from~~ the ~~sale~~divestiture of ~~assets~~Dockers® ~~compared~~international ~~to the same period in 2024, as well as payments to acquire a~~ business ~~in 2024~~. ~~The decreases are partially offset by payments to acquire short-term investments in 2025.~~

Cash flows from financing activities

Cash used for financing activities was $~~337~~284.1 million for the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, as compared to $~~229~~97.15 million for the comparable period in ~~2024~~2025. Cash used in ~~2025~~2026 primarily reflects ~~dividend~~an ~~payments of $158.2 million,~~ accelerated share repurchase of $~~120~~200.0 million, ~~common~~dividend ~~stock~~payments ~~repurchases~~ of $3053.58 million, and tax withholdings on equity awards of $2031.91 million. Cash used in ~~2024~~2025 primarily reflects dividend payments of $~~147~~51.14 million, common stock repurchases of $5930.70 million, and tax withholdings on equity awards of $2118.13 million.

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Indebtedness

The borrower of substantially all of our debt is Levi Strauss & Co., the parent and U.S. operating company. Of our total debt of $1.01 billion as of ~~August~~March 311, ~~2025~~2026, 99.59% was fixed -rate debt. As of ~~August~~March 311, ~~2025~~2026, our required aggregate debt principal payments on our unsecured long-term debt were $1.1 billion, with payments starting in 2030. Short-term borrowings of $51.70 million at various foreign subsidiaries are expected to be either paid over the next twelve months or refinanced at the end of their applicable terms.

Our long-term debt agreements contain customary covenants restricting our activities as well as those of our subsidiaries. We were in compliance with all of these covenants as of ~~August~~March 311, ~~2025~~2026.

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Non-GAAP Financial Measures

Adjusted SG&A, Adjusted SG&A ~~margin~~Margin, Adjusted EBIT, Adjusted EBIT Margin, Adjusted EBITDA, Adjusted Net Income, Adjusted Net Income Margin, and Adjusted Diluted Earnings per Share

In the table below, we define the following non-GAAP measures. Because the results of our Dockers® business are classified as discontinued operations, those results are not reflected in our non-GAAP measures.

Most comparable GAAP measure Non-GAAP measure Non-GAAP measure definition Selling, general and administrative expenses (“SG&A”) ~~expenses~~ Adjusted SG&A SG&A expenses excluding ~~property,~~goodwill ~~plant~~impairment charges and ~~equipment impairment,~~ restructuring related charges and other, net ~~and acquisition and integration related charges~~ SG&A margin Adjusted SG&A margin Adjusted SG&A as a percentage of net revenues Net income from continuing operations Adjusted EBIT Net income from continuing operations excluding income tax expense ~~(benefit)~~, interest expense, other (income) expense, net, ~~property, plant and equipment impairment,~~ goodwill ~~and other intangible asset~~ impairment charges, restructuring charges, net, and restructuring related charges and other, net. ~~and acquisition and integration related charges~~ Net income margin from continuing operations Adjusted EBIT margin Adjusted EBIT as a percentage of net revenues Net income from continuing operations Adjusted EBITDA Adjusted EBIT excluding depreciation and amortization expense Net income from continuing operations Adjusted net income Net income from continuing operations excluding ~~property, plant and equipment impairment,~~ goodwill ~~and other intangible asset~~ impairment charges, restructuring charges, net, restructuring related charges and other, net, ~~loss on early extinguishment of debt,~~ and ~~acquisition~~gain ~~and~~on ~~integration~~legal ~~related~~settlement ~~charges~~ adjusted to give effect to the income tax impact of such adjustments. Net income margin from continuing operations Adjusted net income margin Adjusted net income as a percentage of net revenues. Diluted earnings per share from continuing operations Adjusted diluted earnings per share Adjusted net income per weighted-average number of diluted common shares outstanding.

We believe Adjusted SG&A, Adjusted SG&A margin, Adjusted EBIT, Adjusted EBIT margin, Adjusted EBITDA, Adjusted net income, Adjusted net income margin, and Adjusted diluted earnings per share are useful to investors because they help identify underlying trends in our business that could otherwise be masked by certain expenses that we include in calculating net income from continuing operations but that can vary from company to company depending on its financing, capital structure and the method by which its assets were acquired, and can also vary significantly from period to period. Our management also uses Adjusted EBIT in conjunction with other GAAP financial measures for planning purposes, including as a measure of our core operating results and the effectiveness of our business strategy, and in evaluating our financial performance.

Adjusted SG&A, Adjusted SG&A margin, Adjusted EBIT, Adjusted EBIT margin, Adjusted EBITDA, Adjusted net income, Adjusted net income margin and Adjusted diluted earnings per share have limitations as analytical tools and should not be considered in isolation or as a substitute for an analysis of our results prepared and presented in accordance with GAAP. Some of these limitations include:

•Adjusted EBIT, Adjusted EBIT margin and Adjusted EBITDA do not reflect income tax payments that reduce cash available to us;

•Adjusted EBIT, Adjusted EBIT margin and Adjusted EBITDA do not reflect interest expense, or the cash requirements necessary to service interest or principal payments on our indebtedness, which reduces cash available to us;

•Adjusted EBIT, Adjusted EBIT margin and Adjusted EBITDA exclude other income (expense), net, which includes realized and unrealized gains and losses on our forward foreign exchange contracts and transaction gains and losses on our foreign exchange balances, although these items affect the amount and timing of cash available to us when these gains and losses are realized;

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•all of these non-GAAP financial measures exclude acquisition and integration charges, impairment charges and early terminations and restructuring charges, net and restructuring related charges, severance and other, net which can affect our current and future cash requirements;

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•all of these non-GAAP financial measures exclude certain other SG&A expense items, which include severance, transaction and deal related costs, including acquisition and integration costs which can affect our current and future cash requirements;

•the expenses and other items that we exclude in our calculations of all of these non-GAAP financial measures may differ from the expenses and other items, if any, that other companies may exclude from all of these non-GAAP financial measures or similarly titled measures;

•Adjusted EBITDA excludes the recurring, non-cash expenses of depreciation of property and equipment and, although these are non-cash expenses, the assets being depreciated may need to be replaced in the future; and

•Adjusted net income, Adjusted net income margin and Adjusted diluted earnings per share do not include all of the effects of income taxes and changes in income taxes reflected in net income from continuing operations.

Because of these limitations, all of these non-GAAP financial measures should be considered along with net income from continuing operations and other operating and financial performance measures prepared and presented in accordance with GAAP. The following tables present reconciliations of historic non-GAAP financial measures to their most comparable GAAP financial measure. A reconciliation of forward-looking non-GAAP information to the corresponding GAAP measures cannot be provided without unreasonable efforts due to the challenge in quantifying various items including, but not limited to, the effects of foreign currency fluctuations, taxes and any future restructuring, restructuring-related severance and other charges.

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Adjusted SG&A:

The following table presents a reconciliation of SG&A, the most directly comparable financial measure calculated in accordance with GAAP, to Adjusted SG&A for each of the periods presented.

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025			August 25,2024			August 31,2025			August 25,2024
	March 1,2026			March 2,2025
	(Dollars in millions)
	(Unaudited)
Most comparable GAAP measure:
Selling, general and administrative expenses	$	~~775~~871.67		$	~~726~~749.43		$	~~2,313.4~~		$	~~2,233.4~~
Non-GAAP measure:
Selling, general and administrative expenses	$	~~775~~871.67		$	~~726~~749.43		$	~~2,313.4~~		$	~~2,233.4~~
Property, plant, and equipment impairment(1)	—			(11.1)			—			(11.1)
Goodwill impairment charges(1)	—			(2.5)
Restructuring related charges and other, net(2)	(611.32)			(193.2)			~~(14.0)~~			~~(44.6)~~
Acquisition and integration related charges(3)	—			—			—			(4.0)
Adjusted SG&A	$	860.5		$	743.6
Adjusted SG&A	$	769.3		$	696.1		$	2,299.4		$	2,173.7
SG&A margin	50.0		%	49.1		%
SG&A margin	50.3		%	50.3		%	51.2		%	52.2		%
Adjusted SG&A margin	49.4		%	48.7		%
Adjusted SG&A margin	49.8		%	48.2		%	50.9		%	50.8		%

_____________

(1)			For the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024~~2025, ~~property,~~goodwill ~~plant,~~impairment ~~and~~charges ~~equipment~~includes ~~impairment~~the ~~primarily~~recognition ~~includes~~of a $112.15 million ofgoodwill ~~impairments~~impairment charge related to ~~the~~our ~~technology~~business ~~projects~~in ~~discontinued as a result of Project Fuel~~Bolivia.
(2)			For the three-month period ended ~~August~~March 311, ~~2025~~2026, restructuring related charges and other ~~charges~~, net ~~primarily~~ consists ofprimarily ~~$4.3 million~~ of ~~Project~~attorney ~~Fuel~~fees ~~restructuring~~ related ~~costs~~to ~~which~~a ~~includes~~gain ~~consulting~~on ~~costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated~~ legal ~~settlements~~settlement of $29.08 million.
			For the nine-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $11.8 million of Project Fuel related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million.
			For the three-month period ended March 2, 2025, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $2.1 million.
			For the three-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $19.0 million, an estimated legal settlement accrual of $4.0 million and certain executive separation charges of $0.5 million, offset by a favorable sales-tax related settlement of $4.4 million.
			For the nine-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $34.3 million, legal settlements of $9.5 million, certain executive separation charges of $2.7 million and transaction and deal related costs of $1.7 million, offset by a favorable sales-tax related settlement of $4.4 million.
(3)			Acquisition and integration related charges includes acquisition-related compensation subject to the continued employment of certain Beyond Yoga® employees. In the first quarter of 2024, their employment ceased, resulting in the acceleration of the remaining compensation.

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Adjusted EBIT and Adjusted EBITDA:

The following table presents a reconciliation of net income from continuing operations, the most directly comparable financial measure calculated in accordance with GAAP, to Adjusted EBIT and Adjusted EBITDA for each of the periods presented.

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025			August 25,2024			August 31,2025			August 25,2024
	March 1,2026			March 2,2025
	(Dollars in millions)
	(Unaudited)
Most comparable GAAP measure:
Net income from continuing operations	$	~~122~~177.01		$	22140.72		$	~~341.8~~		$	~~30.0~~
Non-GAAP measure:
Net income from continuing operations	$	~~122~~177.01		$	22140.72		$	~~341.8~~		$	~~30.0~~
Income tax expense (benefit)	34.2			(0.5)			93.5			(8.5)
Income tax expense	51.1			36.4
Interest expense	1213.51			10.19			~~35.2~~			~~30.4~~
Other (income) expense, net	(142.36)			0.4.1			~~(3.5)~~			~~2.3~~
Property, plant, and equipment impairment(1)	—			11.1			—			11.1
Goodwill impairment charges(1)	—			2.5
Goodwill and other intangible asset impairment charges(2)	—			111.4			2.5			116.9
Restructuring charges, net(2)	7.9			6.7
Restructuring charges, net(3)	8.6			3.4			22.1			171.6
Restructuring related charges and other, net(3)	11.2			3.2
Restructuring related charges and other, net(4)	6.3			19.2			14.0			44.6
Adjusted EBIT	$	217.8		$	204.0
Acquisition and integration related charges(5)	—			—			—			4.0
Depreciation and amortization	55.3			49.1
Adjusted EBIT	$	182.3		$	177.8		$	505.6		$	402.4
Adjusted EBITDA	$	273.1		$	253.1
Depreciation and amortization	51.7			48.8			151.2			136.4
Net income margin from continuing operations	10.2		%	9.2		%
Adjusted EBITDA	$	234.0		$	226.6		$	656.8		$	538.8
Adjusted EBIT margin	12.5		%	13.4		%
Net income margin from continuing operations	7.9		%	1.6		%	7.6		%	0.7		%
Adjusted EBIT margin	11.8		%	12.3		%	11.2		%	9.4		%

_____________

(1)			For the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024~~2025, ~~property,~~goodwill ~~plant,~~impairment ~~and~~charges ~~equipment~~includes ~~impairment~~the ~~primarily~~recognition ~~includes~~of a $112.15 million ofgoodwill ~~impairments~~impairment charge related to ~~the~~our ~~technology~~business ~~projects~~in ~~discontinued as a result of Project Fuel~~Bolivia.
(2)			For the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, ~~goodwill~~restructuring ~~impairment~~ charges, ~~includes~~net ~~the~~consists ~~recognition~~primarily of aseverance ~~$2.5~~and ~~million~~post-employment ~~goodwill~~benefit ~~impairment charge related to our business in Bolivia~~charges.
			For the three-month and nine-month periods ended August 25, 2024, goodwill and other intangible asset impairment charges includes impairment charges of $36.3 million related to Beyond Yoga® reporting unit goodwill, $66.0 million related to the Beyond Yoga® trademark and $9.1 million Beyond Yoga® customer relationship intangible assets. Additionally, the nine-month period ended August 25, 2024 includes a $5.5 million goodwill impairment charge related to our footwear business.
			For the three-month period ended March 2, 2025, restructuring charges, net includes $6.7 million in connection with Project Fuel consisting primarily of severance, post-employment benefit charges, contract terminations and asset impairments.
(3)			For the three-month period ended ~~August~~March 311, ~~2025~~2026, restructuring related charges and other, net ~~includes~~consists ~~$8.6~~primarily ~~million~~of inattorney ~~connection~~fees ~~with~~related ~~Project~~to ~~Fuel,~~a ~~primarily~~gain ~~consisting~~on oflegal ~~severance~~settlement ~~and~~of ~~other~~$9.8 ~~post-employment benefit charges~~million.
			For the nine-month period ended August 31, 2025, restructuring charges, net includes $22.1 million in connection with Project Fuel consisting of $9.2 million of asset impairment in connection with the closures of distribution centers, $18.3 million of severance and other post-employment benefit charges, and $3.9 million of contract terminations and other costs, partially offset by a $9.3 million gain on the sale of a previously closed distribution center.
			For the three-month period ended March 2, 2025, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $2.1 million.
			For the three-month and nine-month periods ended August 25, 2024, restructuring charges, net includes $3.4 million and $171.6 million, respectively, in connection with Project Fuel consisting primarily of severance and other post-employment benefit charges.
(4)			For the three-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $4.3 million of Project Fuel restructuring related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million.
			For the nine-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $11.8 million of Project Fuel related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million.
			For the three-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $19.0 million, an estimated legal settlement accrual of $4.0 million and certain executive separation charges of $0.5 million, offset by a favorable sales-tax related settlement of $4.4 million.
			For the nine-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $34.3 million, legal settlements of $9.5 million, certain executive separation charges of $2.7 million and transaction and deal related costs of $1.7 million, offset by a favorable sales-tax related settlement of $4.4 million.
(5)			Acquisition and integration related charges includes acquisition-related compensation subject to the continued employment of certain Beyond Yoga® employees. In the first quarter of 2024, their employment ceased, resulting in the acceleration of the remaining compensation.

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Adjusted Net Income:

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025			August 25,2024			August 31,2025			August 25,2024
	March 1,2026			March 2,2025
	(Dollars in millions)
	(Unaudited)
Most comparable GAAP measure:
Net income from continuing operations	$	~~122~~177.01		$	22140.72		$	~~341.8~~		$	~~30.0~~
Non-GAAP measure:
Net income from continuing operations	$	~~122~~177.01		$	22140.72		$	~~341.8~~		$	~~30.0~~
Property, plant, and equipment impairment(1)	—			11.1			—			11.1
Goodwill impairment charges(1)	—			2.5
Goodwill and other intangible asset impairment charges(2)	—			111.4			2.5			116.9
Restructuring charges, net(2)	7.9			6.7
Restructuring charges, net(3)	8.6			3.4			22.1			171.6
Restructuring related charges and other, net(3)	11.4			3.2
Restructuring related charges and other, net(4)	7.4			15.1			15.1			40.5
Gain on legal settlement	(33.0)			—
Loss on early extinguishment of debt	1.5			—			1.5			—
Tax impact of adjustments(4)	3.3			(2.6)
Acquisition and integration related charges(5)	—			—			—			4.0
Adjusted net income	$	166.7		$	150.0
Tax impact of adjustments(6)	(3.8)			(29.8)			(8.8)			(74.6)
Net income margin from continuing operations	10.2		%	9.2		%
Adjusted net income	$	135.7		$	133.9		$	374.2		$	299.5
Adjusted net income margin	9.6		%	9.8		%
Net income margin from continuing operations	7.9		%	1.6		%	7.6		%	0.7		%
Adjusted net income margin	8.8		%	9.3		%	8.3		%	7.0		%

_____________

(1)			For the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024~~2025, ~~property,~~goodwill ~~plant,~~impairment ~~and~~charges ~~equipment~~includes ~~impairment~~the ~~primarily~~recognition ~~includes~~of a $112.15 million ofgoodwill ~~impairments~~impairment charge related to ~~the~~our ~~technology~~business ~~projects~~in ~~discontinued as a result of Project Fuel~~Bolivia.
(2)			For the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, ~~goodwill~~restructuring ~~impairment~~ charges, ~~includes~~net ~~the~~consists ~~recognition~~primarily of aseverance ~~$2.5~~and ~~million~~post-employment ~~goodwill~~benefit ~~impairment charge related to our business in Bolivia~~charges.
			For the three-month and nine-month periods ended August 25, 2024, goodwill and other intangible asset impairment charges includes impairment charges of $36.3 million related to Beyond Yoga® reporting unit goodwill, $66.0 million related to the Beyond Yoga® trademark and $9.1 million Beyond Yoga® customer relationship intangible assets. Additionally, the nine-month period ended August 25, 2024 includes a $5.5 million goodwill impairment charge related to our footwear business.
			For the three-month period ended March 2, 2025, restructuring charges, net includes $6.7 million in connection with Project Fuel consisting primarily of severance, post-employment benefit charges, contract terminations and asset impairments.
(3)			For the three-month period ended ~~August~~March 311, ~~2025~~2026, restructuring related charges and other, net ~~includes~~consists ~~$8.6~~primarily ~~million~~of inattorney ~~connection~~fees ~~with~~related ~~Project~~to ~~Fuel,~~a ~~primarily~~gain ~~consisting~~on oflegal ~~severance~~settlement ~~and~~of ~~other~~$9.8 ~~post-employment benefit charges~~million.
			For the nine-month period ended August 31, 2025, restructuring charges, net includes $22.1 million in connection with Project Fuel consisting of $9.2 million of asset impairment in connection with the closures of distribution centers, $18.3 million of severance and other post-employment benefit charges, and $3.9 million of contract terminations and other costs, partially offset by a $9.3 million gain on the sale of a previously closed distribution center.
			For the three-month period ended March 2, 2025, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $2.1 million.
			For the three-month and nine-month periods ended August 25, 2024, restructuring charges, net includes $3.4 million and $171.6 million, respectively, in connection with Project Fuel consisting primarily of severance and other post-employment benefit charges.
(4)			Tax impact calculated using the annual effective tax rate, excluding discrete costs and benefits.
(4)			For the three-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $4.3 million of Project Fuel restructuring related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million. It additionally includes subrogation related to an insurance recovery of $1.1 million which was recorded within other income (expense).
			For the nine-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $11.8 million of Project Fuel related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million. It additionally includes subrogation related to an insurance recovery of $1.1 million which was recorded within other income (expense).
			For the three-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $19.0 million, an estimated legal settlement accrual of $4.0 million and certain executive separation charges of $0.5 million, offset by a favorable sales-tax related settlement of $4.4 million, as well as an insurance recovery of $2.7 million and a government subsidy gain of $1.4 million, both of which were recorded within other income (expense), net.
			For the nine-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $34.3 million, legal settlements of $9.5 million, certain executive separation charges of $2.7 million and transaction and deal related costs of $1.7 million, offset by a favorable sales-tax related settlement of $4.4 million, as well as an insurance recovery of $2.7 million and a government subsidy gain of $1.4 million, both of which were recorded within other income (expense), net.
(5)			Acquisition and integration related charges includes acquisition-related compensation subject to the continued employment of certain Beyond Yoga® employees. In the first quarter of 2024, their employment ceased, resulting in the acceleration of the remaining compensation.
(6)			Tax impact calculated using the annual effective tax rate, excluding discrete costs and benefits.

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Adjusted Diluted Earnings per Share:

The following table presents a reconciliation of diluted earnings per share from continuing operations, the most directly comparable financial measure calculated in accordance with GAAP, to Adjusted diluted earnings per share for each of the periods presented.

	Three Months Ended				~~Nine Months Ended~~
	August 31,2025		August 25,2024		August 31,2025		August 25,2024
	March 1,2026		March 2,2025
	(Unaudited)
Most comparable GAAP measure:
Diluted earnings per share from continuing operations	$	0.3145	$	0.0635	$	~~0.86~~	$	~~0.07~~
Non-GAAP measure:
Diluted earnings per share from continuing operations	$	0.3145	$	0.0635	$	~~0.86~~	$	~~0.07~~
Property, plant, and equipment impairment(1)	—		0.03		—		0.03
Goodwill impairment charges(1)	—		0.01
Goodwill and other intangible asset impairment charges(2)	—		0.28		0.01		0.30
Restructuring charges, net(2)	0.02		0.02
Restructuring charges, net(3)	0.02		0.01		0.06		0.43
Restructuring related charges and other, net(3)	0.02		0.01
Restructuring related charges and other, net(4)	0.02		0.04		0.04		0.10
Gain on legal settlement	(0.08)		—
Loss on early extinguishment of debt	—		—		—		—
Tax impact of adjustments(4)	0.01		(0.01)
Acquisition and integration related charges(5)	—		—		—		0.01
Adjusted diluted earnings per share	$	0.42	$	0.38
Tax impact of adjustments(6)	(0.01)		(0.09)		(0.03)		(0.19)
Adjusted diluted earnings per share	$	0.34	$	0.33	$	0.94	$	0.75

_____________

(1)			For the three-month ~~and~~period ~~nine-month periods~~ ended ~~August~~March 252, ~~2024~~2025, ~~property,~~goodwill ~~plant,~~impairment ~~and~~charges ~~equipment~~includes ~~impairment~~the ~~primarily~~recognition ~~includes~~of a $112.15 million ofgoodwill ~~impairments~~impairment charge related to ~~the~~our ~~technology~~business ~~projects~~in ~~discontinued as a result of Project Fuel~~Bolivia.
(2)			For the ~~nine~~three-month period ended ~~August~~March 311, ~~2025~~2026, ~~goodwill~~restructuring ~~impairment~~ charges, ~~includes~~net ~~the~~consists ~~recognition~~primarily of aseverance ~~$2.5~~and ~~million~~post-employment ~~goodwill~~benefit ~~impairment charge related to our business in Bolivia~~charges.
			For the three-month and nine-month periods ended August 25, 2024, goodwill and other intangible asset impairment charges includes impairment charges of $36.3 million related to Beyond Yoga® reporting unit goodwill, $66.0 million related to the Beyond Yoga® trademark and $9.1 million Beyond Yoga® customer relationship intangible assets. Additionally, the nine-month period ended August 25, 2024 includes a $5.5 million goodwill impairment charge related to our footwear business.
			For the three-month period ended March 2, 2025, restructuring charges, net includes $6.7 million in connection with Project Fuel consisting primarily of severance, post-employment benefit charges, contract terminations and asset impairments.
(3)			For the three-month period ended ~~August~~March 311, ~~2025~~2026, restructuring related charges and other, net ~~includes~~consists ~~$8.6~~primarily ~~million~~of inattorney ~~connection~~fees ~~with~~related ~~Project~~to ~~Fuel,~~a ~~primarily~~gain ~~consisting~~on oflegal ~~severance~~settlement ~~and~~of ~~other~~$9.8 ~~post-employment benefit charges~~million.
			For the nine-month period ended August 31, 2025, restructuring charges, net includes $22.1 million in connection with Project Fuel consisting of $9.2 million of asset impairment in connection with the closures of distribution centers, $18.3 million of severance and other post-employment benefit charges, and $3.9 million of contract terminations and other costs, partially offset by a $9.3 million gain on the sale of a previously closed distribution center.
			For the three-month period ended March 2, 2025, restructuring related charges, severance, and other, net primarily relates to consulting costs associated with our restructuring initiative of $2.1 million.
			For the three-month and nine-month periods ended August 25, 2024, restructuring charges, net includes $3.4 million and $171.6 million, respectively, in connection with Project Fuel consisting primarily of severance and other post-employment benefit charges.
(4)			Tax impact calculated using the annual effective tax rate, excluding discrete costs and benefits.
(4)			For the three-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $4.3 million of Project Fuel restructuring related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million. It additionally includes subrogation related to an insurance recovery of $1.1 million which was recorded within other income (expense).
			For the nine-month period ended August 31, 2025, restructuring related and other charges, net primarily consists of $11.8 million of Project Fuel related costs which includes consulting costs, distribution center transition costs, and employee one-time incentives, as well as other costs including estimated legal settlements of $2.0 million. It additionally includes subrogation related to an insurance recovery of $1.1 million which was recorded within other income (expense).
			For the three-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $19.0 million, an estimated legal settlement accrual of $4.0 million and certain executive separation charges of $0.5 million, offset by a favorable sales-tax related settlement of $4.4 million, as well as an insurance recovery of $2.7 million and a government subsidy gain of $1.4 million, both of which were recorded within other income (expense), net.
			For the nine-month period ended August 25, 2024, restructuring related charges and other, net primarily relates to consulting costs associated with our restructuring initiative of $34.3 million, legal settlements of $9.5 million, certain executive separation charges of $2.7 million and transaction and deal related costs of $1.7 million, offset by a favorable sales-tax related settlement of $4.4 million, as well as an insurance recovery of $2.7 million and a government subsidy gain of $1.4 million, both of which were recorded within other income (expense), net.
(5)			Acquisition and integration related charges includes acquisition-related compensation subject to the continued employment of certain Beyond Yoga® employees. In the first quarter of 2024, their employment ceased, resulting in the acceleration of the remaining compensation.
(6)			Tax impact calculated using the annual effective tax rate, excluding discrete costs and benefits.

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Adjusted Free Cash Flow:

Adjusted free cash flow, a non-GAAP financial measure, includes net cash flow from operating activities less purchases of property, plant and equipment from continuing and discontinued operations. This measure therefore includes the results of our Dockers® business, which is classified as discontinued operations. We believe Adjusted free cash flow is an important liquidity measure of the cash that is available after capital expenditures for operational expenses and investment in our business. We believe Adjusted free cash flow is useful to investors because it measures our ability to generate or use cash. Once our business needs and obligations are met, cash can be used to maintain a strong balance sheet, invest in future growth and return capital to stockholders.

Our use of Adjusted free cash flow has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of our results under GAAP. First, Adjusted free cash flow is not a substitute for net cash flow from operating activities. Second, other companies may calculate Adjusted free cash flow or similarly titled non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of Adjusted free cash flow as a tool for comparison. Additionally, the utility of Adjusted free cash flow is further limited as it does not reflect our future contractual commitments and does not represent the total increase or decrease in our cash balance for a given period. Because of these and other limitations, Adjusted free cash flow should be considered along with net cash flow from operating activities and other comparable financial measures prepared and presented in accordance with GAAP.

The following table presents a reconciliation of net cash flow from operating activities, the most directly comparable financial measure calculated in accordance with GAAP, to Adjusted free cash flow for each of the periods presented.

Three Months Ended

~~Nine Months Ended~~

August 31,2025

August 25,2024

August 31,2025

August 25,2024

March 1,2026

March 2,2025

(Dollars in millions)

(Unaudited)

Most comparable GAAP measure:

Net cash provided by operating activities

24211.85

52.35

~~262.8~~

~~601.1~~

Net cash provided by (used for) investing activities

~~120~~26.03

(5071.81)

~~(9.7)~~

~~(192.2)~~

Net cash used for financing activities

(~~184~~284.71)

(6697.25)

~~(337.1)~~

~~(229.1)~~

Non-GAAP measure:

Net cash provided by operating activities

24211.85

52.35

~~262.8~~

~~601.1~~

Purchases of property, plant and equipment

(6459.24)

(5066.06)

~~(170.3)~~

~~(161.8)~~

Adjusted free cash flow

~~(39~~152.4)1

2(14.31)

~~92.5~~

~~439.3~~

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Organic Net Revenues and Constant-Currency:

We report our net revenues in accordance with GAAP, as well as on an organic net revenues basis in order to facilitate period-to-period comparisons of our revenues which excludes the impact of fluctuating foreign currency exchange rates from the change in reported net revenues, net revenues derived from business acquisitions or divestitures or wind downs impacting the previous comparable reporting period and the estimated impact of any 53rd week. We report our operating results in accordance with GAAP, as well as on a constant-currency basis in order to facilitate period-to-period comparisons of our results without regard to the impact of fluctuating foreign currency exchange rates. These measures exclude the results of our Dockers® business, which is classified as discontinued operations.

The term foreign currency exchange rates refers to the exchange rates we use to translate our operating results for all countries where the functional currency is not the U.S. Dollar into U.S. Dollars. Because we are a global company, foreign currency exchange rates used for translation may have a significant effect on our reported results. In general, our reported financial results are affected positively by a weaker U.S. Dollar and are affected negatively by a stronger U.S. Dollar as compared to the foreign currencies in which we conduct our business. References to our operating results on a constant-currency basis mean our operating results without the impact of foreign currency translation fluctuations.

We calculate constant-currency amounts by translating local currency amounts in the prior-year period at actual foreign currency exchange rates for the current period. Our constant-currency results do not eliminate the transaction currency impact, which primarily includes the realized and unrealized gains and losses recognized from the measurement and remeasurement of purchases and sales of products in a currency other than the functional currency and of forward foreign exchange contracts.

We believe disclosure of organic net revenues and Adjusted EBIT constant-currency, Adjusted EBIT Margin constant-currency and Adjusted Net Income constant-currency results is helpful to investors because it facilitates period-to-period comparisons of our results by increasing the transparency of our underlying performance by excluding the impact of fluctuating foreign currency exchange rates. However, organic net revenues and constant-currency results are non-GAAP financial measures and are not meant to be considered in isolation or as a substitute for comparable measures prepared in accordance with GAAP. Organic net revenues and constant-currency results have no standardized meaning prescribed by GAAP, are not prepared under any comprehensive set of accounting rules or principles and should be read in conjunction with our consolidated financial statements prepared in accordance with GAAP. Organic net revenues and constant-currency results have limitations in their usefulness to investors and may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies.

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Organic Net Revenues:

The table below sets forth the calculation of net revenues by segment on an organic net revenues basis for each of the periods presented.

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025		August 25,2024		% Increase(Decrease)		August 31,2025		August 25,2024		% Increase(Decrease)
	March 1,2026		March 2,2025		% Increase(Decrease)
	(Dollars in millions)
	(Unaudited)
Total net revenues(1)
As reported	$	1,~~543~~742.45	$	1,~~443~~526.18	714.01	%	$	~~4,516.2~~	$	~~4,282.1~~	~~5.5~~	%
Impact of foreign currency exchange rates	—		2670.68				—		~~(27.1)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(2)	—		(2.3)
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues	$	1,742.5	$	1,595.3	9.2	%
Organic net revenues	$	1,543.4	$	1,444.4	6.9	%	$	4,513.9	$	4,177.7	8.0	%
Americas
As reported	$	~~806~~855.47	$	~~757~~783.20	69.53	%	$	~~2,337.8~~	$	~~2,205.2~~	~~6.0~~	%
Impact of foreign currency exchange rates	—		(218.3)4				—		~~(36.3)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(2)	—		(2.3)
Organic net revenues - Americas	$	~~806~~855.47	$	~~751~~799.71	7.31	%	$	~~2,335.5~~	$	~~2,141.9~~	~~9.0~~	%
Europe
As reported	$	~~426~~496.30	$	~~406~~400.65	423.8	%	$	~~1,229.9~~	$	~~1,183.8~~	~~3.9~~	%
Impact of foreign currency exchange rates	—		2851.83				—		~~20.5~~
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues - Europe	$	496.0	$	451.8	9.8	%
Organic net revenues - Europe	$	426.3	$	413.3	3.1	%	$	1,229.9	$	1,154.0	6.6	%
Asia
As reported	$	~~277~~347.75	$	~~247~~308.1	12.48	%	$	~~843.5~~	$	~~795.9~~	~~6.0~~	%
Impact of foreign currency exchange rates	—		01.1				—		~~(11.3)~~
Organic net revenues - Asia	$	~~277~~347.75	$	~~247~~309.2	12.34	%	$	~~843.5~~	$	~~784.6~~	~~7.5~~	%
Beyond Yoga®
As reported	$	3343.03	$	3235.2	223.50	%	$	~~105.0~~	$	~~97.2~~	~~8.0~~	%
Organic net revenues - Beyond Yoga®	$	3343.03	$	3235.2	223.50	%	$	~~105.0~~	$	~~97.2~~	~~8.0~~	%

_____________

(1) These measures exclude the results of our Dockers® business, which is classified as discontinued operations.


(1)			These measures exclude the results of our Dockers® business, which is classified as discontinued operations.
(2)			Foreign currency did not significantly impact net revenues from Denizen® wind down for the three months ended March 2, 2025.

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The table below sets forth the calculation of net revenues by channel on an organic net ~~revenue~~revenues basis for each of the periods presented.

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025		August 25,2024		% Increase(Decrease)		August 31,2025		August 25,2024		% Increase(Decrease)
	March 1,2026		March 2,2025		% Increase(Decrease)
	(Dollars in millions)
	(Unaudited)
Total net revenues(1)
As reported	$	1,~~543~~742.45	$	1,~~443~~526.18	714.01	%	$	~~4,516.2~~	$	~~4,282.1~~	~~5.5~~	%
Impact of foreign currency exchange rates	—		2670.68				—		~~(27.1)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(2)	—		(2.3)
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues	$	1,742.5	$	1,595.3	9.2	%
Organic net revenues	$	1,543.4	$	1,444.4	6.9	%	$	4,513.9	$	4,177.7	8.0	%
Wholesale
As reported	$	~~832~~831.20	$	~~804~~739.13	312.54	%	$	~~2,301.4~~	$	~~2,273.3~~	~~1.2~~	%
Impact of foreign currency exchange rates	—		1129.85				—		~~(21.2)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(2)	—		(2.3)
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues - Wholesale	$	831.0	$	766.5	8.4	%
Organic net revenues - Wholesale	$	832.2	$	790.6	5.3	%	$	2,299.1	$	2,174.8	5.7	%
DTC
As reported	$	~~711~~911.25	$	~~639~~787.05	1115.37	%	$	~~2,214.8~~	$	~~2,008.8~~	~~10.3~~	%
Impact of foreign currency exchange rates	—		1441.83				—		~~(5.9)~~
Organic net revenues - DTC	$	~~711~~911.25	$	~~653~~828.8	810.80	%	$	~~2,214.8~~	$	~~2,002.9~~	~~10.6~~	%

_____________

(1) These measures exclude the results of our Dockers® business, which is classified as discontinued operations.


(1)			These measures exclude the results of our Dockers® business, which is classified as discontinued operations.
(2)			Foreign currency did not significantly impact net revenues from Denizen® wind down for the three months ended March 2, 2025.

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The table below sets forth the calculation of net revenues by brand on an organic net ~~revenue~~revenues basis for each of the periods presented.

	Three Months Ended						~~Nine Months Ended~~
	August 31,2025		August 25,2024		% Increase(Decrease)		August 31,2025		August 25,2024		% Increase(Decrease)
	March 1,2026		March 2,2025		% Increase(Decrease)
	(Dollars in millions)
	(Unaudited)
Total Levi’s Brands net revenues(1)
Total Levi’s Brands net revenues
As reported	$	1,~~510~~699.42	$	1,~~410~~491.96	713.19	%	$	~~4,411.2~~	$	~~4,184.9~~	~~5.4~~	%
Impact of foreign currency exchange rates	—		2670.68				—		~~(27.1)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(1)	—		(2.3)
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues	$	1,699.2	$	1,560.1	8.9	%
Organic net revenues	$	1,510.4	$	1,412.2	7.0	%	$	4,408.9	$	4,080.5	8.0	%
Levi’s®
As reported	$	1,~~450~~633.85	$	1,~~358~~432.58	614.80	%	$	~~4,236.4~~	$	~~4,004.3~~	~~5.8~~	%
Impact of foreign currency exchange rates	—		2670.6				—		~~(26.1)~~
Net revenues from Footwear category divestiture	—		(22.1)				—		(50.3)
Organic net revenues - Levi’s®	$	1,633.5	$	1,503.4	8.7	%
Organic net revenues - Levi’s®	$	1,450.8	$	1,363.0	6.4	%	$	4,236.4	$	3,927.9	7.9	%
Levi Strauss SignatureTM
As reported	$	5965.67	$	4956.25	2116.13	%	$	~~172.5~~	$	~~152.9~~	~~12.8~~	%
Impact of foreign currency exchange rates	—		—0.2				—		~~(0.3)~~
Organic net revenues - Levi Strauss SignatureTM	$	5965.67	$	4956.27	2115.19	%	$	~~172.5~~	$	~~152.6~~	~~13.0~~	%
Denizen®
As reported	$	—	$	3.2.3	(100.0)	%	$	~~2.3~~	$	~~27.7~~	~~(91.7)~~	%
Impact of foreign currency exchange rates	—		—				—		~~(0.7)~~
Net revenues from Denizen® divestiture	—		(3.2)				(2.3)		(27.0)
Net revenues from Denizen® wind down(1)	—		(2.3)
Organic net revenues - Denizen®	$	—	$	—	*		$	—	$	—	*

_____________

(1) ~~These~~Foreign ~~measures~~currency ~~exclude~~did ~~the~~not ~~results~~significantly ofimpact ~~our~~net ~~Dockers~~revenues from Denizen® ~~business,~~wind ~~which~~down isfor ~~classified~~the asthree ~~discontinued~~months ~~operations~~ended March 2, 2025.

* Not meaningful

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Constant-Currency Adjusted EBIT and Constant-Currency Adjusted EBIT margin:

The table below sets forth the calculation of Adjusted EBIT and Adjusted EBIT margin on a constant-currency basis for each of the periods presented.

	Three Months Ended								~~Nine Months Ended~~
	August 31,2025			August 25,2024			%Increase(Decrease)		August 31,2025			August 25,2024			%Increase(Decrease)
	March 1,2026			March 2,2025			%Increase(Decrease)
	(Dollars in millions)
	(Unaudited)
Adjusted EBIT(1)	$	~~182~~217.38		$	~~177~~204.80		26.58	%	$	~~505.6~~		$	~~402.4~~		~~25.6~~	%
Impact of foreign currency exchange rates	—			617.23			*		—			~~(5.4)~~			*
Constant-currency Adjusted EBIT	$	~~182~~217.38		$	~~184~~221.03		(01.96)	%	$	~~505.6~~		$	~~397.0~~		~~27.4~~	%
Adjusted EBIT margin	1112.85		%	1213.34		%	(46.17)	%	~~11.2~~		%	~~9.4~~		%	~~19.1~~	%
Impact of foreign currency exchange rates	—		%	0.25		%	*		—			~~(0.1)~~			*
Constant-currency Adjusted EBIT margin(2)	1112.85		%	1213.59		%	(510.61)	%	~~11.2~~		%	~~9.3~~		%	~~20.4~~	%

_____________


(1)			Adjusted EBIT is reconciled from net income from continuing operations which is the most comparable GAAP measure. Refer to Adjusted EBIT and Adjusted EBITDA table for more information.
(2)			We define constant-currency Adjusted EBIT margin as constant-currency Adjusted EBIT as a percentage of constant-currency net revenues from continuing operations.

* Not meaningful

Constant-Currency Adjusted Net Income and Constant-Currency Adjusted Diluted Earnings per Share:

The table below sets forth the calculation of Adjusted net income and Adjusted diluted earnings per share on a constant-currency basis for each of the periods presented.

	Three Months Ended								~~Nine Months Ended~~
	August 31,2025			August 25,2024			%Increase(Decrease)		August 31,2025			August 25,2024			%Increase(Decrease)
	March 1,2026			March 2,2025			%Increase(Decrease)
	(Dollars in millions, except per share amounts)
	(Unaudited)
Adjusted net income(1)	$	~~135~~166.7		$	~~133~~150.90		111.31	%	$	~~374.2~~		$	~~299.5~~		~~24.9~~	%
Impact of foreign currency exchange rates	—			2.6.0			*		—			~~(2.6)~~			*
Constant-currency Adjusted net income	$	~~135~~166.7		$	~~136~~156.50		~~(0.~~6).9	%	$	~~374.2~~		$	~~296.9~~		~~26.0~~	%
Constant-currency Adjusted net income margin(2)	89.86		%	9.38		%			~~8.3~~		%	~~7.0~~		%
Adjusted diluted earnings per share	$	0.3442		$	0.3338		310.05	%	$	~~0.94~~		$	~~0.75~~		~~25.3~~	%
Impact of foreign currency exchange rates	—			0.01			*		—			~~(0.01)~~			*
Constant-currency Adjusted diluted earnings per share	$	0.3442		$	0.3439		—7.7	%	$	~~0.94~~		$	~~0.74~~		~~27.0~~	%

_____________

(1)			Adjusted net income is reconciled from net income from continuing operations which is the most comparable GAAP measure. Refer to Adjusted net income table for more information.
(2)			We define constant-currency Adjusted net income margin as constant-currency Adjusted net income as a percentage of constant-currency net revenues from continuing operations.

* Not meaningful

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Off-Balance Sheet Arrangements, Guarantees and Other Contingent Obligations

As of ~~August~~March 311, ~~2025~~2026, there had been no significant changes to our off-balance sheet arrangements or contractual commitments from those disclosed in our ~~2024~~2025 Annual Report on Form 10-K.

Critical Accounting Policies and Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the related notes. There have been no significant changes to our critical accounting policies from those disclosed in our ~~2024~~2025 Annual Report on Form 10-K~~, other than described below~~.

During the third quarter of 2025, as part of the Company’s annual review of the Beyond Yoga® reporting unit, the Company elected to perform a single step quantitative impairment test on the goodwill and indefinite lived trademark intangible assigned to the Beyond Yoga® reporting unit. The Company engaged third-party valuation specialists and used industry accepted valuation models and criteria that were reviewed and approved by various levels of management. Although the fair values of the Beyond Yoga® reporting unit and the indefinite lived trademark intangible exceeded their carrying values, the fair values of the Beyond Yoga® reporting unit and the indefinite lived trademark intangible were less than 10% over their carrying values. Determination of fair values is judgmental in nature and often involves the use of significant estimates and assumptions, which may include revenue growth rates, profit margins, operating expenses, capital expenditures, terminal value, a royalty rate and a discount rate. As our long-term strategies change, planned business performance expectations are not met over time, or specific valuation factors outside of our control, such as discount rates, change significantly, then the estimated fair values of the Beyond Yoga® reporting unit or the Beyond Yoga® indefinite-lived trademark intangible asset, or both might decline and lead to impairment charges in the future. Several factors could impact the Beyond Yoga® brand's ability to achieve expected future cash flows, including the success of retail store and international expansion, store and e-commerce productivity, the impact of promotional activity, continued economic volatility and potential operational challenges related to macroeconomic factors and other strategic initiatives to drive increased profitability.

Recently Issued Accounting Standards

See Note 1 to our unaudited consolidated financial statements included in this Quarterly Report for recently issued accounting standards, including the expected dates of adoption and expected impact to our consolidated financial statements upon adoption.

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SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain matters discussed in this Quarterly Report, including (without limitation) statements under "Management’s Discussion and Analysis of Financial Condition and Results of Operations" contain forward-looking statements. Although we believe that, in making any such statements, our expectations are based on reasonable assumptions, any such statement may be influenced by factors that could cause actual outcomes and results to be materially different from those projected.

These forward-looking statements include statements relating to our anticipated financial performance and business prospects, including debt reduction, currency values and financial impact and foreign exchange counterparty exposures, statements regarding our business strategy and other plans and objectives for our future operations, statements concerning the ~~pending disposition of our global Dockers® business, including the expected timing of completion, statements concerning the~~ impacts of macroeconomic conditions and tariffs, statements relating to the impact of pending legal proceedings, adequate liquidity levels, dividends, share repurchases or other capital deployment initiatives and/or statements preceded by, followed by or that include the words "believe", "will", "will be", "will continue", "will likely result", "may", "predicts", "so we can", "when", "anticipate", "intend", "estimate", "expect", "project", "aim", "could", "plans", "seeks" and similar expressions. These forward-looking statements speak only as of the date stated, and we do not undertake any obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, even if experience or future events make it clear that any expected results expressed or implied by these forward-looking statements will not be realized. Although we believe that the expectations reflected in these forward-looking statements are reasonable, these expectations may not prove to be correct or we may not achieve the financial results, savings or other benefits anticipated in the forward-looking statements. These forward-looking statements are necessarily estimates reflecting the best judgment of our senior management and involve a number of risks and uncertainties, some of which may be beyond our control. These risks and uncertainties, including those disclosed in Part I, Item 1A – Risk Factors of our Annual Report on Form 10-K for the fiscal year ended ~~December~~November 130, ~~2024~~2025, and in our other filings with the Securities and Exchange Commission, could cause actual results to differ materially from those suggested by the forward-looking statements and include, without limitation:

•changes in general economic and financial conditions, inflationary pressures, tariff regimes, including ongoing uncertainty around newly imposed U.S. tariffs and any additional responsive non-U.S. tariffs or additional U.S. tariffs, and the resulting impact on the level of discretionary consumer spending for apparel and pricing trend fluctuations, and our ability to plan for and respond to the impact of those changes;

•potential increases in import tariffs or taxes, impacts from already implemented or announced tariffs, including newly imposed U.S. tariffs and any additional responsive non-U.S. tariffs or additional U.S. tariffs, and the implementation of trade restrictions or sanctions;

•the Russia-Ukraine war, escalating conflicts in the Middle East, and the potential impacts of these and other conflicts on global economic and geopolitical conditions, in particular energy prices;

•the risk of future non-cash asset impairment charges, including to goodwill, operating right-of-use assets and/or other store assets;

•our ability to execute on our business strategies, including our focus on elevating and strengthening our brand, the portion of our net revenues we aim to have represented by our direct-to-consumer business, our digital presence and growth into under-penetrated parts of our business, our expectations regarding gross and Adjusted EBIT margins, and our plans and expectations for the benefits of investments in operational excellence including steps to improve our speed-to-market;

•our ability to effectively manage any global productivity and outsourcing actions as planned, which are intended to increase productivity and efficiency in our global operations, take advantage of lower-cost service-delivery models in our distribution network and streamline our procurement practices to maximize efficiency in our global operations, without business disruption or mitigation to such disruptions;

•our ability to effectively manage our inventory and supply chain, the ability of business partners, including global third party logistics providers, to meet their obligations to us, and operational challenges faced by our warehouses and distribution centers;

•consequences of impacts to the businesses of our wholesale customers, including significant store closures or a significant decline in a wholesale customer’s financial condition leading to restructuring actions, bankruptcies, liquidations or other unfavorable events for our wholesale customers, caused by factors such as, among other things, inability to secure financing, decreased discretionary consumer spending, inconsistent foot and online traffic patterns and an increase in promotional activity as a result of decreased foot and online traffic, pricing fluctuations, general economic and financial conditions and changing consumer preferences;

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•our ability to execute on our commitment to increasing total shareholder returns through our capital allocation priorities and strategies;

•our ability to achieve anticipated operating model optimization, simplified processes and cost savings from our global productivity initiative;

•our and our wholesale customers’ decisions to modify strategies and adjust product mix and pricing, and our ability to manage any resulting product transition costs, including liquidating inventory or increasing promotional activity;

•our ability to purchase products through our independent contract manufacturers that are made with quality raw materials and our ability to mitigate the variability of costs related to manufacturing, sourcing, and raw materials supply and to manage consumer response to such mitigating actions;

•our ability to gauge and adapt to changing U.S. and international retail environments and fashion trends and changing consumer preferences in product, price-points, as well as in-store and digital shopping experiences;

•our ability to respond to price, innovation and other competitive pressures in the global apparel industry, on and from our key customers and in our key markets and to increasing consumer expectations;

•our ability to increase the number of dedicated stores for our products, including through opening and profitably operating company-operated stores;

•our future business expectations, products, strategies, and goals, including our future financial, strategic, and operating performance and our long-term goals and targets;

•the extent to which wholesale customer forward demand signals result in actual sales;

•consequences of inflation, foreign currency exchange and interest rate fluctuations;

•the impact of foreign currency and exchange counterparty exposures;

•the impact of the effects of global supply chain disruptions on our business;

•increases in the price or availability of raw materials;

•the impact on our consumer traffic and demand, our business operations and the operations of our suppliers and manufacturers as climate change evolves and the frequency and severity of weather events increase;

•the impact of seasonality of our sales and our business;

•our ability to successfully prevent or mitigate the impacts of data security breaches;

•our ability to attract and retain key executives and other key employees;

•our ability to achieve our diversity, equity and inclusion, ESG and sustainability and climate change goals;

•our ability to protect our trademarks and other intellectual property;

•the impact of the variables that affect the net periodic benefit cost and future funding requirements of our postretirement benefits and pension plans;

•our dependence on key distribution channels, customers and suppliers;

•our ability to utilize our tax credits and net operating loss carryforwards;

•potential future paydowns of existing debt;

•future acquisitions of or investments in new businesses~~, including the Beyond Yoga® integration~~;

•planned dispositions and their expected impact~~, including the pending sale of our global Dockers® business~~;

•the adequacy of our liquidity position;

•the process and risks relating to the implementation of a new ERP system;

•the impact of pending, ongoing or future legal proceedings, litigation matters and disputes and regulatory developments;

•the impact of future shareholder returns, including share repurchases and dividends;

•changes in or application of trade and tax laws and policies; and

•political, social and economic instability, or natural disasters, in countries where we or our customers do business.

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We have based the forward-looking statements contained in this Quarterly Report primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, results of operations, prospects, business strategy and financial needs. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, assumptions and other factors described under Part I, Item 1A – Risk Factors of our Annual Report on Form 10-K for the fiscal year ended ~~December~~November 130, ~~2024~~2025, in our other filings with the SEC and in this Quarterly Report. These risks are not exhaustive. Other sections of this Quarterly Report include additional factors that could adversely affect our business and financial performance. Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for us to predict all risks and uncertainties that could have an impact on the forward-looking statements contained in this Quarterly Report. We cannot assure you that the results, events and circumstances reflected in the forward-looking statements will be achieved or occur, and actual results, events or circumstances could differ materially from those described in the forward-looking statements.

In addition, statements that "we believe" and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based upon information available to us as of the date of this Quarterly Report, and while we believe such information forms a reasonable basis for such statements, such information may be limited or incomplete, and our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of, all potentially available relevant information. These statements are inherently uncertain and investors are cautioned not to unduly rely upon these statements.

The forward-looking statements made in this Quarterly Report relate only to events as of the date on which such statements are made. We undertake no obligation to update any forward-looking statements after the date of this Quarterly Report or to conform such statements to actual results or revised expectations, except as required by law.

Additional information regarding factors that could cause results to differ can be found in our Annual Report on Form 10-K for the fiscal year ended ~~December~~November 130, ~~2024~~2025, in this Quarterly Report and our other filings with the U.S. Securities and Exchange Commission. We suggest that this document be read in conjunction with our other filings with the U.S. Securities and Exchange Commission.

As used herein, "Levi Strauss", "Levi", "Levi’s”, "the company", "the Company", "we", "us", "our" and similar terms include Levi Strauss & Co. and its subsidiaries, unless the context indicates otherwise.


Item 3.			QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There have been no material changes in our primary market risk exposures or how those exposures are managed from the information disclosed in our ~~2024~~ Annual Report on Form 10-K for the fiscal year ended November 30, 2025.


Item 4.			CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

We have evaluated, under the supervision and with the participation of management, including our chief executive officer and our chief financial officer, the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934 (the "Exchange Act") as of ~~August~~March 311, ~~2025~~2026. Based on that evaluation, our chief executive officer and our chief financial officer concluded that as of ~~August~~March 311, ~~2025~~2026, our disclosure controls and procedures were effective at a reasonable assurance level.

Changes in Internal Control over Financial Reporting

We maintain a system of internal control over financial reporting that is designed to provide reasonable assurance that our books and records accurately reflect our transactions and that our established policies and procedures are followed. There were no changes to our internal control over financial reporting for the quarterly period ended ~~August~~March 311, ~~2025~~2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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