李维斯- LEVI -2026年第二季度业绩电话会

00:00:00 Day, ladies and gentlemen, and welcome to the Levi straussen company's second quarterfiscal 2026 earnings conference call for the period ending may thirty one twenty twenty six. 00:00:11 All parties will be in a listen only mode until the questionandanswer session, at which timeinstructions will follow. 00:00:19This conference call is being recorded and may not be reproduced in whole or in partwithout written permission from the company. 00:00:28This conference call is being broadcast over the internet and a replay of the webcast will beaccessible for one quarter on the company's website, Levi Strauss com. 00:00:40 I would now like to turn the call over to IDA orphan, vice President of investor relations atLevi straussen company. 00:00:48 Thank you for joining us on the call today to discuss the results for our second quarter offiscal 2026. 00:00:55 Joining me on today's call are Michelle goss, our President and CEO, and harmmit Singh, ourchief financial and growth officer. 00:01:01 We'd like to remind you that we will be making forward looking statements based oncurrent expectations, and those statements are subject to certain risks and uncertaintiesthat could cause actual results to differ materially. 00:01:11 These risks and uncertainties are detailed in our reports filed with the SEC. We assume noobligation to update any of these forward looking statements. 00:01:20 Additionally, during this call we will discuss certain non GAAP financial measures which arenot intended to be a substitute for our GAAP results. Definitions of these measures andreconciliations to their most comparable GAAP measure are included in our earningsrelease available on the IR section of our website investors Levi Strauss com. Please notethat Michelle and hermit will be referencing organic net revenues or constant currencynumbers unless otherwise noted, and the information provided is based on continuingoperations. 00:01:47 Finally, this call is being webcast on our IR website and a replay of this call will be availableon the website shortly. 00:01:54 Today's call is scheduled for one hour, so please limit yourself to one question at a time toallow others to have their questions addressed. 00:02:01 And Now I'd like to turn the call over to Michelle.Thank you and welcome everyone totoday's call.We're pleased to report another strong quarter with Q2exceeding expectationsacross the top and bottom line. 00:02:14 These results highlight the strength of our business model, underpinned by the enduringpower of our iconic brand, and how we're driving growth across markets, channels,categories and consumer demographics. 00:02:27 The progress we're delivering today, is the direct result of the strategic choices we've madeto sharpen our focus and unlock the full potential of the Levi's brand, choices that havepositioned us to capture our highest return growth opportunities. 00:02:41 As we continue to evolve into a DTC first lifestyle company, we are driving more consistentand faster growth, expanding our addressable market and improving our profitability. 00:02:53 Quarter after quarter,our results demonstrate that our strategies are working andmomentum is building.And we believe we are still in the early innings of unlocking the fullopportunity ahead with more ways to win than ever before. 00:03:08 Let's now turn to the details of the quarter.As a reminder,all numbers harmmit and I willreference are on an organic basis.We delivered solid top line performance this quarter with organic net revenues up6.%。 00:03:22Our international markets continue to demonstrate strong momentum, led by a 12%increase in Asia, while the us delivered a 6% increase. 00:03:32 Our directtoconsumer business continues to lead our growth, with revenue up 8% andcomparable sales up 6% in Q2, delivering our 17th consecutive quarter of comp growth. 00:03:45 Global wholesale increased 3, %，led by strength in the us wholesale channel. 00:03:50Our evolution into a denim lifestyle brand is enabling us to continue to drive outsizedperformance in women's up 11% in the quarter. 00:04:00 And we further extended our leading market share position in both men's and women's,reflecting the strength of our brand, impactful marketing and a steady pipeline of productinnovation. 00:04:12Importantly, top line momentum translated into strong bottom line delivery with marginexpansion and strong earnings growth. 00:04:20On the strength of our performance, we're raising our full year sales and EPS guidance.Hermit will share more shortly. 00:04:28I'll now walk you through highlights from the quarter in the context of our strategies. 00:04:32Our first strategy is to be brand led, powered by a bestinclass global marketing team thatmoves with agility and keeps Levi's firmly at the center of culture around the world. 00:04:43In Q2, we continued to build on our global behind everyvery original campaign following itssuccessful launch of the Super