| QUARTERLY FINANCIAL DATA (UNAUDITED) |
QUARTERLY FINANCIAL DATA (UNAUDITED) Set forth below are the consolidated statements of operations for the first, second, third and fourth quarters of 2019 and 2018. | | | | | | | | | | | | | | | | | Year Ended November 24, 2019 | First Quarter | | Second Quarter | | Third Quarter | | Fourth Quarter | | (Dollars in thousands, except per share amounts) | Net revenues | $ | 1,434,458 |
| | $ | 1,312,940 |
| | $ | 1,447,081 |
| | $ | 1,568,608 |
| Cost of goods sold | 651,650 |
| | 612,517 |
| | 680,335 |
| | 717,212 |
| Gross profit | 782,808 |
| | 700,423 |
| | 766,746 |
| | 851,396 |
| Selling, general and administrative expenses | 581,896 |
| | 637,525 |
| | 595,528 |
| | 719,749 |
| Operating income | 200,912 |
| | 62,898 |
| | 171,218 |
| | 131,647 |
| Interest expense | (17,544 | ) | | (15,126 | ) | | (15,292 | ) | | (18,286 | ) | Underwriter commission paid on behalf of selling | — |
| | (24,860 | ) | | — |
| | — |
| Other (expense) income, net | (1,646 | ) | | 3,166 |
| | (4,369 | ) | | 4,866 |
| Income before income taxes | 181,722 |
| | 26,078 |
| | 151,557 |
| | 118,227 |
| Income tax expense (benefit)(1) | 35,271 |
| | (2,429 | ) | | 27,340 |
| | 22,422 |
| Net income | 146,451 |
| | 28,507 |
| | 124,217 |
| | 95,805 |
| Net loss (income) attributable to noncontrolling interest | 126 |
| | (277 | ) | | 292 |
| | (509 | ) | Net income attributable to Levi Strauss & Co. | $ | 146,577 |
| | $ | 28,230 |
| | $ | 124,509 |
| | $ | 95,296 |
| | | | | | | | | Earnings per common share attributable to common stockholders(2): | | | | | | | | Basic | $ | 0.39 |
| | $ | 0.07 |
| | $ | 0.32 |
| | $ | 0.24 |
| Diluted | $ | 0.37 |
| | $ | 0.07 |
| | $ | 0.30 |
| | $ | 0.23 |
| Weighted-average common shares outstanding - diluted | | | | | | | | Basic | 377,077,111 |
| | 389,518,461 |
| | 394,169,688 |
| | 394,670,867 |
| Diluted | 393,234,825 |
| | 409,332,997 |
| | 413,639,749 |
| | 411,984,817 |
| | | | | | | | | Cash dividends declared per share | $ | 0.29 |
| | $ | — |
| | $ | — |
| | $ | 0.01 |
|
_____________ | | (1) | The Income tax benefit in the second quarter is due to lower income taxes from less operating income and an excess tax benefit recognized related to the exercise of employee stock-based compensation. |
| | (2) | The sum of the quarterly earnings per share may not equal the full-year amount, as the computations of the weighted-average number of common basic and diluted shares outstanding for each quarter and the full year are performed independently. |
| | | | | | | | | | | | | | | | | Year Ended November 25, 2018 | First Quarter | | Second Quarter | | Third
Quarter | | Fourth Quarter | | (Dollars in thousands, except per share amounts) | Net revenues | $ | 1,343,685 |
| | $ | 1,245,742 |
| | $ | 1,394,153 |
| | $ | 1,591,860 |
| Cost of goods sold | 605,561 |
| | 574,865 |
| | 652,591 |
| | 744,448 |
| Gross profit | 738,124 |
| | 670,877 |
| | 741,562 |
| | 847,412 |
| Selling, general and administrative expenses(2) | 563,202 |
| | 593,595 |
| | 582,146 |
| | 718,621 |
| Operating income | 174,922 |
| | 77,282 |
| | 159,416 |
| | 128,791 |
| Interest expense | (15,497 | ) | | (14,465 | ) | | (15,697 | ) | | (9,637 | ) | Other (expense) income, net(2) | (10,400 | ) | | 12,895 |
| | (3,839 | ) | | 16,251 |
| Income before income taxes | 149,025 |
| | 75,712 |
| | 139,880 |
| | 135,405 |
| Income tax expense (benefit)(3) | 167,654 |
| | (1,320 | ) | | 10,299 |
| | 38,145 |
| Net (loss) income | (18,629 | ) | | 77,032 |
| | 129,581 |
| | 97,260 |
| Net (income) loss attributable to noncontrolling interest | (383 | ) | | (2,100 | ) | | 543 |
| | (162 | ) | Net (loss) income attributable to Levi Strauss & Co. | $ | (19,012 | ) | | $ | 74,932 |
| | $ | 130,124 |
| | $ | 97,098 |
| | | | | | | | | Earnings per common share attributable to common stockholders(1): | | | | | | | | Basic | $ | (0.05 | ) | | $ | 0.20 |
| | $ | 0.34 |
| | $ | 0.26 |
| Diluted | $ | (0.05 | ) | | $ | 0.19 |
| | $ | 0.33 |
| | $ | 0.25 |
| Weighted-average common shares outstanding - diluted | | | | | | | | Basic | 376,165,783 |
| | 377,132,162 |
| | 377,742,492 |
| | 376,968,560 |
| Diluted | 376,165,783 |
| | 387,764,580 |
| | 390,586,032 |
| | 391,088,937 |
| | | | | | | | | Cash dividends declared per share | $ | 0.24 |
| | $ | — |
| | $ | — |
| | $ | — |
|
_____________ | | (1) | The sum of the quarterly earnings per share may not equal the full-year amount, as the computations of the weighted-average number of common basic and diluted shares outstanding for each quarter and the full year are performed independently. |
| | (2) | The amounts in Selling, general and administrative expenses and Other income (expense), net in 2018 have been conformed to reflect the adoption of ASU 2017-07, "Compensation-Retirement Benefits (Topic 715) Improving the Presentation of Net Periodic Cost and Net Periodic Postretirement Benefit Cost" and include non-service cost component of net periodic benefit costs. Refer to Note 1 for more information. |
| | (3) | The Income tax expense in the first quarter is due to the one-time tax charge recorded in relation to the newly enacted Tax Act. The Income tax benefit in the second quarter is due to lower income taxes from less operating income and the release of tax reserves as tax audits were finalized. |
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