Levi Strauss India profit down 13.4% to Rs 159.4 Cr in FY24

Levi Strauss (India) posted a 13.4% decline in profit to Rs 159.4 crore in FY24 even as its sales rose 3.3% to Rs 1,668.7 crore, the company said in an RoC filing.

Total revenue of Levi Strauss (India) was up 3.4% to Rs 1,843.7 crore for the financial year ended on March 31, 2024, helped by other income, according to financial data accessed through business intelligence platform Tofler.

Levi Strauss (India) Pvt Ltd had reported a total standalone profit of Rs 184.1 crore a year before in FY23 and its revenue from sale of products was at Rs 1,615.1 crore.

Its 'advertising promotional expenses' in FY24 were up 15.62% to Rs 118.4 crore. This was at Rs 102.4 crore a year ago in FY23.

Levi Strauss (India) royalty fees paid to its California, US-based parent company Levi Strauss & Co was at Rs 119.5 crore, up 4.27%. The 'cost royalty of the denim maker was at Rs 114.6 crore a year ago.

Total expenses of Levi Strauss (India) during the financial year under review were Rs 1,630.2 crore.

Levi Strauss (India) is 99.95% owned by Levi Strauss Mauritius Ltd, a unit of Levi Strauss & Co.

It has "strong support from its parent company, Levi Strauss & Co, considering the potential of the Indian market and the strength of the brand," Levi Strauss (India) said in its overview.

It has earned in the Indian retail market space and hence benefitted immensely from the group-level initiatives, it added.

On the future outlook, it said the Indian economy is on course to be among the top economies in the world.

"The key factors driving the India consumption story include a large proportion of the young population, rising urbanisation, growing affluence, increasing discretionary spending and deeper penetration of digital," it said.

As the year progresses, and things return to normal, the company should be in a much stronger position to bounce back, given its portfolio of strong brands, innovative processes and a credible workforce, it added.