Shares in Levi Strauss & Co. (LEVI) jumped more than 8% in extended trading Wednesday evening after the maker jeans delivered a better-than-expected quarterly earnings report and raised its full-year profit guidance as it ramps up its direct-to-consumer (DTC) business.

For the three-month period ending Feb. 25, the company's first quarter, Levi reported 澳洲幸运5官方开奖结果体彩网:adjusted earnings of 26 cents per share, a nickel ahead of the 21 cents a share expected by analysts. Revenue in the period of $1.56 billion fell 8% from the prior year’s equivalent quarter, but surpassed the $1.55 billion consensus view.

The company’s DTC sales through its website and namesake branded stores grew 7% from a year earlier and made up 48% of the apparel maker’s total revenue, reducing reliance on its 澳洲幸运5官方开奖结果体彩网:wholesale business, which saw sales decline 18% in the quarter.

“We are on our way to transforming this company into a best-in-class DTC-first apparel retailer, setting the stage for our next phase of sustainable profitable growth,” Levi’s recently installed chief executive, Michelle Gass, said in the company’s earnings release. The company has previously stated that it aims to have DTC sales account for at least 55% of all sales.

Turning to the outlook, the apparel maker kept its full-year sales outlook unchanged, guiding growth of between 1% and 3%. However, the company lifted its 澳洲幸运5官方开奖结果体彩网:bottom-line forecast, now expecting to earn between $1.17 and $1.27 per share on an adjusted basis, up from its earlier projection of $1.15 to $1.25 a share. By comparison, Wall Street had forecast annual sales growth of 2.4% and earnings of $1.21 a share.

The better-than-expected quarterly results come several months after the company unveiled plans to reduce its 澳洲幸运5官方开奖结果体彩网:global corporate workforce by 10-15% to generate $100 million in saving🦋s 𓂃over the 2024 fiscal year.

Since forming a 澳洲幸运5官方开奖结果体彩网:double bottom between May and September last year, the Levi share price has trended steadily higher. Moreover, the 澳洲幸运5官方开奖结果体彩网:50-day moving average has recently crossed above the 澳洲幸运5官方开奖结果体彩网:200-day moving average to generate a bullish 澳洲幸运5官方开奖结果体彩网:golden cross signal. 

More recently, the stock encountered selling pressure near the prominent August 2022 澳洲幸运5官方开奖结果体彩网:swing high around $20.20, an area that comes back into play after the company’s upbeat earnings report. A volume-backed breakout above this technically significant level would indicate underlying momentum behind🐎 the current move higher.

Levi shares gained 8.3% to $20.20 in after-hours trading on Wednesday. Through Wednesday's close, the stock had gained about 15% so far this year.

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As of the date this article was written, the author does not own any of the above securities.