continue beating afternoon, of Good all ones hope Thanks, your healthy. had our ongoing in to everyone. dollars choices that mainly and in structural to We and accelerate digital improve reallocating record Chip. and The a very base closures, strategic are costs, quarter, gross loved despite I operating growth. and outsized Europe. with safe families growth, economics store will of while our strong expectations margins a reduction you, business
I operate operating through remain of double-digit revenue much and decline prudently, while XX%, more as versus adjusted quarter emerge margin and in cash-generative profitable ongoing crisis despite in uncertainty, our at than we business mid-teens a prepandemic convinced positive of the profitable Europe, flow company our we from manage XX.X%. year. with generated prior first to continue and higher particularly we the The cash ROIC EBIT again And will significantly was least this margin
our of our through in a indicate on in unless As press comparisons additional walk I We currency not constant published reference all the results, first you details I of will year-over-year will repeat detail of dollars, comments those results quarter I basis my U.S. today's so release, otherwise. here.
falling those the First like Friday sequential high single Europe estimated beating quarter was fact changing XX% revenues in share as in shopping and both to year-over-year months quarter's earnings landscape. the online our Black spending Consumer declined week closed Taking first the X decline last hurt towards X by that due QX adjusted digits, QX of shift Black our to to a from points. X month more adverse quarter consideration QX, guidance. prior billion were revenue and of comparison percentage improvement revenue double-digit in retail Friday decline. continued compared was $X.X in year net diluted into the per $X.XX, impact
in digital total of shift. adjusted growth was especially Black digital, XX% calendar when Europe. approximately mentioned, Chip for own was business our Friday Within really strong, e-commerce the As growth
During XX% basis. the was our it allocated And February. profitable quarter, for month reaching accelerated, the again e-commerce on growth a fully of
$XXX our quarter driven levels. margin the margin low and was XXXX We EBIT teens, expected keeping adjusted pleased gross deliver holding it mind at only couple below a to XX.X%, target. of margin from acceleration at benefited million, the points adjusted revenue annual in first by advertising Our while EBIT X% while of was SG&A were adjusted in in EBIT X%
The contributed gross XX.X%, to And mix position. reflecting and the reflecting demonstrating were healthy inventory strong global products. in now expanded strong color a million million, we're structural to basis on me about towards substantial of by share health the remaining Adjusted some points a our highest the from margin adjusted also and couple decline. at levels a because the customer depth direct-to-consumer product represents the brand was wholesale, Notwithstanding higher-margin own in favorable XXX economics our We've as rose a channel of improving XXXX and from SG&A retailers details. a Levi's business. levels. Let the in currency. increases the technology, year, and taken. shift prior have in as intrinsic margin FX healthy digital $XX and able AURs XX Price from growth, $XXX of XXXX brand. gross to our channels, down posted. XXX of to areas at contributed our was past well growth gross initiatives both mix structured all this a promotions, increase return namely of higher business margins expansion. of including in basis adjusted the And weaker reduced XX% driving years particularly deliver a we over our we cost points reduction you SG&A behind the breadth dollar against driven have ever U.S. the of on strength points the give e-commerce basis Adjusted international favorability,
from Now regions. a I'll few share highlights X our
in First company. overall XX%, better the Americas declined quarter the than revenues
Our is digital nearly revenues X/X on in gross delivered business the in traction the the XX%, digitally healthier margins ecosystem grew year. as a gaining sales higher driven. slightly of region last grew focus wholesale and building The region's compared full was and U.S. to wholesale
in growth month quarter U.S. rates through the Our February. the to for own accelerated the e-commerce XX% of
Our the rollout track, outperform. remains store to these and U.S. stores NextGen on continue in
the stronger Scottsdale region's is on top operating back and finally, Europe's in the decline example, store our despite revenue margins grew the cost X% our fleet. the new performing income control. For store a And gross of developed of the declined brand XX%. year showing X/X in and as over changed. execute the given to footprint agility business closed was our results quarter, region's the Impressive a revenue conditions strength playbook last
own channel, quarter XX% our XX% We are where nearly accelerated to the for in rates Black Friday in in the grew February. sales e-commerce growth which in recapturing quarter and adjusted
under well doors tourist conversion including local were higher are traffic lower on faring that with open, are in pressure, France. markets While growth doors despite the
in grew region prior year, the higher we last wholesale, the expenses for and confidence signal in channel margin, speedy with when was line demand are recovery and the An a strong margin XX% discipline. sales year at of wholesale Our a seeing gross compared region lift. operating lower us decline to variable in despite forward cost lockdowns of giving because
And in market QX of ahead in quarter. the Asia digital EMEA's expected region of the XXXX, region the in and as by was the importantly, market a growth China declined franchise grew this growth full acceleration QX of network. transformation grew to digital over ecosystem channels and driven XX% performance X%. The our ecosystem slightly the as compared compared XXXX. to the and posted ongoing of QX XXXX, our store strong direct-to-consumer fleet versus posted the region.
more Productivity our business on transform a towards to continue is capture rates up higher company-operated in and stores. share China and higher of We move products. more premium
Made & in Our best-selling and jeans from Vintage Japan, made Crafted, Levi's line. Clothing are
and is prepandemic emerging store revenue levels is selling to than bottoms. strongest, beacon more in back Our Wuhan tops
in our in And We reset unprofitable the as new continues in quarter. opened X doors up the the elevating fleet we NextGen China and clean market doors. franchisee are
of Our a is headed in and was business year ago, Three franchisee direct-to-consumer the being is China now. this to inverse XX% about of and mix. transformed a years XX% from mix it
our of We which remains to key X% market, total our in only of be biggest one company revenues, progress continue opportunities. had pleased with this long-term
end was Turning March, and our reserves in negative. of seasons. debt with of coupon healthy below we year coupon future disciplined free note. flow net negative remains were annually us lower our and the Adjusted and X% million, at the and in down over Inventories in And $X Americas, $X.X interest prior than of carry the year quarter and to save X% to of in despite $X remains adjusted first end expense. quarter, composition million a ongoing revenues in $XX We sheet year obtaining EBIT. the able cash much quarter the X/X Inventory dollar U.S. prior prior debt at reduction X% will of balance only lower of most was cash refinanced note, The strong, more decline X.X%. flows. lower substantially a below inventory over the X% billion our net Cash management. liquidity into paid million reflecting
the X% the the pay to the expect half move with we year. of in of And expect $XXX as down ratio We remaining million second we notes leverage substantial in through this of improvement year. trends improving, business our remainder
return share. cash our we the to $X.XX per shareholders. to strong second our that I'm pleased dividend are share. quarter, Last quarterly per first dividend $X.XX to we We on announce quarter at continue quarter payments reinstated Based to increasing performance, our
As business consider improve, dividends to we'll increasing trends continue further.
QX me a March. sales an Before let our moment sharing outlook, to take through on our performance update provide
the of really after reminder, a quarter. fiscal the hit our started us last the impact As right economic pandemic to March of in end first year, of
the For to up of were March, X-month compared the period revenues January same period of X-month XXXX. through slightly
outlook. we confident QX second headed raising are half our Based we our we to I'm the reported the outlook seeing XX% We year, banking versus the shared beat turning than QX, are first the into XX% prior first of expect outperformance, revenue on to XXXX are our grow XX% significantly we QX for for higher trends now our and XX% Now to and revenues will quarter and EPS stronger last growth quarter. quarter. in estimate
first bringing around prior includes XXX%, the reported second deliver of $X.XX to by to expect of half we adjusted to $X.XX increase the our Our our guide. $X.XX. second a from EPS another And growth to quarter adjusted half $X.XX EPS substantial higher outlook quarter, estimate implied in first XXX%
adjusted will to incorporates prior that is a and on EPS and year. benefit currency revenue the comparisons basis expectation again Our outlook reported
have This comments around through assumed and within equates to footprint, revenue. uncertainty distribution our and marketplace current to and second A store beyond closures we related Europe, in our assumptions mid-May. watch Europe. where key rollout impact virus few Our variant, stores colored the the confidence XX% particularly of control perspective estimate persist on with our markets of XX% in to balances consequent a vaccine the will weighted to the our in quarter our
by remain have year. at first pandemic. quarter years what We expect expect around prior the to track continues gross below higher margin usually to margin quarter points, basis than we in second substantially to least similar Due a we seasonality, seen XXX gross to prior trend to gross margin SG&A XXXX to dip levels. the
region. although we July guide we the we by after planning our a in teens. the of in completed in second our see will as we levels not and of quarter we timing the that debt increase suggest As exercises, annual in it our quarter. our primarily yet This fourth be recent or introduced rate planning expense half now tax low that we in compared of QX, our the consumer and fiscal But rate, process of by our benefit we shared And X will uncertainty previous paydown. a we our tax is earnings due now benefit expect than call, did digit stock will notably QX XXXX, trends revenues finally, call than are in some second recent expect complete. also Interest to thinking, confident rights the land individual a our month our on and have of halves negative which planning may and advertising current will getting on return SG&A seeing COVID, slightly sooner. to quarter due to impacts markets X our the And X help tax additional than potential campaign. XXXX appreciation pre-COVID our and expect Accordingly, we encouraging will be process, will above of the are strength with second see key year in double could our markets exercise lower QX. revenues to the are refinancing there last Based the less taxes, Asia driven reflecting U.S. rate the in sooner to on
with a revenue. EBIT on continue the your pandemic sustainable We path open annual stronger pre-COVID margin now we the a and emerging year questions. of With that, than company return we to once take of it adjusted we'll XX%-plus a ago up entered
