Levi Strauss' second-quarter revenue fell short of market expectations due to choppy wholesale demand in the U.S. Shares dropped by 12% in extended trading as the company maintained its profit and revenue forecast, citing adverse foreign exchange impact and increased marketing spend. Levi is transitioning to a direct-to-consumer model and focusing on higher-margin products following last year's inventory surplus. Despite a decline in U.S. wholesale revenue, the company remains optimistic about consumer resilience. However, the Dockers brand underperformed, overshadowing strong denim demand fueled by women's clothing sales. Levi reported strong profit per share and gross margin growth in the quarter. Looking ahead, the company expects net revenue growth for fiscal 2024 to surpass earlier estimates. Levi's annual adjusted profit forecast remains unchanged. The second-quarter revenue of $1.44 billion missed estimates, reflecting ongoing challenges amid shifting market demands.