Levi’s CEO says the ‘head-to-toe denim lifestyle’ is seeing success

The jeans maker posted its quarterly report on Wednesday, beating Wall Street’s expectations for earnings but slightly missing on revenue. Shares sank nearly 13% in extended trading.

Besides the “head-to-toe denim lifestyle,” Gass added other trends like baggier and looser items are on the rise. She said that much of this quarter’s success came from the direct-to-consumer business and the women’s category. Sales were especially strong in the U.S. — the company’s biggest market.

Gass suggested that Levi Strauss has moved past supply chain issues it faced last year at this time, saying there’s been a “step change in execution from a year ago.” She also said the company is expecting “momentum to accelerate” in the second half of the year.

“We see our consumers as being really resilient, and we’re excited about the [denim] category,” she said.