Levi's CEO calls Asia a 'bright spot' this quarter and is optimistic about business in China

Levi's CEO Chip Bergh told CNBC's Jim Cramer helium is optimistic astir the company's concern successful Asia, particularly China, wherever helium concern is ramping up arsenic consumers instrumentality aft Covid lockdowns.

"Asia is simply a agleam spot this 4th for sure, and that is decidedly helped by China," Bergh said. "We person taken our expectations for Asia up for the 2nd fractional of the year, successful part, mostly driven by the spot that we're seeing successful China, and that volition assistance offset this weakness, partially offset this weakness, that we're seeing successful US wholesale."

Levi's reported net connected Thursday aft the market's close, narrowly beating Wall Street's estimates portion seeing a large driblet successful its U.S. wholesale market. The retailer drastically chopped its nett outlook for the remainder of the year, expecting adjusted net per stock of $1.10 to $1.20, compared to a erstwhile scope of $1.30 to $1.40. Shares dropped much than 6% successful after-hours trading.

However, according to Bergh, the institution is optimistic astir its planetary business, particularly successful China. Bergh said helium and different Levi's executives visited the state precocious for the archetypal clip successful years, and were impressed by what they saw.

"We are seeing the post-lockdown spending spree arsenic consumers travel back, and that is decidedly lifting our concern and contributing to the spot that we're seeing successful China," Bergh said. "So we're precise optimistic astir China and astir Asia overall, and yeah, we're putting our chips connected the array successful these markets that are truly growing."