Iconic jean brand Levi Strauss has reported disappointing Q3 financial results.

Levi Strauss & Co has unveiled disappointing Q3 results, with a drop of 41% in its net income, down to $41 million (£25m) from $69m for the same period in 2008.

The San Francisco-based firm owns a number of leading brand names including the iconic Levi’s® name, Dockers® and the Signature brand. 

The denim retailer blamed the weak results for the three months to 30 August 2009, on the poor global economy and the adverse effect of currency exchange rates.

In its financial statement, it said that revenues in the Americas region had suffered due to a lower demand for men’s casual trousers in its Dockers® brand and lower sales of Signature products.

Internationally, Europe had suffered the biggest dip in net revenues with a drop of 13%, compared to Asia, which encouragingly saw a 2% rise in revenues to $158m, compared to $156m in 2008. Levi’s said that its success in Asia was due to continued expansion and increased product promotions.

John Anderson, Levi President and CEO, conceded that Levi had been affected by the tough market conditions, but despite which, sales of the Levi’s® brand improved. He said: “We are effectively managing our balance sheet and controlling costs.

“Our teams are focused on strategies that we believe will build our brands, strengthen our competitiveness and drive future growth. This includes expanding our retail operations and further leveraging the efficiencies and diversity of our global footprint. We’ll also concentrate our investments in the geographic markets that offer the greatest potential for return, and on market-leading innovations that will create great new products.”

In the last three months Levi’s has completed a number of acquisitions which may have had a short-term detrimental effect on its finances. In June the company bought 73 Levi’s® and Dockers® outlets from Anchor Blue Ltd, for $72 million, and it also announced the creation of a new Global Division based in Amsterdam.