$Levi Strauss & Co.(LEVI.US)$ said strong demand and price increases will offset the impact of headwinds stemming from the war in Ukraine and its economic impact as it gave in-line guidance for full-year sales and earnings.

The denim maker affirmed previously issued full-year fiscal 2022 guidance for adjusted earnings per share to be in the range of $1.50 to $1.56 with revenue of between $6.4 billion and $6.5 billion. Analysts polled by Capital IQ expected normalized EPS of $1.54 and sales of $6.45 billion.

While we are maintaining our outlook, we expect it will now be comprised of even stronger growth in the Americas, primarily led by the US and continued strength in Asia. The growth will be "offset by reduced growth in Europe due to the unfavorable foreign exchange rate and the reduced revenue expectations in Russia.

-Chief Financial Officer Harmit Singh said on a conference call with analysts

Americas revenue jumped 26% in the fiscal first quarter, while Asia was up 11% and Europe rose 13%. Total revenue in the period ended Feb. 27 was $1.59 billion, up from $1.31 billion a year ago, driven by higher volumes and retail prices. The Capital IQ consensus was for $1.55 billion.

We took select pricing actions last year, as well as early this fiscal year and we believe there remains additional headroom to raise prices in parts of our portfolio through the balance of this year and beyond. Our ability to effectively take price has enabled us to mitigate cost pressures, including inflation in inputs and logistics.

-Chief Executive Charles Bergh said on the call

The full-year outlook includes the impact of supply chain disruptions related to the COVID-19 pandemic, inflation pressures, and the hit from the Russian invasion of Ukraine on the global economy. Together, these factors will probably undermine sales by about $200 million and earnings by roughly $0.15 a share, according to a Capital IQ transcript of the conference call.

Singh said the bottlenecks in the supply chain limited revenue potential by about $60 million, or 5% of sales, in the first quarter. The impact was seen primarily in the US, where the "consumer continues to be strong with demand outpacing supply."

Adjusted earnings per share climbed to $0.46 in the quarter from $0.34 a year earlier, outpacing the $0.42 consensus. A higher contribution of sales from the direct-to-consumer segment, increased product prices, and a higher share of full-price sales helped mitigate the impact of costs, including the growth in air freight expenses, Singh said.

Direct-to-consumer accounted for 39% of Levi Strauss' net revenue in the first quarter compared with 36% in the prior-year period, Singh said.