Net income for the privately held company rose 21 percent to $49 million in its fiscal first quarter ended on February 26, helped by higher revenue and lower advertising expenses.

Revenue rose 4 percent to $1.17 billion.

The company raised prices on its jeans to try to offset higher cotton costs, but its gross margin still declined.

Levi Strauss is private, but reports earnings because it has publicly held debt.

Its net debt balance was $1.7 billion at the end of the quarter, down from $1.8 billion at the end of fiscal 2011.