The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
NEW YORK, United States — Estée Lauder Cos Inc. beat Wall Street estimates for first-quarter sales and raised its fiscal year profit outlook on Wednesday, helped by higher demand for luxury skincare brands La Mer and MAC Cosmetics in Asia.
Shares of the company were up nearly 3 percent at $135 in early trading.
Emerging markets, global online and travel retail channels and other brands like Tom Ford and Origins, fuelled a strong quarter, the company said.
Estée Lauder said it now expects earnings for its fiscal year of $4.73 to $4.82 per share, excluding restructuring and other charges, above its prior forecast of $4.62 to $4.71. Analysts on average had estimated earnings of $4.75 per share.
ADVERTISEMENT
Net income attributable to the company rose to $500 million, or $1.34 per share, in the quarter ended September 30, from $427 million, or $1.14 per share, a year earlier.
Net sales rose nearly 8 percent to $3.52 billion, beating the average analyst estimate of $3.47 billion, according to Refinitiv data.
By Jaslein Mahil; editor: Arun Koyyur
Related Articles:
[ Millennial Spend and E-Commerce Drives Estée Lauder BoostOpens in new window ]
The company reported a long-awaited lift in net sales in its third quarter results, with increases from skincare leading the way, but clouds persist over its China recovery.
As awareness grows about the perils of sleep deprivation, beauty and wellness brands are flooding the market with an array of products to cash in on the booming opportunity.
Going public is usually a pivotal moment in a company’s history, cementing its heavyweight status and setting it up for expansion. In L’Occitane’s case, delisting might be a bigger conduit for growth.
Brands say they’re barreling ahead with marketing and commerce on the app, even as the clock starts ticking for owner ByteDance to sell it or shut it down.