Estée Lauder Reports Strong Q4 Results and Turnaround Progress
Shares of Estée Lauder surged by nearly 18% on August 19 after the company reported strong fourth-quarter results. The cosmetics giant saw net sales rise to $3.6 billion, a 6% year-over-year increase driven by growth across all major regions including China, Japan, Korea, Western Europe, and the U.S. The company's turnaround strategy is showing positive signs with organic sales growing for four consecutive quarters at an accelerated pace of 5%. Estée Lauder also improved its gross margin and adjusted operating margin in fiscal 2026 by 1.5% and 3.2%, respectively, while fourth-quarter earnings per share came in significantly above expectations. Looking ahead to fiscal 2027, the company is projecting organic sales growth of 3-5%. It also raised its adjusted operating margin target range from 12.5%-13% to 12.7%-13.5%, signaling continued confidence in improving profitability.
Tickers: $EL
Topics: Estée Lauder financial performance organic growth restructuring