Estée Lauder Reports Strong First Quarter Growth Driven by Fragrance Sales and Margin Expansion
Estée Lauder (EL) reported fiscal 2027 first-quarter net sales of $3.7 billion, representing a 7% increase compared to the previous year. The company saw significant profit growth as operating income more than doubled to $408 million, fueled by improved gross margins and effective cost-management strategies including procurement savings and manufacturing efficiencies. Growth was primarily driven by a 20% surge in fragrance sales, which also yielded the highest operating margins among product categories. In contrast, makeup and hair care segments remained nearly flat. While management raised its full-year organic growth outlook to a range of 4% to 5.5%, they noted that growth is expected to be front-loaded due to new launches and travel retail restocking.
Tickers: $EL
Topics: earnings report fiscal year outlook operating margin revenue growth
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Part of the story Estée Lauder Raises Fiscal 2027 Organic Sales Outlook Amid Fragrance Growth (6 articles)