Estée Lauder Q3 EPS Tops at $0.91, Plans 3,000 Additional Job Cuts
Estée Lauder reported Q3 earnings per share of $0.91, surpassing the $0.66 estimate, and generated $3.71 billion in revenue, beating the $3.69 billion consensus. The company expanded operational margin by 360 basis points and unveiled up to 3,000 additional job cuts under its strategic 'One ELC' restructuring.
1. Strong Q3 Results
Estée Lauder delivered Q3 earnings per share of $0.91 versus the $0.66 consensus and recorded $3.71 billion in revenue, exceeding the $3.69 billion estimate for the fourth consecutive quarter of beats.
2. Margin Expansion and Restructuring
Operational margin widened by 360 basis points, fueled by gross margin gains from the Profit Recovery and Growth Plan, while management announced plans to cut up to 3,000 jobs, targeting $200 million in annual savings.
3. Growth Drivers and One ELC Ecosystem
Fragrance sales grew in double digits globally and Mainland China retail rose high single digits as the company rolls out its 'One ELC' operating ecosystem, consolidating vendors and leveraging AI-driven insights to boost efficiency.