Loading...
•
Mar 31, 2025
Estee Lauder Q3 2025 Earnings Report
Estee Lauder reported a decline in sales and earnings for Q3 2025 amid continued travel retail headwinds.
Key Takeaways
The company met organic sales expectations but saw sharp declines in profitability. Prestige beauty share gains and online growth helped mitigate the impact of weaker travel retail and consumer sentiment in Asia.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Estee Lauder anticipates ongoing pressure from global travel retail and Asia-Pacific weakness in Q4, but sees margin improvements from restructuring initiatives.
Positive Outlook
- Adjusted gross margin expansion expected to continue.
- Strategic reset of travel retail underway.
- Momentum in online channels and key brands like La Mer and Clinique.
- AI and digital partnerships with Microsoft and Adobe for efficiency.
- Retail footprint expansion in Southeast Asia and Amazon US Premium Beauty.
Challenges Ahead
- Forecasted double-digit sales decline in global travel retail for Q4.
- High-single-digit decline projected in Asia/Pacific for FY25.
- Consumer sentiment and retail softness remain a challenge in Korea and Hong Kong.
- Strategic exit of Dr.Jart+ from Korea’s travel retail channel weighs on performance.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...