From Financial Modeling Prep: 2025-02-04 09:26:00

Estee Lauder Companies Inc. (NYSE:EL) stock dropped over 7% in pre-market trading due to a disappointing Q3 outlook, despite beating Q2 earnings expectations with an EPS of $0.62 and revenue of $4 billion. North American sales were down 1.5%, EMEA revenue dropped 6%, and Asia Pacific sales declined 11%.

The company’s Q3 guidance fell short, with projected EPS between $0.24 and $0.34, well below the $0.64 forecasted by analysts. CEO Stéphane de La Faverie attributed the weakness to sluggish retail sales in Asia’s travel sector, particularly in Korea.

Estee Lauder anticipates ongoing challenges in Asia travel retail, impacting organic net sales despite stabilization in-trade inventory levels in the first half of fiscal 2025. The company remains cautious about the outlook for the remainder of the fiscal year.



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