TARANG AMIN CHAIRMAN & CHIEF EXECUTIVE OFFICER Q1 RESULTS Q1 FY 2026 EARNINGS As a reminder, this call contains forward- looking statements that are based on management's expectations – including those relating to the category trends and longer-term outlook – and are subject to known and unknown risks and uncertainties, and therefore, actual results may differ materially. Important factors that may cause actual results to differ are detailed in today's press release and the company's SEC filings. In additio ...

Core Insights - Estee Lauder reported $3.55 billion in revenue for the quarter ended March 2025, a year-over-year decline of 9.9% with an EPS of $0.65 compared to $0.97 a year ago, exceeding the Zacks Consensus Estimate of $3.51 billion by 1.22% and delivering an EPS surprise of 124.14% against a consensus estimate of $0.29 [1] Revenue Performance - Net sales in the Americas were $1.05 billion, below the average estimate of $1.08 billion, reflecting a year-over-year decline of 5.8% [4] - Net sales in Asia/Pacific reached $1.14 billion, surpassing the average estimate of $1.02 billion, but still showing a year-over-year decrease of 3.1% [4] - Net sales in Europe, the Middle East & Africa totaled $1.36 billion, slightly below the average estimate of $1.40 billion, with a significant year-over-year decline of 17.6% [4] - Skin Care net sales were $1.81 billion, compared to the average estimate of $1.87 billion, marking a year-over-year decline of 12.3% [4] - Makeup net sales were $1.04 billion, below the average estimate of $1.07 billion, reflecting an 8.9% year-over-year decline [4] - Other net sales were $25 million, exceeding the average estimate of -$38.46 million, with a year-over-year change of -3.9% [4] - Hair Care net sales were $126 million, below the average estimate of $134.79 million, representing an 11.9% year-over-year decline [4] - Fragrance net sales were $557 million, slightly below the average estimate of $574.19 million, with a year-over-year decline of 3.1% [4] Operating Income Analysis - Hair Care reported an operating loss of $13 million, worse than the average estimate of -$7.17 million [4] - Skin Care achieved an operating income of $361 million, slightly above the average estimate of $354.08 million [4] - Other segments reported an operating income of $9 million, significantly better than the average estimate of -$220.82 million [4] - Makeup reported an operating income of $14 million, below the average estimate of $53.44 million [4] Stock Performance - Estee Lauder shares have returned -12.8% over the past month, compared to a -0.7% change in the Zacks S&P 500 composite, with a current Zacks Rank of 3 (Hold) indicating potential performance in line with the broader market [3]

Core Viewpoint - Estee Lauder is expected to report a significant decline in quarterly earnings and revenues, reflecting a downward revision in analysts' projections over the past month [1][2]. Financial Performance - The anticipated earnings per share (EPS) for Estee Lauder is $0.29, representing a 70.1% decline year over year [1]. - Analysts forecast revenues of $3.51 billion, indicating an 11% decrease compared to the previous year [1]. - The consensus EPS estimate has been revised down by 8.5% over the last 30 days [1]. Sales Projections by Category - Net sales for Skin Care are projected to reach $1.87 billion, down 9.3% year over year [4]. - Makeup net sales are expected to be $1.07 billion, reflecting a 6% decrease from the prior year [4]. - Other net sales are estimated at -$38.46 million, indicating a drastic decline of 247.9% year over year [4]. - Hair Care net sales are forecasted at $134.79 million, down 5.7% from the previous year [5]. - Fragrance net sales are projected to be $574.19 million, showing a slight decrease of 0.1% [5]. - Net sales in The Americas are expected to reach $1.08 billion, down 3.1% year over year [5]. - Sales in Europe, the Middle East & Africa are estimated at $1.40 billion, reflecting a 15.1% decline [6]. - Asia/Pacific net sales are projected at $1.02 billion, indicating a 13.3% decrease [6]. Operating Income Projections - Operating income for Skin Care is expected to be $354.08 million, down from $468 million year over year [6]. - Operating income for Other is projected at -$220.82 million, compared to a positive $11 million last year [7]. - Makeup operating income is estimated at $53.44 million, down from $66 million [7]. - Fragrance operating income is expected to be $17.18 million, compared to $29 million in the previous year [8]. Stock Performance - Estee Lauder shares have decreased by 12.2% over the past month, contrasting with the Zacks S&P 500 composite's decline of only 0.2% [8].

Core Insights - The report titled "Skin Care Path to Purchase: Engagement, Opportunity, Research" provides a comprehensive analysis of the skin care market, focusing on consumer behavior and purchasing trends [1][2][3] - It utilizes the Voice of the Consumer: Beauty Survey to gather insights on global beauty routines and skin care habits [2][3] Market Overview - The report outlines the size and dynamics of the Beauty and Personal Care market, identifying key trends, emerging markets, and significant industry challenges [3] - It highlights the competitive landscape, detailing leading companies and brands within the skin care sector [3][6] Consumer Insights - Insights from the Voice of the Consumer: Beauty Survey reveal current consumer preferences and behaviors in the skin care category [2][3] - The report emphasizes the importance of understanding consumer engagement and the purchase journey in the beauty sector [2][3] Strategic Analysis - The report provides strategic analysis of factors influencing the market, including product innovations, packaging advancements, and economic or lifestyle changes [3] - It discusses the differentiation between premium and mass/masstige segments, as well as the evolution of new beauty concepts [3][6] Forecast and Trends - Five-year forecasts are included to illustrate expected market developments and identify growth sectors [6] - The report covers various product categories within the beauty and personal care market, such as skin care, hair care, and men's grooming [6]