Estée Lauder: heavy quarterly loss due to restructuring

The American cosmetics group Estée Lauder announced on Wednesday in a statement a heavy loss in the fourth quarter of its offbeat exercise. Similarly, caused in particular by the implementation of its restructuring plan announced in February. Furthermore,

(Keystone-ATS) This corporate plan is designed to try to straighten the situation of a loss group, suffering from consumption at half mast in particular in the big market that is China for it.

Its final cost is expected to estée lauder: heavy quarterly loss be between $ 1.2 and $ 1.6 billion before taxes (970 million to $ 1.3 billion), to generate an additional gross profit of $ 800 million to a billion dollars per year and restore its operating margin.

As of June 30, he had already spent $ 610 million, especially linked to layoffs.

He plans to remove between 5,800 and 7,000 net positions worldwide, more than 3,200 of which had already been identified on August 13.

In the wake of these measures. the group underwent a net loss in the fourth quarter of $ 546 million, against a net loss of 286 million during the same period of the previous year.

It has nevertheless managed to generate a small net profit by action, excluding exceptional elements (reference for markets), nine hundred. This is exactly what the consensus of FostSet analysts expected.

But the consensus had not anticipated the heavy loss and tapped on a net profit estée lauder: heavy quarterly loss of 25 million. He also provided for a turnover of $ 3.39 billion.

Estée Lauder underwent a decline of 12% of the latter over one year to 3.41 billion dollars. marked by a fall of 31% in Asia/Pacific to 906 million (excluding mainland China), a decline of 5% in Americas at 941 million and 2% in continental China (733 million).

In Europe/United Kingdom/Ireland. emerging markets (EUKEM), its activity increased by 2% but underwent a negative effect of exchange rates of 5%.

In electronic exchanges before opening the New York Stock Exchange, the Estée Lauder action fell 7.20%.

Regarding the 2026 tax fiscal year. the group expects an increase of 2% to 5% of its profit per share (stability at +3% with comparable data), with an impact of 2% of exchange effects.

The increase in turnover outside exceptional elements should be less than 5% in all markets. except in continental China where it should increase around estée lauder: heavy quarterly loss 5%.

In addition, he estimated about $ 100 million over the year 2026 the impact of new customs duties as known as August 13. In particular, he plans to adapt his prices to compensate for this additional cost.