Updated version 1 - Estée Lauder raises its annual performance forecast ahead of the holiday shopping season, supported by resilient demand.

Added CEO quotes, background information, and chart to paragraph 2

Arriana McLymore

Reuters, November 2 - Estée Lauder (EL.N) raised its annual sales and profit forecasts on Monday, counting on resilient demand for its premium skincare and fragrance brands ahead of the holiday shopping season, as CEO Stephane de La Faverie’s year-long business restructuring efforts are driving company growth.

“Growth is accelerating, profitability has significantly improved, and the impact of the ‘Beauty Reimagined’ strategy is becoming increasingly evident across our business,” de La Faverie said in a statement.

The company’s quarterly sales rose 7% year-on-year to $3.72 billion. According to data compiled by London Stock Exchange Group (LSEG), analysts had previously expected sales to grow about 5% to $3.65 billion.

Despite economic uncertainty, consumers—especially high-income and younger groups—remain enthusiastic about purchasing premium skincare and fragrances, boosting sales of Le Labo, Tom Ford, and Jo Malone London.

As part of the CEO’s “Beauty Reimagined” strategy, Estée Lauder has focused on accelerating innovation, expanding into new channels and markets, leveraging artificial intelligence for consumer insights and marketing optimization, increasing consumer-facing investments, streamlining operations, and cutting jobs to reduce costs.

The company raised its outlook, now projecting organic sales growth of 4% to 5.5% in fiscal 2027, up from the prior forecast of 3% to 5%.

In addition, the company expects full-year adjusted earnings per share to be between $3.20 and $3.45, compared to the previous forecast of $3.10 to $3.35.

https://www.reuters.com/graphics/ESTEELAUDER-RESULTS/lgpdbzxxdpo/chart.png

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