Estee Lauder Sees FY26 Global Prestige Beauty Growth Between 2% And 3%

The Company has reflected the following assumptions in its fiscal 2026 full-year outlook:

• Global prestige beauty growth between 2% and 3%
• Organic net sales assumptions:
  • Tighter monitoring of inventory in trade and a significant reduction in discounts, reflecting the Company's planned actions to better align its retail and net sales growth
  • Mid-single-digit return to growth in mainland China, reflecting early signs of stabilization
  • At the mid-point of the outlook range, a return to modest growth in the Company's global travel retail business, with a wider second-half fiscal 2026 outlook range, reflecting:
    • An improvement in shipments compared to fiscal 2025, particularly in the first half of fiscal 2026, in Asia travel retail as the Company anniversaries the impacts of actions taken to improve retailer inventory levels and the Company's strategic decision to reduce its exposure to reseller activity;
    • Offset to some extent by the ongoing volatility in Asia travel retail—including weak conversion
  • Low-single-digit growth in the Company's markets—excluding mainland China—reflecting improvements in year-over-year growth rates in most markets compared to growth rates in fiscal 2025
  • Low-single-digit decline to slightly positive in the fiscal 2026 first quarter. This reflects high-single-digit growth in the Company's global travel retail business, while maintaining the Company's strategic initiative to keep the mix of business in line with industry norms. In addition, the Company anticipates, a return to solid growth in mainland China and a more moderate decline in the remainder of the business.