FX.co ★ Estee Lauder Slashes FY24 Outlook - Update

Estee Lauder Cos., Inc. released their third quarter financial results where they revised downwards their projected earnings, adjusted earnings and revenue growth for the full year 2024. They also provided a fourth quarter outlook that was significantly below initial estimates.

For the upcoming quarter, the company forecasts a per-share loss that could be anywhere between $0.11 to $0.22. It also expects an adjusted per share earnings of about $0.18 to $0.28. Estee Lauder projects a reported net sales growth between 5 to 9 percent, with an organic net sales growth ranging from 6 to 10 percent.

On the other hand, analysts, based on data sourced from Thompson Reuters, anticipate the company's earnings to stand at $0.76 per share with revenue growth at 12.7 percent, bringing it to a projected $4.09 billion. It's worth noting that these estimates typically do not take into account any special items.

Looking further ahead into fiscal 2024, Estee Lauder estimates its earnings to range between $1.96 to $2.09 per share with adjusted earnings in the region of $2.14 to $2.24 per share. It also projects a reported net sales drop of 3 to 2 percent, with an organic net sales decline of 2 to 1 percent.

By contrast, Estee Lauder's previous earnings projections stood at a range of $2.04 to $2.20 per share and adjusted earnings within $2.08 to $2.23 per share. The previous estimated range of reported and organic net sales fluctuated between a 1 percent decrease and a 1 percent growth.

Meanwhile, market observers are predicting earnings of $2.25 per share and foresee a sales decline of 0.80 percent, summing up to roughly $15.81 billion for the year.

In other news, Estee Lauder declared a quarterly dividend of $0.66 per share for its Class A and Class B Common Stock. This is payable on June 17, 2024 to stockholders recorded on the books at the close of business on May 31, 2024.