Estee Lauder Companies Report Better Than Expected Earnings
Estee Lauder reported that first quarter earnings were significantly higher than was previously forecast. The Estee Lauder Companies also owns Bobbi Brown and Clinique cosmetics.
New products, continued growth in Asia, improved exchange rates and a boost in travel retail business resulted in better- than-anticipated net sales in the quarter ended Sept. 30, the New York-based company said today in a statement. The statement didn't contain specific earnings projections.
The company also said it benefited from lower spending and earlier holiday shipments, which it had originally expected to fall in the second quarter. Estee Lauder said that it will report full earnings Oct. 30 and that it expects to boost its full-year forecast at that time.
The report was better than was expected by the market and the stock was up on the news. Estee Lauder has been hit hard by the global recession: falling revenues from department stores sales have been especially challenging. The company remains cautious about consumer spending forecasts for the next quarter.
