Estee Lauder reported fiscal 2024 net sales of $15.6 billion, down 2% from the prior year, with net earnings declining 61% to $390 million. The decline was primarily driven by lower skin care sales, which decreased 4% to $7.9 billion due to weakness in mainland China and Asia travel retail. Operating income fell 36% to $970 million, with operating margin contracting to 6.2% from 9.5%.The company recorded impairment charges of $471 million, including a $291 million goodwill impairment and $180 million trademark impairment related to Dr.Jart+, reflecting lower-than-expected growth and strategic shifts. By region, net sales in Asia/Pacific decreased 6% to $4.9 billion, while Europe, Middle East & Africa declined slightly to $6.1 billion. The Americas saw a slight increase to $4.6 billion.To improve profitability, the company launched a Profit Recovery and Growth Plan including a restructuring program targeting $350-500 million in annual benefits. The plan involves reducing 1,800-3,000 positions globally and is expected to result in charges of $500-700 million through fiscal 2026. The company maintained its quarterly dividend of $0.66 per share while suspending share repurchases.

Estee Lauder reported fiscal 2024 net sales of $15.6 billion, down 2% from the prior year, with net earnings declining 61% to $390 million. The decline was primarily driven by lower skin care sales, which decreased 4% to $7.9 billion due to weakness in mainland China and Asia travel retail. Operating income fell 36% to $970 million, with operating margin contracting to 6.2% from 9.5%.The company recorded impairment charges of $471 million, including a $291 million goodwill impairment and $180 million trademark impairment related to Dr.Jart+, reflecting lower-than-expected growth and strategic shifts. By region, net sales in Asia/Pacific decreased 6% to $4.9 billion, while Europe, Middle East & Africa declined slightly to $6.1 billion. The Americas saw a slight increase to $4.6 billion.To improve profitability, the company launched a Profit Recovery and Growth Plan including a restructuring program targeting $350-500 million in annual benefits. The plan involves reducing 1,800-3,000 positions globally and is expected to result in charges of $500-700 million through fiscal 2026. The company maintained its quarterly dividend of $0.66 per share while suspending share repurchases.