The Estée Lauder Companies Inc. Reports Fiscal 2026 Third Quarter Results

The Estée Lauder Companies Inc. reported its financial results for the fiscal third quarter ended March 31, 2026. The company announced a 5% increase in net sales to $3.7 billion, with organic net sales up 2%. Adjusted operating margin expanded significantly to 15.0% from 11.4% in the prior year, driven by gross margin expansion and operating leverage, including net benefits from the Profit Recovery and Growth Plan (PRGP). However, as-reported operating margin contracted due to restructuring charges and a loss contingency related to a securities class action settlement. The company raised its fiscal 2026 outlook, now expecting organic net sales growth at the high-end of its prior range (approximately 3%) and adjusted operating margin between 10.7% to 11.0%. The company also provided a preliminary view for fiscal 2027, anticipating organic net sales growth of 3% to 5% and an adjusted operating margin of 12.5% to 13.0%. Key growth drivers included double-digit net sales growth in Fragrance and strong performance in Mainland China.