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The Estée Lauder Companies Inc. is a leading global manufacturer, marketer, and seller of prestige beauty products, including skin care, makeup, fragrance, and hair care, distributed in approximately 150 countries and territories . The company operates under well-known brand names such as Estée Lauder, Clinique, M·A·C, Bobbi Brown, La Mer, Aveda, Jo Malone London, and others . Leveraging consumer analytics and insights, the company drives innovation and maintains a broad, inclusive range of products to compete effectively in the prestige beauty market .
- Skin Care - Develops and markets a wide range of skin care products, with significant contributions from brands like Estée Lauder, Clinique, and Dr.Jart+ .
- Makeup - Offers a variety of makeup products, with key offerings from brands such as M·A·C and Estée Lauder .
- Fragrance - Produces and sells fragrances, with notable contributions from Le Labo and Jo Malone London .
- Hair Care - Provides hair care products, primarily through the Aveda brand .
- Other Products - Includes a diverse range of additional beauty products beyond the main categories .
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Fabrizio Freda ExecutiveBoard | President and CEO (until Dec 31, 2024); Special Advisor (Jan 1, 2025 - Jun 30, 2026) | Board Member at BlackRock, Inc. | Joined EL in 2008 as COO, became CEO in 2009. Known for driving global growth, innovation, and R&D initiatives. | |
William P. Lauder ExecutiveBoard | Executive Chairman (until Mar 1, 2025); Chair of the Board (post-retirement) | Chair of Fresh Air Fund, Co-Chair of Breast Cancer Research Foundation, Board Member at 92NY and Partnership for NYC | Joined EL in 1986, held multiple leadership roles including CEO. Known for expertise in luxury branding and global business strategy. | |
Stéphan de La Faverie Executive | President and CEO (effective Jan 1, 2025) | None reported | Joined EL in 2011. Held multiple leadership roles, including Executive Group President and Global Brand President for Estée Lauder and AERIN Beauty. | |
Tracey T. Travis Executive | EVP and CFO (until Oct 31, 2024); Senior Advisor (Nov 1, 2024 - Jun 30, 2025) | None reported | Joined EL in 2012 as CFO. Played a key role in financial discipline and global growth strategy. | |
Angela Wei Dong Board | Director | Global VP and GM of Greater China at NIKE, Inc.; Board Member at Barry Callebaut AG | Joined EL's Board in 2022. Known for expertise in consumer branding and marketing, particularly in the Chinese market. | |
Arturo Nuñez Board | Director | Founder and CEO of AIE Creative; Board Member at Abercrombie & Fitch Co. | Joined EL's Board in 2022. Former marketing leader at Apple and Nike, with expertise in global branding and digital innovation. | |
Barry S. Sternlicht Board | Director | Chairman and CEO of Starwood Capital Group; Chairman of Starwood Property Trust, Inc. | Joined EL's Board in 2004. Known for expertise in real estate investment and global business strategy. | |
Charlene Barshefsky Board | Director | Chair of Parkside Global Advisors; Board Member at Stagwell Inc.; Trustee at Howard Hughes Medical Institute | Joined EL's Board in 2001. Former U.S. Trade Representative with expertise in international trade and policy. | |
Eric Zinterhofer Board | Director | Founding Partner of Searchlight Capital Partners; Board Member at Charter Communications and Liberty Latin America | Joined EL's Board in 2025. Known for expertise in private equity and telecommunications. | |
Jennifer Hyman Board | Director | CEO and Chair of Rent the Runway, Inc.; Board Member at Zalando SE | Joined EL's Board in 2018. Known for expertise in disruptive technology and consumer goods. | |
Jennifer Tejada Board | Director | CEO and Chair of PagerDuty, Inc. | Joined EL's Board in 2018. Known for expertise in digital operations management and technology innovation. | |
Lynn Forester de Rothschild Board | Director | CEO and Chair of E.L. Rothschild LLC; Founder and Chair of Council for Inclusive Capitalism | Joined EL's Board in 2000. Known for expertise in global business, investment, and inclusive capitalism. | |
Paul J. Fribourg Board | Director | Chairman and CEO of Continental Grain Company; Board Member at Loews Corporation | Joined EL's Board in 2006. Known for expertise in agribusiness and investment. |
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Given the ongoing declines in the prestige beauty industry in China and Asia travel retail, and your expectation for continued softness in fiscal 2025, can you elaborate on the specific actions you are taking to regain momentum in these markets and how confident you are in the timing of their recovery?
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With the announcement of your retirement at the end of the fiscal year and the search for your successor underway, how are you ensuring that the leadership transition will not disrupt the execution of your strategic reset and the Profit Recovery and Growth Plan?
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You mentioned the need to accelerate margin expansion despite facing sales declines and fixed expense deleverage; can you provide more details on how you plan to achieve this without compromising necessary investments in consumer-facing activities, especially in highly competitive markets like North America and China?
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Given the underperformance in the skin care category and the increased competition, what are the key initiatives you are implementing to reignite growth in skin care, and how will these initiatives differentiate you from competitors who are likely not pulling back investments?
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Regarding the execution of your strategy in some key areas of the business that has not met expectations, can you identify specific execution gaps and detail how the PRGP and organizational changes will address these issues to improve performance in fiscal 2025?
Competitors mentioned in the company's latest 10K filing.
| Company | Description |
|---|---|
L'Oreal S.A. | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. | |
Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. | |
LVMH Moët Hennessey Louis Vuitton | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Chanel S.A. | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Beiersdorf | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Shiseido Company, Ltd. | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Natura & Co. | Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
Some of our competitors are large, well-known, multinational manufacturers and marketers of skin care, makeup, fragrance and hair care products, most of which market and sell their products under multiple brand names. |
| Customer | Relationship | Segment | Details |
|---|---|---|---|
Largest Customer (China travel retail) | Primarily sells Estée Lauder products through the China travel retail channel | Travel Retail (China) | $206 million (12% of accounts receivable) as of June 30, 2024 ; previously $49 million (3%) as of June 30, 2023. |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
DECIEM Beauty Group Inc. | 2024 | The Estée Lauder Companies Inc. (ELC) completed the acquisition of DECIEM on May 31, 2024, exercising its option to purchase the remaining 24% interest for $859 million as part of a total investment of approximately $1.7 billion over several tranches. This strategic move strengthens ELC’s portfolio with DECIEM’s acclaimed brands (“The Ordinary” and NIOD), aligning with its goal to expand its skincare offerings and global consumer reach. |
TOM FORD brand | 2023 | ELC finalized the acquisition of the TOM FORD brand on April 28, 2023 for a total cost of $2,578 million, which included upfront and deferred payments as well as transaction-related costs. This deal, accounting for the key trademark intangible asset with an indefinite life, is aimed at reinforcing the TOM FORD BEAUTY brand and generating new licensing revenue while eliminating future license royalty payments. |
Recent developments and announcements about EL.
Earnings
New Earnings (Q2 2025)
·8 days agoView full earnings summary →EL Q2’25: Estée Lauder aims for robust double-digit op margin in a few years, with a net reduction of 5,800–7,000 positions and tripling product launches. This operational overhaul and shift to consumer-facing investments come amid a strong double-digit drop in travel retail.