08.18.22
The Estée Lauder Companies Inc. reported net sales of $17.74 billion for its fiscal year ended June 30, 2022, an increase of 9% from $16.22 billion in the prior-year period.
Organic net sales increased 8%, driven by double-digit growth in The Americas and Europe, the Middle East & Africa (“EMEA”) regions, largely reflecting a recovery in brick-and-mortar retail stores, as well as double-digit growth in global online and growth in travel retail.
Fabrizio Freda, president and chief executive officer said, “We delivered excellent results in fiscal 2022, exceeding our expectations in the fourth quarter and achieving record revenue and profitability on an adjusted basis for the year. Our multiple engines of growth strategy proved invaluable amid pandemic and macro complexity, affording us the diversification to seize growth of the moment. The Americas and EMEA prospered, Fragrance soared, and Makeup realized the promise of its emerging renaissance.”
La Mer, M·A·C, and Jo Malone London led the contribution of double-digit organic sales growth by nine brands. Brick-and-mortar and Online each grew globally, as the company capitalized on reopening, extended its consumer reach in high-growth channels, and amplified its omni-channel capabilities.
Makeup net sales increased among most brands, reflecting continued recovery in western markets, increased usage occasions and easier comparisons to the prior year. The growth was led by increases from both M·A·C and Estée Lauder.
Fragrance net sales grew across every region and every fragrance brand, led by Jo Malone London, Tom Ford Beauty and Le Labo.
Hair care net sales rose across every region, reflecting increases from both Aveda and Bumble and bumble as brick-and-mortar recovered from prior-year closures related to COVID-19 through much of the world.
For fiscal 2023, ELC expects to deliver strong organic sales growth, fueled by its diversified growth engines and enticing innovation, and to take the opportunity in this volatile year to continue investing for its future.
Organic net sales increased 8%, driven by double-digit growth in The Americas and Europe, the Middle East & Africa (“EMEA”) regions, largely reflecting a recovery in brick-and-mortar retail stores, as well as double-digit growth in global online and growth in travel retail.
Fabrizio Freda, president and chief executive officer said, “We delivered excellent results in fiscal 2022, exceeding our expectations in the fourth quarter and achieving record revenue and profitability on an adjusted basis for the year. Our multiple engines of growth strategy proved invaluable amid pandemic and macro complexity, affording us the diversification to seize growth of the moment. The Americas and EMEA prospered, Fragrance soared, and Makeup realized the promise of its emerging renaissance.”
La Mer, M·A·C, and Jo Malone London led the contribution of double-digit organic sales growth by nine brands. Brick-and-mortar and Online each grew globally, as the company capitalized on reopening, extended its consumer reach in high-growth channels, and amplified its omni-channel capabilities.
Business Segments
Skin care net sales grew in The Americas, which was offset by a decline in the EMEA region. Net sales growth from La Mer, Clinique and Bobbi Brown was offset by a decline from Estée Lauder. High single-digit growth in the first nine months of the fiscal year was offset by the negative impacts from the increased COVID-related restrictions in China in the fourth quarter, including the temporarily reduced capacity at the company’s distribution facilities in Shanghai, resulting in flat skin care growth for the fiscal year.Makeup net sales increased among most brands, reflecting continued recovery in western markets, increased usage occasions and easier comparisons to the prior year. The growth was led by increases from both M·A·C and Estée Lauder.
Fragrance net sales grew across every region and every fragrance brand, led by Jo Malone London, Tom Ford Beauty and Le Labo.
Hair care net sales rose across every region, reflecting increases from both Aveda and Bumble and bumble as brick-and-mortar recovered from prior-year closures related to COVID-19 through much of the world.
For fiscal 2023, ELC expects to deliver strong organic sales growth, fueled by its diversified growth engines and enticing innovation, and to take the opportunity in this volatile year to continue investing for its future.