Estee Lauder Companies, Inc.EL is one of the world's leading manufacturers and marketers of quality skin care, makeup and fragrance and hair care products.
Estee Lauder has been posting better-than-expected results over the past several quarters backed by organic sales growth, product innovation and cost savings measures. Though Estee Lauder expects growth opportunities in product categories like beauty sector, channels and countries in fiscal 2016, economic challenges will persist. The company is cautious of slower retail growth in Hong Kong and China, a decline in spending by Russian and Brazilian travelers, the impact of the MERS virus on its travel retail business in Korea and unfavorable currency. Due to this, investors are eagerly awaiting EL's earnings report.
Earnings estimates have been declining for EL over the past 30 days' period. However, EL has a favorable history when it comes to recent earnings reports as the stock has beaten estimates in all the last four quarters, making for an average surprise of 21.32%.
Currently, EL has a Zacks Rank #4 (Sell), but that could definitely change following Estee Lauder's earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: EL posted adjusted earnings of $1.22 per share, much better than our consensus of $1.09 per share. Investors should note that these figures take out stock option expenses.
Revenue: EL posted revenues of $3.12 billion. This beats our consensus estimate of $3.08 billion.
Key Stats to Note: Estee Lauder's adjusted earnings and sales increased 18% and 8%, respectively, on a constant currency basis, after adjusting for the accelerated sales orders. In fiscal 2016, the company expects constant currency net sales growth of 7% to 8% and double-digit earnings per share growth.
Stock Price: Inactive in pre-market trading .
Check back later for our full write up on this EL earnings report later!
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