Revenue, and even more so earnings, fell for the American beauty specialist in the third quarter of its fiscal year. But while Estée Lauder performed better than expected, it is maintaining its plan to reduce its workforce by 2026. And it plans to return to growth in the next fiscal year.
The third quarter of Estée Lauder’s fiscal year, which ended March 31, is not likely to change its mind about restructuring.
In its latest quarterly results announcement, published on May 1, the US cosmetics and fragrance group, which owns brands such as La Mer, Balmain Beauty, Clinique, Jo Malone, and Tom Ford, confirmed its plan to cut 5,800 to 7,000 jobs by the end of 2026. This will cost between $1.2 billion and $1.6 billion.
The company has already stated that “as of April 24, 2025, it has approved initiatives totaling cumulative charges of $623 million and a net reduction of more than 2,600 positions.”
Better than expected
Between January and March 2025, Estée Lauder nevertheless exceeded analysts’ forecasts, who had expected worse.
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Read also > Estée Lauder could cut up to 7,000 jobs
Featured photo: © Estée Lauder
