Estée Lauder Cos Inc on Thursday beat market estimates for quarterly sales, as the cosmetics maker benefited from a rebound in demand for makeup products after Americans started venturing out following the easing of coronavirus restrictions.
Strong online sales, increased demand in China, and investments in its skincare products helped the M.A.C brand owner cushion the blow from lower makeup sales in 2020 when people working from home shunned its foundations and lipsticks.
Makeup Products Rebound
Sales of Estée Lauder's makeup products rebounded after Americans started trickling back to offices and stepping out for sporting events, restaurants, and bars following mass vaccinations.
Sales in its makeup division surged 76% on a reported basis to $960 million in the fourth quarter ended 30 June, marking a return to growth for the first time in more than a year.
Net sales rose to $3.94 billion in the fourth quarter, from $2.43 billion a year earlier. Analysts had expected net sales of $3.75 billion, according to IBES data from Refinitiv.
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