Estée Lauder shares leap on strong profit forecast
By Vibhuti Sharma and Karina Dsouza - Aug 21st 2017, 14:32
Cosmetics maker Estée Lauder forecast full-year profit ahead of analysts’ estimates and posted higher than expected quarterly results, driven by strong demand for its brands such as MAC, Tom Ford, La Mer and Smashbox.
Estée Lauder’s shares rose nearly 5% to $103 before the bell on Friday.
The company said it expected full-year net sales to rise between 8% and 9%.
It also said it expected 2018 adjusted profit of $3.87 to $3.94 per share.
Analysts had estimated full-year profit to be $3.79 per share, according to Thomson Reuters.
Sales in the company’s makeup unit, which sells brands that include Tom Ford, Smashbox and La Mer, rose 16% to $1.31bn. The business accounts for more than 44% of total sales.
Net income attributable to Estée Lauder rose to $229m, or 61c per share, in the fourth quarter ended June 30, from $94m, or 25c a share, a year earlier.
Excluding items, the company earned 51c per share, beating analysts’ average estimate of 43c.
The New York City-based company’s net sales rose 9% to $2.89bn. Analysts had, on average, expected $2.85bn. © BusinessLIVE MMXVII
Drastic drop in bottled water sales, as Capetonians become more self-sufficient
18/06/2018 - 13:46
The massive spike in Cape Town’s bottled water sales, which increased by 118% in December and January after the announcement of Day Zero, has dropped drastically and some outlets are selling stock at half-price to clear the shelves.
Why consumers need a Tech & E-commerce awards
15/06/2018 - 10:52
Be honest, when you buy a bottle of wine to take to a dinner party, how often do you choose one that has gold stickers on it, over one that costs more? The odds are good that, if the wine has won awards to earn those stickers, industry experts have given it their firm nod of approval. This makes it stand out on the shelf above all others.
2018 Kasi Star Brands: Who will emerge as South Africa’s most loved brands?
15/06/2018 - 09:22
South Africa’s leading market research company, Ask Afrika, has announced the official date for this year’s Kasi Star Brands Awards - the company’s annual benchmark tool used to examine brand loyalty and preferences among South Africa’s township dwellers.
SA youth's favourite brands announced in 2018 Sunday Times Generation Next survey
15/06/2018 - 08:45
The top performing brands in the 2018 Sunday Times Generation Next youth survey were announced at the highly anticipated Sunday Times Generation Next Awards that took place in Sandton.
How companies can grow in a water-stressed world
14/06/2018 - 08:19
There are very few consumers that understand the role water plays in our daily lives. Above the need to survive, water is used to fuel our energy usage and many other fields, ultimately playing a role in the bottom line of your business.