Estee Lauder Companies Inc (NYSE:EL) confirmed it had been a tough year for the perfume, makeup and skincare group, though things started to improve in the final three months.
Revenues fell 10% to US$15.9 billion in the year to end June 2023 with Asia travel the major weak spot and overshadowing good performances elsewhere in Asia, Europe and the Middle East.
Net earnings fell 57% to US$1.01 billion, with adverse currency movements adding to the decline.
Fabrizio Freda, chief executive, said: “We returned to organic sales growth in the fourth quarter.
“Momentum continued in the markets of EMEA and Latin America and accelerated strongly in Asia/Pacific led by mainland China and Hong Kong SAR.
“Asia travel retail pressured results, particularly in Skin Care, and we continued to experience softness in North America.
“Fragrance excelled, up double digits in every region, and Makeup improved sequentially to double-digit growth in the fourth quarter.”
“For fiscal year 2024, we expect to return to organic sales growth and deliver sequentially improving margin throughout the year.”