Estee Lauder Companies

EL Q2 2026 Earnings

Reported Feb 5, 2026 at 8:05 AM ET · SEC Source

Q2 26 EPS

$0.89

BEAT +6.60%

Est. $0.83

Q2 26 Revenue

$4.23B

MISS 0.16%

Est. $4.24B

vs S&P Since Q2 26

-17.4%

TRAILING MARKET

EL -11.3% vs S&P +6.2%

Market Reaction

Did EL Beat Earnings? Q2 2026 Results

Estée Lauder Companies posted a confident fiscal second quarter, beating earnings expectations while falling just shy on revenue as CEO Stéphane de La Faverie's "Beauty Reimagined" turnaround strategy continued to gain momentum. Adjusted diluted EPS … Read more Estée Lauder Companies posted a confident fiscal second quarter, beating earnings expectations while falling just shy on revenue as CEO Stéphane de La Faverie's "Beauty Reimagined" turnaround strategy continued to gain momentum. Adjusted diluted EPS came in at $0.89, clearing the $0.83 consensus estimate by 6.60%, while net sales of $4.23 billion rose 5.6% year over year but missed the $4.24 billion consensus by a slim 0.16%. The standout driver was the company's Profit Recovery and Growth Plan, which expanded adjusted operating margin by 290 basis points to 14.4% as procurement efficiencies and cost reductions funded heavier consumer-facing investment, with Skin Care and Fragrance each delivering 6% organic growth. Mainland China delivered double-digit sales growth for a second consecutive quarter, adding geographic breadth to the recovery story. Looking ahead, management raised its full-year fiscal 2026 guidance, now targeting adjusted EPS of $2.05 to $2.25 and as-reported net sales growth of 3% to 5%, even as roughly $100 million in tariff headwinds are expected to weigh more heavily in the second half.

Key Takeaways

  • Profit Recovery and Growth Plan (PRGP) driving procurement efficiencies and expense optimization
  • Strong performance during key shopping moments including 11.11 Global Shopping Festival and holiday season
  • Mainland China double-digit retail sales growth for second consecutive quarter
  • Luxury fragrance brands (TOM FORD, Le Labo, KILIAN PARIS) driving high-single-digit fragrance growth across all regions
  • Increased consumer-facing investments supporting activations and innovation
  • Lower excess and obsolescence costs
  • Absence of prior-year $861 million goodwill and intangible asset impairments
24/7 Wall St

EL YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

24/7 Wall St

EL Revenue by Segment

With YoY comparisons, source: SEC Filings

Q4 25 Q3 26
24/7 Wall St

EL Revenue by Geography

With YoY comparisons, source: SEC Filings

Q4 25 Q3 26

“We delivered excellent second quarter results to solidify a strong first half of fiscal 2026. In this pivotal year, Beauty Reimagined has invigorated our business as we execute the biggest operational, leadership, and cultural transformation in our history. On its one-year anniversary, we raise our fiscal 2026 outlook confident in the strength of our turnaround, even as our second half reflects previously-expected headwinds and now-greater consumer-facing investments, as we expect to restore organic sales growth and expand our operating margin for the first time in four years.”

— Stéphane de La Faverie, Q2 2026 Earnings Press Release