CORRECTION: Estée Lauder Companies Q4 Outlook: Adj. EPS $0.18 - $0.28 Vs. $0.75 Estimate, Revenue Growth +5% - +9%

Author: Benzinga Newsdesk | May 01, 2024 07:12am

Fourth Quarter Fiscal 2024

Sales Outlook

• Reported net sales are forecasted to increase between 5% and 9% versus the prior-year period.
  • Currency exchange rates are volatile and difficult to predict. Using March 29, 2024 spot rates for the fourth quarter of fiscal 2024, the Company expects a 1% headwind due to foreign currency translation.
• Organic net sales are forecasted to increase between 6% and 10%.

Earnings per Share Outlook

• Reported diluted net earnings per common share are projected to be between $.11 and $.22. Excluding restructuring and other charges and adjustments, diluted net earnings per common share are projected to be between $.18 and $.28.
  • The combined impact from the increases in the Company's net interest expense and effective tax rate is expected to dilute net earnings per common share by $.21.
  • The Company expects to take charges associated with previously approved restructuring and other activities. For the Restructuring Program Component of the Profit Recovery Plan, the charges are estimated to be between approximately $25 million to $30 million, equal to $.05 to $.06 per diluted common share.
  • The potential risks of further business disruptions in Israel and other parts of the Middle East are expected to have a dilutive impact to net earnings per common share of $.03.
• Adjusted diluted net earnings per common share are expected to increase over 100% and range between $.19 and $.29 on a constant currency basis.
  • Currency exchange rates are volatile and difficult to predict. Using March 29, 2024 spot rates for fiscal 2024, the foreign currency translation impact equates to about $.01 of dilution to earnings per common share.

Posted In: EL