Estee Lauder Predicts Surprising Profit
October 16, 2009 by Stephen Kersey
Filed under Business
Cosmetics giant Estee Lauder has stated that it expects its quarterly profit to be much higher than it had originally predicted and will post a boosted fiscal-year forecast later this month. The company’s decision comes after an unexpected increase in sales figures, sending Estee Lauder’s shares up 5 percent.
Image: Estee Lauder
However, Estee Lauder, which is best known for its Estee Lauder line and its brands such as Clinique, still expects that slow consumer spending will keep its results in check and will remain cautious.
As consumer spending has fallen, Estee Lauder has struggled as more consumers shy away from spending on products that they do not need.
Estee Lauder has cited a variety of factors for its increased fiscal outlook, including cost-cutting efforts, new products, increased retail business traffic, growth in Asia, and improved currency translation.
The company also benefited from earlier holiday shipments, which it expects to impact its fiscal second quarter.
