The Estee Lauder Companies has reported an impressive sales rise for the second quarter of fiscal 2018. Sales were up 17 percent to US$3.74 billion, largely attributed to impressive growth in millennial focused brands Becca and Too Faced, which together contributed 2 percent points of the reported sales growth.
“In our second quarter we continued our strong momentum and generated stellar results. In constant currency, our sales grew 14 percent, led by exceptional strength in travel retail, global online and Asia, along with strong double-digit growth in several markets in Europe, including Italy and Benelux,” said Fabrizio Freda, President and Chief Executive Officer. “We delivered double-digit sales gains across most product categories and many brands, including Estée Lauder, luxury brands and most mid-sized brands. In the holiday season, our brands achieved outstanding results from their e-commerce businesses, and customizable gift options were significant contributors. These elements, along with our accelerating cost saving efforts and our progress executing our Leading Beauty Forward initiatives, resulted in an impressive adjusted 23 percent earnings per share growth in constant currency.
Interestingly, skin care was the best performing individual category, with sales up 20 percent to US$1,494 million, compared to make-up’s 16 percent growth to US$1,515 million. The company revealed that its Estee Lauder, La Mer, Origins and GlamGlow brands all experienced ‘exceptional’ double digit growth over the quarter.