Estee Lauder’s Q2 Sales Rise 8%

The Estee Lauder Companies reported net sales of $1.75 billion for the second fiscal quarter ended Dec. 31, 2004, up 8% from the prior year’s second quarter. Net sales rose 5% excluding the impact of foreign currency translation, executives said. Net earnings from continuing operations for the second quarter 2004 were $138.3 million, a 10% increase from the prior year.

“We are pleased to report another quarter of solid sales and earnings growth, reflecting the global appeal of the company’s products despite a mixed retail environment this holiday season,” said William P. Lauder, president and chief executive officer.

Mr. Lauder said sales grew in all major product categories and regions, aided by a favorable currency environment. “We continue to benefit from our global sourcing and manufacturing initiatives as well as ongoing cost containment efforts,” he commented. “These enable us to increase our marketing expenditures to further enhance our brands while meeting our profitability goals.” The company will continue to invest in new brands, new channels and new geographic distribution, Mr. Lauder added.