Net sales soared 7% to $4.01 billion. Total reported operating income rose 9% to $771 million. Net earnings rose to $573 million compared with $123 million last year.
President and Chief Executive Officer Fabrizio Freda said, “We delivered an excellent performance in our fiscal second quarter. Importantly, this was our eighth consecutive quarter of impressive net sales growth that met or exceeded our long-term goal, all while navigating many global macro issues. Our sustained progress is the result of our multiple engines of growth strategy, and demonstrates our agility in moving resources to the best global opportunities. Our earnings per share in the second quarter grew more than twice the rate of net sales in constant currency, delivering an impressive first-half performance. With confidence in our continued ability to execute effectively and grow share in prestige beauty, while simultaneously making strategic investments in our business, we are raising our net sales and EPS guidance for the year.
“Our strongest growth engines this quarter included the skin care category globally, the Asia/Pacific region, the online and travel retail channels, and most brands, including Estée Lauder, La Mer, M•A•C and our artisanal fragrance brands.”
Freda added, “Despite a volatile and challenging backdrop, we are optimistic about our company’s long-term outlook. We are very well-positioned to build share in global prestige beauty. Leveraging savings generated by our Leading Beauty Forward initiative, we plan to increase our investments during the next six months behind our successful innovations, high-quality products, compelling digital advertising and effective commercial execution, while also enhancing our capabilities to strengthen our industry leadership and deliver long-term profitable growth.”
Reported net sales are forecasted to increase between 5% and 6% for the third quarter and for the full fiscal year, also the same with a 5%-6% jump in sales.