• Estee Lauder Companies Inc (NYSE: EL) reported fourth-quarter FY21 sales growth of 62.1% year-on-year, to $3.94 billion, beating the analyst consensus of $3.75 billion.
• Sales in the Americas increased 86% Y/Y, Europe, Middle East & Africa rose 70%, and Asia/Pacific gained 40%.
• Gross profit rose 77% Y/Y to $2.9 billion, with the margin expanding 650 basis points to 74.9%.
• Operating expenses increased 23% Y/Y to $2.7 billion while operating expense margin was 69.0%, versus 90.8% last year.
• The operating margin was 5.9%, and operating income for the quarter was $234 million versus $(543) million last year.
• The company held $4.96 billion in cash and equivalents as of June 30, 2021.
• Adjusted EPS of $0.78 beat the analyst consensus of $0.50.
• Outlook: Estee Lauder sees Q1 FY22 adjusted EPS of $1.55 - $1.65 versus the consensus of $1.83.
• It expects Q1 reported net sales to increase 17% - 19% and organic net sales to increase 11% - 13%.
• For FY22, the company expects the adjusted EPS of $7.23 - $7.38 versus the consensus of $7.14.
• Estee Lauder sees FY22 reported sales growth of 13% - 16% and organic net sales growth of 9% - 12%.
• Price Action: EL shares are trading higher by 1.78% at $324.76 on the last check Thursday.