10-K · August 19, 2026
Estée Lauder’s fiscal 2026 results show a meaningful operational recovery: revenue rose 5%, gross margin expanded to 75.5%, operating income returned to $780 million, and operating cash flow improved to $1.773 billion.…
Earnings analysis · 10-Q
EL earnings analysis
Filed November 2, 2026 · Our reading of the company's report
The latest report
The supplied 10-Q text is limited to controls, share repurchases, legal-proceeding cross-references, and Section 13(r) disclosures; it does not include the financial statements or MD&A needed to assess revenue, margins,…
Read full summary
The supplied 10-Q text is limited to controls, share repurchases, legal-proceeding cross-references, and Section 13(r) disclosures; it does not include the financial statements or MD&A needed to assess revenue, margins, EPS, segments, cash flow, balance-sheet trends, or quantitative guidance. Controls were deemed effective as of September 30, 2026, while the principal identifiable risk is the Company’s Iran-related intellectual-property activity, involving an $87 payment under an OFAC license. The 25,073,242-share remaining authorization is offset by the continued suspension of program repurchases since December 2022.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
What stood out
-
Controls assessed as effective
Management concluded that disclosure controls and procedures were effective as of September 30, 2026. The filing also states that no changes during the first quarter of fiscal 2027 materially affected, or were reasonably likely to materially affect, internal control over financial reporting.
-
Large repurchase authorization remains
The Company had 25,073,242 shares remaining available under its repurchase authorization at quarter-end. However, the filing states that repurchases under the publicly announced program have been suspended since December 2022.
-
Limited share activity
Only 6,591 Class A shares were repurchased during August 2026, at an average price of $106.06 per share; the filing says these shares were acquired to satisfy tax-withholding obligations.
-
Iran activity specifically disclosed
The Company disclosed an $87 payment during fiscal 2027 first quarter to maintain intellectual-property rights in Iran under a specific OFAC license, with no revenues or profits generated from the activity.
What to watch
-
Sanctions and Iran exposure
The filing discloses an $87 payment to an account at the Central Bank of Iran, which was designated by OFAC under its counterterrorism authority on September 20, 2019. Although the payment was made under a specific license, the activity creates sanctions, compliance, and reputational exposure.
-
Repurchase program remains suspended
The Company states that its publicly announced share-repurchase program has been suspended since December 2022, despite 25,073,242 shares remaining available under the authorization. This limits a potential source of shareholder returns and signals continued capital-allocation caution.
-
Legal exposure not quantified
The supplied filing excerpt refers legal proceedings to Note 8—Commitments and Contingencies but does not provide the underlying amounts or developments. Consequently, no quantified change in litigation exposure versus the prior filing can be established from the available text.
Management's outlook
The supplied 10-Q excerpt does not include MD&A, Outlook, Liquidity and Capital Resources, or quantitative guidance. Guidance figures cited in the prior 8-K analysis are not independently present in the provided filing text.
Earlier filings 4
10-Q · May 1, 2026
The Estée Lauder Companies reported Q3 FY2026 results, achieving revenue of $3.712 billion, a 5% increase year-over-year, but fell short of expectations for EPS, delivering $0.24 compared to an estimated $0.65. Key…
10-K · August 20, 2025
The 10-K outlines a strategic pivot launched in February 2025 called “Beauty Reimagined” to accelerate consumer coverage, innovation, consumer-facing investments and efficiencies while reorganizing geographic reporting…
10-Q · October 31, 2024
Estée Lauder reported quarterly revenue of $3,361 million, down $157 million (≈4.5%) versus the prior-year quarter, while gross margin improved to 72.4%. The company swung to a net loss of $156 million (diluted loss…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.