Estee Lauder sees tariff headwinds impacting FY26 profit by ~$100M

The company continues to closely monitor evolving trade policies and enacted tariffs, and its task force has been actively evaluating developments and mitigation strategies to reduce the potential impacts of tariffs. The company has implemented a range of actions, including leveraging available trade programs and further optimizing its regional manufacturing footprint to bring production closer to the consumer-including through its facility in Japan. These efforts, combined with increased supply chain agility, are helping to offset more than half of the expected impacts and better position the company to adapt quickly as trade policies continue to evolve. Based on current information and net of planned mitigation actions, the company expects tariff-related headwinds to impact fiscal 2026 profitability by approximately $100M. The company continues to evaluate additional strategies, including further PRGP initiatives and potential pricing actions.