Market Recovery ChallengesSales outlook remains uncertain, particularly in Asia travel retail, with the company's performance expected to remain weak due to the slower-than-anticipated recovery of the prestige beauty market and challenges in key regions like mainland China, Korea, and Hong Kong SAR.
Profitability ChallengesAsia has been a significant drag on profitability which has led to an 80% decline in EPS from peak to trough.
Sales DeclineOrganic sales in 3Q25 declined 9% y/y, driven by a double-digit decline in the global travel retail business and mid-single-digit decline in North America due to ongoing retail softness for some brands and declines in consumer sentiment.