Estée Lauder raised its fiscal 2027 organic net sales growth outlook to a range of 4% to 5.5% on its first-quarter earnings call on November 2, 2026. The measure excludes acquisitions, divestitures, brand closures, and currency effects. Fragrance organic sales rose 20% as the company expanded from the luxury tier into the prestige price tier. Sales grew in every region, led by a 9% rise in Mainland China and a 15% jump in priority emerging markets. The company finished the approval phase of its Profit Recovery and Growth Plan, a restructuring effort that cuts overhead. The savings let it spend more on advertising and promotion while widening operating margins. It also bought the remaining stake in Indian beauty brand Forest Essentials.

Estée Lauder Companies has partnered with Microsoft to upgrade its cloud, data, and AI capabilities across its global operations. The deal aims to unify consumer and product data on Microsoft platforms and build AI into its workflows. The company plans to use the tools to support its Beauty Reimagined strategy, focusing on productivity and personalised consumer experiences. It already works with Profound, Accenture, WPP, Shopify, and Meta on AI. The announcement follows first-quarter sales of $3,715 million and net income of $233 million. Diluted earnings per share from continuing operations were $0.64, and the company affirmed a quarterly dividend of $0.35. Investors will watch operating margins and the raised fiscal 2027 net sales growth guidance of 5.0% to 6.5%.

Estée Lauder's fragrance net sales rose 20% in its fiscal first quarter, making it one of the company's fastest-growing divisions. Double-digit growth at Le Labo, Tom Ford, Jo Malone London, and Kilian Paris drove the gain. Chief executive officer Stéphane de La Faverie said fragrance buyers are getting younger worldwide. Young consumers tailor their fragrance portfolio to the occasion, such as school, sports, or a date, rather than keep one signature scent. The results beat expectations. Estée Lauder now expects organic sales to grow 4% to 5.5% this fiscal year, up from a previous estimate of 3% to 5%, and raised its full-year earnings outlook by 10 cents. Shares rose more than 1% in premarket trading.