Estee Lauder has reported “strong double-digit sales growth” in nearly every Asia-Pacific market in the latest quarter.
Globally, the company achieved sales of US4.62 billion in the three months to December 31, up by 15 per cent year on year, but in Asia especially the cosmetics giant thrived.
“Greater China delivered strong double-digit net sales growth,” the company said in a statement.
“Growth accelerated on the mainland, reflecting, in part, an outstanding performance related to Singles Day and other events. Net sales in Hong Kong declined as a result of the ongoing events impacting key shopping areas.”
The company said emerging markets in Southeast Asia also delivered strong growth.
“Among developed markets, South Korea rose in double digits and both Japan and Australia grew solidly in constant currency.”
Online sales more than doubled in the region.
Estee Lauder reported net earnings of $557 million, down from $573 million last year.
“We delivered superb results in our second quarter, leading to an excellent first half,” said Fabrizio Freda, president and CEO. “Our multiple engines of growth generated broad-based gains across all our regions and major categories, as our prestige brand portfolio was well received by global consumers during the Singles Day event and holiday season.
“Our sales growth came from all facets of our business, including the Asia/Pacific region, the skin care and fragrance categories, the online and travel retail channels, and the Estee Lauder, La Mer and luxury fragrance brands. Our emerging markets continued to be vibrant and we made progress towards the stabilisation of our North American business despite continued softness in the makeup category. Additionally, we completed the acquisition of the Korean-based Dr Jart+ brand at the end of the quarter, which strengthens our position in global skin care.”