EL · 10-Q · 2026Q3 · Full report

FX / Currency Impact

ESTEE LAUDER COMPANIES INC · 2026-11-02 · Importance 7 · Surprise 6

The company generates the majority of its net sales outside the United States, making results subject to foreign-currency fluctuations; reported net sales benefited by approximately $20 million from currency translation in the quarter ended September 30, 2026. To manage exposure, it uses foreign-currency forwards and cross-currency swaps. A hypothetical 10% weakening of the U.S. dollar would have reduced the fair value of its foreign-currency forward portfolio by approximately $159 million at September 30, 2026; the corresponding estimated decrease for cross-currency swaps was approximately $76 million.

Key facts

• ESTEE LAUDER COMPANIES INC reported net sales were impacted by approximately $20 million of favorable foreign currency translation in the three months ended September 30, 2026. source
• ESTEE LAUDER COMPANIES INC skin care net sales were impacted by approximately $18 million of favorable foreign currency translation in the three months ended September 30, 2026. source
• ESTEE LAUDER COMPANIES INC makeup net sales were impacted by approximately $4 million of favorable foreign currency translation in the three months ended September 30, 2026. source
• ESTEE LAUDER COMPANIES INC fragrance net sales were impacted by approximately $1 million of unfavorable foreign currency translation in the three months ended September 30, 2026. source
• ESTEE LAUDER COMPANIES INC hair care net sales were impacted by approximately $1 million of unfavorable foreign currency translation in the three months ended September 30, 2026. source