Estée Lauder Companies (ELC), like many of its luxury beauty giant contemporaries, faced a gruelling year in 2025, but could 2026 be the year the conglomerate bounces back?
Mired in lagging sales, ELC sought to turn it all around through its ‘Beauty Reimagined’ turnaround plan – but at the cost of 7,000 staff and significant restructuring expenses.
But in 2026, there are signs that the MAC Cosmetics-owner could be heading towards a more stable future, as the beauty giant posted its second consecutive quarter of growth in 2026.
Is this enough, however, to course correct ELC, which itself is remaining cautious for the remainder of the year amid continued global economic challenges?
Why ELC’s Q2 2026 results were a mixed bag
Net sales at the beauty conglomerate increased 6% to US$4.2bn for the quarter ending 31 December 2025, building on the 4% sales increase to $3.5bn in Q1.
Although parts of ELC are stabilising, it would be “misleading” to frame this moment as a broad turnaround, Shannaz Schopfer, founder and CEO of brand strategy firm The Beauty Architects, told Cosmetics Business.
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