Estee Lauder Companies (EL) Q2 FY2026 earnings: revenue $4.2 billion, up 5.6% on the year

Estee Lauder Companies Inc. (EL) reported revenue of $4.2 billion for Q2 FY2026, the quarter ended 31 December 2025, up 5.6% on the same quarter a year earlier. Net income was $162 million, and diluted earnings per share $0.44. The figures are the company's own, from the 10-Q it filed with the SEC on 5 February 2026.

Revenue

$4.2 billion

+5.6% on the year · +21.5% on the quarter

Q3 FY2024Q2 FY2026

Operating margin

9.5%

-14.5% a year earlier

Q3 FY2024Q2 FY2026

Net income

$162 million

+244.7% on the quarter

Q3 FY2024Q2 FY2026

Diluted EPS

$0.44

+238.5% on the quarter

Q3 FY2024Q2 FY2026

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Guidance figures: 3 raised, 1 lowered, 2 narrowed, 1 new, 5 kept.

Net sales up 6% to $4.2 billion: Net sales were $4,229 million against $4,004 million, a 6% reported and 4% organic increase. Six-month net sales were $7,710 million, up 5%.
Adjusted operating margin reached 14.4%: Adjusted operating income was $608 million, up 32%. Reported operating income was $401 million, against a $580 million loss in the prior-year quarter.
Adjusted EPS up 43% to $0.89: Reported diluted EPS was $0.44, against a $(1.64) loss a year earlier. Six-month adjusted diluted EPS was $1.21, against $0.77.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Revenue	4,229	3,481	4,004	+21.5%	+5.6%
Cost of revenue	994	927	957	+7.2%	+3.9%
Gross profit	3,235	2,554	3,047	+26.7%	+6.2%
Gross margin	76.5%	73.4%	76.1%
Selling, general and administrative	2,627	2,296	2,585	+14.4%	+1.6%
Operating income	401	169	-580	+137.3%
Operating margin	9.5%	4.9%	-14.5%
Interest expense	85.0	86.0	90.0	-1.2%	-5.6%
Pre-tax income	333	109	-650	+205.5%
Income tax	171	62.0	-60.0	+175.8%
Effective tax rate	51.4%	56.9%	n/a
Net income	162	47.0	-590	+244.7%
Net margin	3.8%	1.4%	-14.7%
Diluted EPS	$0.44	$0.13	-$1.64	+238.5%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Operating cash flow	1,125	-340	1,057		+6.4%
Capital expenditure	108	96.0	132	+12.5%	-18.2%
Free cash flow	1,017	-436	925		+9.9%
Free cash flow margin	24.0%	-12.5%	23.1%
Cash from investing	-92.0	-116	-134
Cash from financing	-180	-239	-652
Depreciation and amortisation	197	200	207	-1.5%	-4.8%
Share-based compensation	94.0	88.0	106	+6.8%	-11.3%
Buybacks	58.0	9.0	25.0	+544.4%	+132.0%
Dividends paid	128	127	126	+0.8%	+1.6%
Dividend per share	$0.35	$0.35	$0.35	0.0%	0.0%
Diluted shares, weighted	365m	363m	360m	+0.4%	+1.3%
Shares outstanding at period end	362m	360m	360m	+0.4%	+0.6%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q2 FY2026	Q1 FY2026	Q2 FY2025	On the quarter	On the year
Shareholders' equity	4,031	3,890	4,169	+3.6%	-3.3%
Debt	7,319	7,320	7,276	-0.0%	+0.6%
Operating lease liabilities	1,655	1,684	1,706	-1.7%	-3.0%
Other liabilities	6,629	6,435	6,609	+3.0%	+0.3%
Total liabilities and equity	19,634	19,329	19,760	+1.6%	-0.6%
Fixed assets	2,966	3,065	3,049	-3.2%	-2.7%
Goodwill	2,137	2,119	2,073	+0.8%	+3.1%
Intangible assets	3,696	3,706	4,158	-0.3%	-11.1%
Cash and equivalents	3,082	2,219	2,586	+38.9%	+19.2%
Receivables	1,657	1,884	1,611	-12.0%	+2.9%
Inventory	1,895	2,062	2,002	-8.1%	-5.3%
Other assets	4,201	4,274	4,281	-1.7%	-1.9%
Total assets	19,634	19,329	19,760	+1.6%	-0.6%

Questions

What was Estee Lauder Companies' revenue in Q2 FY2026?

Estee Lauder Companies (EL) reported revenue of $4.2 billion for Q2 FY2026, the quarter ended 31 December 2025, up 5.6% on the same quarter a year earlier.

How much did Estee Lauder Companies earn in Q2 FY2026?

Net income for Q2 FY2026 was $162 million, and diluted earnings per share $0.44.

When did Estee Lauder Companies report Q2 FY2026 results?

Estee Lauder Companies filed its 10-Q for the quarter ended 31 December 2025 with the SEC on 5 February 2026.

Quarterly results, the last 20 quarters

	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026	Q3 FY2026	Q4 FY2026 *	Q1 FY2027
Revenue	5,539	4,245	3,561	3,930	4,620	3,751	3,609	3,518	4,279	3,940	3,871	3,361	4,004	3,550	3,411	3,481	4,229	3,712	3,627	3,715
Cost of revenue	1,223	994	1,031	1,023	1,219	1,159	1,163	1,070	1,154	1,107	1,093	928	957	889	955	927	994	876	890	902
Gross profit	4,316	3,251	2,530	2,907	3,401	2,592	2,446	2,448	3,125	2,833	2,778	2,433	3,047	2,661	2,456	2,554	3,235	2,836	2,737	2,813
Gross margin	78%	77%	71%	74%	74%	69%	68%	70%	73%	72%	72%	72%	76%	75%	72%	73%	76%	76%	75%	76%
SG&A	2,885	2,275	2,334	2,244	2,630	2,281	2,420	2,349	2,544	2,284	2,444	2,298	2,585	2,258	2,315	2,296	2,627	2,279	2,483	2,365
Operating income	1,418	738	79.0	661	556	297	-5.0	98.0	574	531	-233	-121	-580	306	-390	169	401	249	-39.0	408
Operating margin	26%	17%	2%	17%	12%	8%	-0%	3%	13%	13%	-6%	-4%	-14%	9%	-11%	5%	9%	7%	-1%	11%
Interest expense	42.0	41.0	42.0	46.0	52.0	58.0	99.0	95.0	98.0	94.0	91.0	92.0	90.0	87.0	88.0	86.0	85.0	82.0	81.0	83.0
Pre-tax income	1,388	703	48.0	633	532	280	-48.0	46.0	519	486	-279	-180	-650	241	-451	109	333	179	-104	345
Tax rate	21%	18%	-4%	23%	25%	45%	n/a	22%	38%	31%	n/a	n/a	n/a	34%	n/a	57%	51%	50%	n/a	32%
Net income	1,088	558	52.0	489	394	156	-33.0	31.0	313	330	-284	-156	-590	159	-546	47.0	162	89.0	-116	233
Net margin	20%	13%	1%	12%	9%	4%	-1%	1%	7%	8%	-7%	-5%	-15%	4%	-16%	1%	4%	2%	-3%	6%
Diluted EPS	$2.97	$1.53	$0.17	$1.35	$1.09	$0.43	-$0.08	$0.09	$0.87	$0.91	-$0.79	-$0.43	-$1.64	$0.44	-$1.51	$0.13	$0.44	$0.24	-$0.31	$0.64
Operating cash flow	1,927	123	1,071	-650	1,401	266	714	-408	1,345	534	889	-670	1,057	284	601	-340	1,125	412	576	-166
Capital expenditure	254	199	382	152	267	233	351	295	232	175	217	141	132	122	207	96.0	108	102	151	69.0
Free cash flow	1,673	-76.0	689	-802	1,134	33.0	363	-703	1,113	359	672	-811	925	162	394	-436	1,017	310	425	-235
Buybacks	871	570	311	110	147	1.0	13.0	3.0	30.0	1.0	1.0	10.0	25.0	0.0	0.0	9.0	58.0	3.0	0.0	1.0
Dividends paid	217	215	216	215	236	236	238	236	238	236	237	240	126	126	126	127	128	126	127	126
Shares outstanding	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	360m	360m	360m	360m	362m	362m	362m	362m
Filing	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 31 December 2025, filed 5 February 2026: the filing.