Estée Lauder family reveals details of financial structure

Companies wishing to sign partnership agreements with the company now have details of the structures on which the founding family relies. Institutional investors hold 55.15% of the company's shares.

On 5 February this year, Estée Lauder Companies announced its latest results, disappointing expectations with sales of 4.28 billion dollars for the second quarter ended 31 December 2023, down 7% on the 4.62 billion dollars recorded for the same period the previous year.

The US company expects a return to double-digit organic growth in net sales in the second half of the 2024 financial year. To achieve this, the restructuring plan remains necessary despite some significant and controversial side effects, such as the loss of between 3% and 5% of the workforce. Restructuring costs are estimated at between 500 and 700 million dollars (before tax). Estée Lauder intends to save between 350 and 500 million dollars each year, part of which will be reinvested.

Some details of the structures:

Healthcare of Ontario Pension Plan Trust Fund increased its position in shares of The Estée Lauder Companies Inc. by 1948.1% during the 3rd quarter. The institutional investor owns 115,044 shares of the company after purchasing an additional 109,427 shares during the quarter. A number of other large investors have also added to or reduced their stakes in the company, including Chilton Capital Management LLC, which acquired a new stake in Estée Lauder Companies during the first quarter valued at $37,000. Financial Gravity Asset Management Inc. acquired a new stake in shares of Estée Lauder Companies during the second quarter valued at approximately $51,000.
Cornerstone Planning Group LLC also acquired a new position in shares of Estée Lauder Companies during the second quarter worth approximately $39,000, and finally, Money Concepts Capital Corp increased its position in Estée Lauder Companies by 32.3% during the fourth quarter.