Estee Lauder Companies Delivers Strong Earnings Per Share in First Quarter of Fiscal 2010; Progress on Strategic Initiatives and
EL | Quote | Chart | News | PowerRating -- The Estee Lauder Companies Inc. (NYSE: EL | Quote | Chart | News | PowerRating) today reported results for
the fiscal first quarter ended September 30, 2009 that were
significantly higher than the prior-year period and the Company's
original expectations for the quarter.
For the first quarter, the Company had net sales of $1.83 billion, a 4%
decrease compared with $1.90 billion reported in the prior-year period.
Excluding the impact of foreign currency translation, net sales
decreased slightly from the year-ago period. The Company reported net
earnings, including charges associated with restructuring activities,
for the quarter ended September 30, 2009 of $140.7 million, compared
with $51.1 million last year. Diluted net earnings per common share for
the quarter rose to $.71, compared with $.26 reported in the prior year.
All mention of net earnings in the body of this press release refers to
net earnings attributable to The Estee Lauder Companies Inc., which
reflects the adjustment for noncontrolling interests.
The fiscal 2010 first quarter results included returns and charges
associated with restructuring activities of $42.3 million ($27.3 million
after-tax), equal to $.14 per diluted common share. Excluding these
returns and charges, net sales for the quarter ended September 30, 2009
were $1.85 billion, net earnings increased to $168.0 million and diluted
net earnings per share rose to $.85. A reconciliation between GAAP and
non-GAAP financial measures is included in this press release. In
connection with its long-term strategic plan, as well as certain on
going initiatives, the Company realized savings of approximately $48
million during the quarter.
The Company's business in each of its product categories and geographic
regions continued to be affected by challenging and volatile economic
conditions. Despite these conditions, the Company was able to outperform
its original expectations because of better-than-anticipated sales and
lower spending levels in each of the Company's product categories and
geographic regions. The better-than-anticipated sales stemmed, in part,
from strong sell-in of higher-margin product launches, greater passenger
traffic in the Company's travel retail business and improved foreign
currency translation. The lower spending reflects caution in many of the
Company's businesses given the extent of the global economic downturn
and the potential risks in the near term.
Fabrizio Freda, President and Chief Executive Officer, said, "Our strong
performance this quarter is an encouraging start to our fiscal year and
to achieving our long-term strategy and financial goals. We capitalized
on our solid pipeline of innovative products, initial improvements in
certain areas of our business and increased cost discipline, which led
to a significant improvement in operating margin. We believe we gained
share globally in much of our distribution this quarter.
"While satisfying, these strong results should not mask the challenges
and uncertainties we still see in the global economic environment.
Additionally, we are at the beginning of our four-year strategic plan,
which involves significant cultural changes and multiple initiatives,
and we still have a lot of work ahead to achieve our goals. However, we
will continue to focus on opportunities that are in our control, namely
reducing our cost structure and building our brands. We are a company
with strengths in creativity and innovation, and we will accelerate our
investment in these areas throughout the year to maximize their
potential and gain share. With the year beginning on solid footing and
having confidence in our business for the balance of the fiscal year, we
are raising our full year earnings per share estimate to $1.95 to $2.10."
Results by Product Category
Three Months Ended September 30
Operating Percent
(Unaudited; Dollars in millions) Net Sales Percent Change Income (Loss) Change
Reported Local Reported
2009 2008 Basis Currency 2009 2008 Basis
Skin Care $ 730.3 $ 716.8 1.9 % 5.0 % $ 114.3 $ 43.5 100.0+ %
Makeup 717.9 742.9 (3.4 ) (0.8 ) 107.8 54.4 98.2
Fragrance 291.5 327.8 (11.1 ) (8.0 ) 28.2 (5.5 ) 100.0+
Hair Care 97.9 98.8 (0.9 ) 0.9 9.6 (1.0 ) 100.0+
Other 14.3 17.2 (16.9 ) (15.1 ) 2.8 1.2 100.0+
Subtotal 1,851.9 1,903.5 (2.7 ) 0.1 262.7 92.6 100.0+
Returns and charges associated with restructuring activities (18.5 ) - (42.3 ) (0.1 )
Total $ 1,833.4 $ 1,903.5 (3.7 )% (0.8 )% $ 220.4 $ 92.5 100.0+ %
All product categories benefited from Company-wide cost containment
initiatives and a more measured approach to spending, as well as strict
inventory management, resulting in significant improvements in operating
income.
Skin Care
--
The skin care category is a strategic priority for the Company. Net
sales in this category increased, despite the difficult comparison to
the prior year when skin care sales rose strong double-digits. In
local currency, net sales in Asia/Pacific grew double-digits, while
Europe, the Middle East & Africa had a solid high-single-digit gain.
Skin care sales in the Americas decreased slightly.
--
The Company gained share in this category during the quarter in U.S.
prestige department stores and in certain countries in stores where
its products are sold.
--
Across each region, the strong sell-in of Advanced Night Repair
Synchronized Recovery Complex and the recent launches of the Time Zone
line of moisturizing products by Estee Lauder, as well as Youth Surge
SPF 15 Age Decelerating Moisturizer from Clinique, contributed
incremental sales. These sales gains were partially offset by lower
sales from other existing products.
--
Operating income was substantially higher, primarily reflecting
improved results from certain of the Company's heritage brands, driven
by increased sales from new higher-margin launches.
Makeup
--
Makeup net sales increased strong double-digits in Asia/Pacific but
were more than offset by declines in the Company's other regions.
--
On a reported basis, the net sales decrease was primarily attributable
to the Company's heritage brands. These brands collectively posted
higher declines in international markets than domestically. The
declines reflected a difficult comparison to the prior-year period
which featured a greater number of launches and when sales increased
double--digits. Makeup artist brands collectively reported a moderate
global sales increase during the quarter, driven by their
international businesses.
--
The lower makeup sales reflected declines across a broad range of
products. However, these declines were partly mitigated by the recent
launches of Even Better Makeup SPF 15 and Superbalanced Powder Makeup
SPF 15 from Clinique, as well as Double Wear Stay-in-Place Lip and Eye
Pencils by Estee Lauder.
--
Operating income increased, primarily due to improvements at certain
of the Company's heritage brands and its makeup artist brands.
Fragrance
--
The Company's priority in this category is profitability improvement.
During the quarter, the Company continued to face challenges in this
product category, due in part to the continued economic downturn,
coupled with competitive dynamics. As a result, fragrance sales
declined in each region.
--
The decline reflected lower sales of DKNY Delicious Night and Estee
Lauder Sensuous, both of which were launched in the prior-year period.
Also contributing to the decrease were lower sales of certain Sean
John and Clinique fragrances.
--
The recent successful launches of DKNY Be Delicious Fresh Blossom and
Very Hollywood Michael Kors partially offset these declines.
--
Fragrance posted operating income compared with an operating loss last
year. The improvement primarily reflected a favorable comparison to
the prior-year period's support spending behind launches.
Hair Care
--
In local currency, sales increased in the Asia/Pacific region.
Increased sales of certain styling and hair color products and sales
generated from direct-response television programs were partially
offset by a soft salon retail environment in the United States.
--
On a reported basis, sales decreased, reflecting the impact of foreign
currency translation.
--
Hair care recorded operating income in the current quarter compared
with an operating loss last year, primarily reflecting savings
generated from cost containment initiatives.
Results by Geographic Region
Three Months Ended September 30
Operating Percent
(Unaudited; Dollars in millions) Net Sales Percent Change Income (Loss) Change
Reported Local Reported
2009 2008 Basis Currency 2009 2008 Basis
The Americas $ 892.3 $ 939.0 (5.0 )% (4.1 )% $ 113.9 $ 56.5 100.0+ %
Europe, the Middle East & Africa 601.9 641.5 (6.2 ) 0.2 93.3 7.6 100.0+
Asia/Pacific 357.7 323.0 10.7 12.4 55.5 28.5 94.7
Subtotal 1,851.9 1,903.5 (2.7 ) 0.1 262.7 92.6 100.0+
Returns and charges associated with restructuring activities (18.5 ) - (42.3 ) (0.1 )
Total $ 1,833.4 $ 1,903.5 (3.7 )% (0.8 )% $ 220.4 $ 92.5 100.0+ %
The Americas
--
Sales decreased in all product categories for the quarter, while most
of the Company's brands in the United States recorded lower net sales.
The economic conditions in this region, particularly in the department
store channel, have negatively impacted the Company's results.
--
Lower store traffic and cautious consumer spending contributed to the
weak retail environment. Sales in the Company's freestanding stores
also declined, while results in other alternative channels were mixed.
Sales in the Company's Internet business contributed very positively.
--
During the quarter, the Company gained share in the U.S. prestige
department store channel.
--
In local currency, sales in Canada and Latin America increased, while
on a reported basis both reflected the adverse impact of the stronger
U.S. dollar.
--
Ongoing challenges faced by certain of the Company's department store
customers in the U.S. may continue to affect net sales for the short
and medium term.
--
Operating income in the Americas rose over 100%, driven by
Company-wide cost containment initiatives and a more measured approach
to spending, particularly from certain of the Company's heritage
brands and its makeup artist brands. These positives were partially
offset by lower sales experienced by the majority of the Company's
businesses in the region as described above.
Europe, the Middle East & Africa
--
In constant currency, double-digit growth was recorded in a number of
countries, with the largest gains coming in Central Europe, Russia and
the Middle East, while the United Kingdom posted solid sales gains.
These gains were offset by sales declines in Spain, the Balkans and
Italy.
--
Much of the region continued to be affected by weak economic
conditions and further, yet more limited, retailer destocking.
--
The Company's travel retail business reflects a slowdown in global
airline passenger traffic compared with the prior-year period,
however, the extent of the slowdown was less than the Company
anticipated. During the quarter, this profitable business experienced
strong results from product launches, select trade re-stocking and
increased distribution.
--
The Company estimates that it gained share in certain countries in its
distribution in this region during the quarter.
--
Operating income increased significantly, reflecting improvements in
travel retail and virtually all countries in the region. The strongest
growth was generated in travel retail, the United Kingdom, Russia,
France, Spain and Germany.
Asia/Pacific
--
Despite being up against a 21% sales increase in the prior-year
period, this region generated solid double-digit local currency sales
growth, with every country posting increases, except Japan. The
strongest gains were generated in China, Korea, Hong Kong and
Australia. Sales growth in China, the Company's largest emerging
market, was predominantly due to strong like-door growth, expanded
distribution and successful product launches. The sales decline in
Japan, the Company's largest Asian market, reflected the continued
recessionary environment there.
--
The Company estimates that for the quarter it gained share in Asia
within its points of distribution.
--
Operating income in the region rose substantially, with all countries
posting gains, led by China, Australia and Korea, reflecting higher
sales and cost savings, as well as in Japan due to strict cost
management.
Cash Flows
--
For the three months ended September 30, 2009, net cash flows provided
by operating activities were $2.7 million, compared with net cash used
of $196.2 million in the prior-year period.
--
The improvement primarily reflected higher net earnings and lower
inventory levels. The change also reflected higher tax payments in the
year-ago period. These activities were partially offset by the timing
of collections and the level of accounts receivable balances.
--
Operating cash flow was utilized primarily for capital investments and
the repayment of long-term debt.
--
The Company's focus on inventory management resulted in 18 fewer days
of inventory at September 30, 2009, compared to the prior year. This
occurred in spite of lower sales and destocking by certain retailers
worldwide.
--
The Company believes that cash on hand, cash generated from
operations, available credit lines and access to credit markets will
be adequate to support its currently planned business operations on
both a near-term and long-term basis.
Outlook for Fiscal 2010 Second Quarter
and Full Year
The high degree of global economic uncertainty has had a negative effect
on consumer confidence, demand and spending. The Company cannot predict
with certainty the extent or duration of these conditions. The Company's
business strategies are designed to strengthen the Company over the
long-term. The uncertainty about future market conditions, consumer
spending patterns and the financial strength of some of the Company's
key retail customers, coupled with retailer destocking, will continue to
negatively affect the Company's results for fiscal 2010. A continuation
of these conditions makes definitive forecasting difficult.
Second Quarter
--
Net sales are expected to increase between 0% and 3% in constant
currency.
--
Foreign currency translation is expected to benefit sales by
approximately 3% to 4% versus the prior-year period.
--
Diluted net earnings per share before charges associated with
restructuring activities are projected to be between $.80 and $.87.
--
In connection with its long-term strategic plan, as well as certain
on-going initiatives, the Company expects to realize savings of
approximately $50 million in the second quarter of fiscal 2010.
Full Year
--
Net sales continue to be forecasted to grow between 0% and 2% in
constant currency.
--
Foreign currency translation is expected to benefit sales by
approximately 2% to 3% versus the prior year.
--
During the fiscal year, the Company expects to invest a portion of the
savings from the first quarter to build momentum and drive growth.
--
The Company projects diluted net earnings per share, before charges
associated with restructuring activities, to be between $1.95 and
$2.10.
--
On a product category basis, in constant currency, sales in skin care,
hair care and makeup are expected to generate growth. Fragrance sales
are expected to decline.
--
Geographic region net sales growth in constant currency is expected to
be led by Asia/Pacific, followed by Europe, the Middle East & Africa.
Sales in the Americas are expected to decline.
--
In connection with its long-term strategic plan, as well as certain
on-going initiatives, the Company continues to expect to realize
savings of between $175 million and $200 million during fiscal 2010.
_______________
--
The Company continues to expect to take returns and charges associated
with restructuring activities in fiscal 2010 of between $80 million
and $120 million, equal to $.27 to $.40 per diluted common share. The
recording of charges will depend on when decisions are made and the
relevant accounting criteria are met. Such charges are not included in
the Company's earnings per share projections noted above.
--
The timing and predictability of when charges may be recorded will
likely vary by quarter. As restructuring and other special charges
decisions are reached, the Company may communicate such decisions
through 8-K amendments filed with the SEC.
Forward-Looking Statements
The forward-looking statements in this press release, including those
containing words like "expect," "planned," "may," "could," "anticipate,"
"estimate," "projected," "forecasted," those in Mr. Freda's remarks and
those in the "Outlook for Fiscal 2010 Second Quarter and Full Year"
section involve risks and uncertainties. Factors that could cause actual
results to differ materially from those forward-looking statements
include the following:
(1) increased competitive activity from companies in the skin care,
makeup, fragrance and hair care businesses, some of which have
greater resources than the Company does;
(2) the Company's ability to develop, produce and market new products on
which future operating results may depend and to successfully
address challenges in the Company's business;
(3) consolidations, restructurings, bankruptcies and reorganizations in
the retail industry causing a decrease in the number of stores that
sell the Company's products, an increase in the ownership
concentration within the retail industry, ownership of retailers by
the Company's competitors and ownership of competitors by the
Company's customers that are retailers and our inability to collect
receivables;
(4) destocking and tighter working capital management by retailers;
(5) the success, or changes in timing or scope, of new product launches
and the success, or changes in the timing or scope, of advertising,
sampling and merchandising programs;
(6) shifts in the preferences of consumers as to where and how they shop
for the types of products and services the Company sells;
(7) social, political and economic risks to the Company's foreign or
domestic manufacturing, distribution and retail operations,
including changes in foreign investment and trade policies and
regulations of the host countries and of the United States;
(8) changes in the laws, regulations and policies (including the
interpretation and enforcement thereof) that affect, or will affect,
the Company's business, including those relating to its products,
changes in accounting standards, tax laws and regulations, trade
rules and customs regulations, and the outcome and expense of legal
or regulatory proceedings, and any action the Company may take as a
result;
(9) foreign currency fluctuations affecting the Company's results of
operations and the value of its foreign assets, the relative prices
at which the Company and its foreign competitors sell products in
the same markets and the Company's operating and manufacturing costs
outside of the United States;
(10) changes in global or local conditions, including those due to the
volatility in the global credit and equity markets, natural or
man-made disasters, real or perceived epidemics, or energy costs,
that could affect consumer purchasing, the willingness or ability of
consumers to travel and/or purchase the Company's products while
traveling, the financial strength of the Company's customers,
suppliers or other contract counterparties, the Company's
operations, the cost and availability of capital which the Company
may need for new equipment, facilities or acquisitions, the returns
that the Company is able to generate on its pension assets and the
resulting impact on its funding obligations, the cost and
availability of raw materials and the assumptions underlying the
Company's critical accounting estimates;
(11) shipment delays, depletion of inventory and increased production
costs resulting from disruptions of operations at any of the
facilities that manufacture nearly all of the Company's supply of a
particular type of product (i.e., focus factories) or at the
Company's distribution or inventory centers, including disruptions
that may be caused by the implementation of SAP as part of the
Company's Strategic Modernization Initiative or by restructurings;
(12) real estate rates and availability, which may affect the Company's
ability to increase or maintain the number of retail locations at
which the Company sells its products and the costs associated with
the Company's other facilities;
(13) changes in product mix to products which are less profitable;
(14) the Company's ability to acquire, develop or implement new
information and distribution technologies and initiatives on a
timely basis and within the Company's cost estimates;
(15) the Company's ability to capitalize on opportunities for improved
efficiency, such as publicly announced restructuring and
cost-savings initiatives, and to integrate acquired businesses and
realize value therefrom;
(16) consequences attributable to the events that are currently taking
place in the Middle East, including terrorist attacks, retaliation
and the threat of further attacks or retaliation;
(17) the timing and impact of acquisitions and divestitures, which depend
on willing sellers and buyers, respectively, and;
(18) additional factors as described in the Company's filings with the
Securities and Exchange Commission, including its Annual Report on
Form 10-K for the fiscal year ended June 30, 2009.
The Company assumes no responsibility to update forward-looking
statements made herein or otherwise.
The Estee Lauder Companies Inc. is one of the world's leading
manufacturers and marketers of quality skin care, makeup, fragrance and
hair care products. The Company's products are sold in over 140
countries and territories under the following brand names: Estee Lauder,
Aramis, Clinique, Prescriptives, Lab Series, Origins, M*A*C, Bobbi
Brown, Tommy Hilfiger, Kiton, La Mer, Donna Karan, Aveda, Jo Malone,
Bumble and bumble, Darphin, Michael Kors, American Beauty,
Flirt!, Good Skin(TM), Grassroots Research Labs, Sean John, Missoni, Daisy
Fuentes, Tom Ford, Coach and Ojon.
An electronic version of this release can be found at the Company's
website, www.elcompanies.com.
-- Tables Follow --
THE ESTEE LAUDER COMPANIES INC.
SUMMARY OF CONSOLIDATED RESULTS
(Unaudited; In millions, except per share data and percentages)
Three Months Ended
September 30 Percent
2009 2008 Change
Net Sales (A) $ 1,833.4 $ 1,903.5 (3.7 )%
Cost of sales (A) 445.1 500.1
Gross Profit 1,388.3 1,403.4 (1.1 )%
Gross Margin 75.7 % 73.7 %
Operating expenses:
Selling, general and administrative 1,149.7 1,310.8
Restructuring and other special charges (A) 18.2 0.1
1,167.9 1,310.9 (10.9 )%
Operating Expense Margin 63.7 % 68.9 %
Operating Income 220.4 92.5 100.0+ %
Operating Income Margin 12.0 % 4.8 %
Interest expense, net 19.6 15.3
Earnings before Income Taxes 200.8 77.2 100.0+ %
Provision for income taxes 63.0 27.6
Net Earnings 137.8 49.6
Net loss attributable to noncontrolling interests 2.9 1.5
Net Earnings attributable to The Estee Lauder
Companies Inc. $ 140.7 $ 51.1 100.0+ %
Net earnings attributable to The Estee Lauder
Companies Inc. per common share:
Basic $ .72 $ .26 100.0+ %
Diluted .71 .26 100.0+ %
Weighted average common shares outstanding:
Basic 196.7 195.3
Diluted 198.2 198.8
(A) In February 2009, the Company announced the implementation of a
multi-faceted cost savings program (the "Program") to position it to
achieve long-term profitable growth. The Company anticipates the Program
will result in related restructuring and other special charges over the
next few fiscal years totaling between $350 million and $450 million
before taxes. The Program includes organizational resizing and regional
realignments which principally reflects the reduction of the workforce
by approximately 2,000 employees.
During the quarter ended September 30, 2009, the Company approved cost
savings initiatives to resize the organization, reorganize certain
functions, exit unprofitable operations and outsource certain services.
For the 2010 fiscal first quarter, aggregate restructuring charges of
$14.7 million were recorded in the Company's summary of consolidated
results related to the Program. These charges primarily reflected
employee-related costs, asset write-offs, contract terminations and
other exit costs.
The Company incurred other special charges in connection with the
implementation of the Program for the quarter ended September 30, 2009
of $3.5 million related to consulting, other professional services, and
accelerated depreciation. In addition to the other special charges, the
Company recorded $18.5 million reflecting anticipated sales returns,
primarily related to the closing of the wholesale distribution of the
Company's Prescriptives brand (less a related cost of sales of $3.9
million) and a write-off of inventory associated with exiting
unprofitable operations of $9.5 million.
Total charges associated with restructuring activities included in
operating income for the three months ended September 30, 2009 was $42.3
million.
_______________
This earnings release includes some non-GAAP financial measures relating
to charges associated with restructuring activities. The following is a
reconciliation between the non-GAAP financial measures and the most
directly comparable GAAP measure for certain summary of consolidated
results accounts before and after the charges associated with
restructuring activities. The Company uses the non-GAAP financial
measure, among other things, to evaluate its operating performance and
the measure represents the manner in which the Company conducts and
views its business. Management believes that excluding these items that
are special in nature or that are not comparable from period to period
helps investors and others compare operating performance between two
periods. While the Company considers the non-GAAP measures useful in
analyzing its results, it is not intended to replace, or act as a
substitute for, any presentation included in the consolidated financial
statements prepared in conformity with GAAP.
Reconciliation of Certain Summary of Consolidated Results
Accounts
Before and After Returns and Charges Associated With
Restructuring Activities
(Unaudited; Dollars in millions, except per share data)
Three Months Ended September 30, Three Months Ended September 30,
2009 2008
% Change
Before Before versus Prior
Returns/ Returns/ Returns/ Returns/ Year Before
As Reported Charges Charges As Reported Charges Charges Returns/Charges
Net Sales $ 1,833.4 $ 18.5 $ 1,851.9 $ 1,903.5 $ 0.0 $ 1,903.5 (2.7 )%
Cost of sales 445.1 5.6 439.5 500.1 0.0 500.1
Gross Profit 1,388.3 24.1 1,412.4 1,403.4 0.0 1,403.4 0.6 %
Gross Margin 75.7 % 76.3 % 73.7 % 73.7 %
Operating expenses 1,167.9 18.2 1,149.7 1,310.9 0.1 1,310.8 (12.3 )%
Operating Expense Margin 63.7 % 62.1 % 68.9 % 68.9 %
Operating Income 220.4 42.3 262.7 92.5 0.1 92.6 100.0+ %
Operating Income Margin 12.0 % 14.2 % 4.8 % 4.8 %
Provision for income taxes 63.0 15.0 78.0 27.6 0.0 27.6
Net Earnings attributable to The Estee Lauder Companies Inc. 140.7 27.3 168.0 51.1 0.1 51.2 100.0+ %
Diluted net earnings attributable to The Estee Lauder Companies .71 .14 .85 .26 .00 .26 100.0+ %
Inc. per common share
THE ESTEE LAUDER COMPANIES INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited; In millions)
September 30 June 30 September 30
2009 2009 2008
ASSETS
Current Assets
Cash and cash equivalents $ 799.2 $ 864.5 $ 328.8
Accounts receivable, net 1,097.4 853.3 1,164.9
Inventory and promotional merchandise, net 844.2 795.0 1,048.4
Prepaid expenses and other current assets 422.2 399.7 364.1
Total Current Assets 3,163.0 2,912.5 2,906.2
Property, Plant and Equipment, net 1,017.9 1,026.7 1,042.6
Other Assets 1,285.9 1,237.4 1,232.9
Total Assets $ 5,466.8 $ 5,176.6 $ 5,181.7
LIABILITIES AND EQUITY
Current Liabilities
Short-term debt $ 19.5 $ 33.8 $ 349.9
Accounts payable 342.6 329.8 331.5
Other current liabilities 1,177.6 1,095.6 1,142.7
Total Current Liabilities 1,539.7 1,459.2 1,824.1
Noncurrent Liabilities
Long-term debt 1,389.4 1,387.6 1,082.0
Other noncurrent liabilities 681.1 665.8 536.1
Total Noncurrent Liabilities 2,070.5 2,053.4 1,618.1
Total Equity 1,856.6 1,664.0 1,739.5
Total Liabilities and Equity $ 5,466.8 $ 5,176.6 $ 5,181.7
SELECT CASH FLOW DATA
(Unaudited; In millions)
Three Months Ended
September 30
2009 2008
Cash Flows from Operating Activities
Net earnings $ 137.8 $ 49.6
Depreciation and amortization 65.3 62.6
Deferred income taxes (21.8 ) (7.1 )
Other items 34.7 26.0
Changes in operating assets and liabilities:
Increase in accounts receivable, net (218.7 ) (177.6 )
Increase in inventory and promotional merchandise, net (42.6 ) (96.8 )
Increase in other assets, net (24.5 ) (23.0 )
Increase (decrease) in accounts payable and other liabilities 72.5 (29.9 )
Net cash flows provided by (used for) operating activities $ 2.7 $ (196.2 )
Capital expenditures $ 45.4 $ 75.9
Payments to acquire treasury stock 0.4 57.0
SOURCE: The Estee Lauder Companies Inc.
The Estee Lauder Companies Inc.
Investor Relations:
Dennis D'Andrea, 212-572-4384
or
Media Relations:
Alexandra Trower, 212-572-4430
For full details on Estee Lauder Companies Inc (EL) EL. Estee Lauder Companies Inc (EL) has Short Term PowerRatings at TradingMarkets. Details on Estee Lauder Companies Inc (EL) Short Term PowerRatings is available at This Link.
- Estee Lauder Companies (EL) Corporate Event Announcement Notice - 02/09/10
- Estee Lauder: Stock on the Move Higher, Up 0.4% (EL) - 02/09/10
- Estee Lauder: The Trend Continues Up (EL) - 02/08/10
- Flirt! Cosmetics introduces new fragrance - 02/03/10
- Dates Announced for IntertechPira's 8th Color Cosmetics Summit - 02/03/10
- More News >>
