Estée Lauder Targets 16.5% to 18.5% Operating Margin by Fiscal 2030 and Double-Digit EPS Growth
Estée Lauder laid out a fiscal 2030 plan calling for sustainable mid-single-digit organic sales growth, an adjusted operating margin of 16.5% to 18.5% and double-digit adjusted EPS growth, according to an 8-K filed Wednesday.
The beauty company unveiled the targets at a Capital Markets Experience event in Shanghai focused on its China business. President and CEO Stéphane de La Faverie and CFO Akhil Shrivastava presented the plan.
"We are now entering a new chapter, moving beyond restoring growth to accelerating sustainable, profitable growth and creating long-term value," de La Faverie said. He said the company's fiscal 2027 outlook reflects "accelerating organic sales growth and another year of significant profitability improvement."
Building blocks
The company said the targets rest on its Beauty Reimagined strategy, including broader consumer reach, new product innovation and sustained brand investment, and on its One ELC operating model, which it says has simplified its structure and decision making.
Margin gains are expected to come from completing its Profit Recovery and Growth Plan, embedding everyday efficiency and further improving adjusted gross margin. Estée Lauder said it expects greater margin expansion in fiscal 2028 than in fiscal 2029 and 2030, as it captures a full year of savings from plan initiatives approved through fiscal 2027.
The company also targets an adjusted effective tax rate of 30% or below by fiscal 2030.
A more balanced company
Estée Lauder said it expects growth to become more diversified across product categories and regions, with greater balance among its brands and between Eastern and Western markets. The company also released presentations on travel retail, China, Estée Lauder, La Mer, M·A·C, The Ordinary and fragrance alongside the targets.
"We have laid the foundation, we are building momentum, and I firmly believe the best of The Estée Lauder Companies is yet to come," de La Faverie said.
By the numbers
- Organic sales growth target: mid-single digits annually through fiscal 2030
- Fiscal 2030 adjusted operating margin target: 16.5% to 18.5%
- Adjusted EPS growth target: double digits through fiscal 2030
- Adjusted tax rate target: 30% or below by fiscal 2030
Sources
- The Estée Lauder Companies Form 8-K with capital markets event press release, filed Nov. 4, 2026 (accession 0001001250-26-000066)
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