The Estée Lauder Companies (EL) 10-K Summary — Year Ended Jun 30, 2023
The company reported a decline in annual revenue compared to the prior year, with operating income and net income also decreasing. Cash flow from operations remained positive, supporting ongoing liquidity needs.
Key takeaway
Year ended Jun 30, 2023 · FY2025 10-K
The company reported a decline in annual revenue compared to the prior year, with operating income and net income also decreasing. Cash flow from operations remained positive, supporting ongoing liquidity needs.
Financial snapshot
Selected annual figures reported with the filing, shown separately from the narrative summary.
Annual revenue
$15.9B
Revenue reported for the fiscal year.
Operating income
$1.5B
Income from operations reported for the year.
Net income
$1B
Net income reported for the year.
Operating cash flow
$1.7B
Cash generated by operating activities.
Annual revenue trend
Reported annual revenue and its change from the preceding fiscal year.
| Period ended | Revenue | Year-over-year change |
|---|---|---|
| Jun 30, 2021 | $16.2B | n/a |
| Jun 30, 2022 | $17.7B | +9.4% |
| Jun 30, 2023 | $15.9B | -10.3% |
Business overview
The company is a global manufacturer and marketer of skin care, makeup, fragrance, and hair care products. Its brands are sold in department stores, specialty retailers, online, and through travel retail channels. The business operates through multiple segments, with a focus on prestige beauty products.
Financial performance
Annual revenue decreased compared to the prior year, while operating income and net income also declined. Cash flow from operations remained positive, reflecting ongoing cash generation from core business activities.
Material risks
The company faces risks from global economic uncertainty, including potential impacts on consumer spending and travel retail. Stresses in the global banking system could affect cash holdings, though the company has taken steps to mitigate concentration risk. Supply chain disruptions and foreign currency fluctuations also remain material concerns.
Liquidity and capital
The company relies on cash flows from operations, commercial paper, long-term debt, and credit lines to fund working capital, capital expenditures, acquisitions, dividends, and share repurchases. Cash and cash equivalents were maintained at multiple financial institutions, with temporary shifts to government money market funds during banking system stress.
What to watch
Monitor the company's revenue trend in the next filing, particularly whether the decline from the prior year reverses or continues.