The Estee Lauder Companies, Inc. unveiled a two-year restructuring strategy as part of its profit recovery plan that will include cutting 3%-5% of staff and re-investing savings in consumer-facing activities to drive “long-term, sustainable, profitable growth,” executive VP and CFO Tracey Travis reported.
Estee Lauder Companies’ Restructuring Targets Annual Savings Of $350M-$500M
“The restructuring program is designed to right-size and streamline select areas within our organization,” which unfortunately means headcount reductions, CFO Tracey Travis said during the firm’s fiscal second quarter presentation. Lauder is projecting a return to organic sales growth in the third quarter and fourth quarter acceleration on the strength of innovation and strategic brand investments.
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