Estée Lauder Further Expands Profit Recovery Plan For Fiscal Years 2025 And 2026 To Include Restructuring Program; Estimates Net Reduction Of Approximately 3-5% Of Its Positions As Of June 30, 2023
Portfolio Pulse from Benzinga Newsdesk
Estée Lauder announces a profit recovery plan for fiscal years 2025 and 2026, including a restructuring program that will reduce its workforce by 3-5% as of June 30, 2023. The plan aims to improve gross margin and expense base, expecting to yield annual gross benefits of $350 million to $500 million before taxes.
February 05, 2024 | 11:50 am
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Estée Lauder's restructuring plan for FY 2025 and 2026 includes a workforce reduction of 3-5% to improve gross margin and expense base, with expected annual benefits of $350M-$500M before taxes.
The announcement of Estée Lauder's profit recovery and restructuring plan indicates a strategic move to improve financial health and operational efficiency. The expected reduction in workforce is a significant decision aimed at cost savings and enhancing profitability. The projected annual gross benefits of $350 million to $500 million before taxes suggest a positive outlook for the company's financial performance. This strategic initiative is likely to be viewed favorably by investors, potentially leading to a positive short-term impact on the stock price.
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