Estée Lauder Outlook Misses as Duty-Free Sales Lag in Asia

  • Company sees more weakness in duty-free sales this year
  • CEO says company will focus on ‘reaccelerating’ US growth

Estee Lauder cosmetics.

Photographer: Gabby Jones/Bloomberg
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Estée Lauder Cos. gave a profit outlook that fell short of estimates on Friday, a sign the beauty company expects continued struggles in its crucial travel retail business in Asia.

The owner of the MAC and Tom Ford brands said it sees those struggles causing a net loss as well as a sales decline of 10% to 12% in the current three-month period. Those would be the second-worst quarterly results on record, according to Raymond James analyst Olivia Tong.