Estée Lauder reported its fourth-quarter fiscal 2025 results with net sales of $3.41 billion, slightly above estimates of $3.4 billion, but reflecting a 12% year-over-year decline. Adjusted earnings per share (EPS) were 9.0 cents, surpassing the estimated 7.3 cents, though down 86% from the previous year. Segment revenues for skin care, makeup, and hair care all missed expectations, with skin care generating $1.71 billion (estimate $1.74 billion), makeup $982 million (estimate $1.03 billion), and hair care $141 million (estimate $149.2 million). Organic net sales declined 13% year-over-year, marking the largest organic revenue drop in a decade. The company closed fiscal 2025 with net sales down 8% to $14.33 billion, operating income of negative $785 million compared to $970 million in fiscal 2024, and a net loss of $1.13 billion versus a net profit of $390 million the prior year. Estée Lauder forecasted adjusted EPS for fiscal 2026 between $1.90 and $2.10, below analyst expectations, citing a $100 million impact from tariffs and ongoing market challenges, particularly weak demand in China. The company plans to cut inventory and reduce promotions to offset rising costs. Following the earnings release and profit forecast revision, Estée Lauder's shares fell as much as 14%. Separately, Coty reported fourth-quarter fiscal 2025 net revenue of $1.25 billion, beating estimates of $1.21 billion but down 8.1% year-over-year. Coty posted an adjusted EPS loss of 5 cents, missing the estimated loss of 1 cent, and a net loss of $72.1 million. The company highlighted resilience in its prestige fragrance segment amid softness in mass cosmetics and U.S. demand. Coty forecasted first-quarter like-for-like sales declines of 6% to 8% and expects a gradual sales improvement in the second half of fiscal 2026. Coty's shares declined sharply following the results amid cautious retailer ordering and tariff-related uncertainties.