Estee Lauder has increased the estimated cost of its restructuring program to as much as $1.75 billion in cumulative charges, up from a previous projection of about $1.55 billion. The additional charges will cover workforce reductions, asset-related costs, contract terminations, and other restructuring expenses as the company works to improve efficiency and strengthen operating performance. The restructuring plan includes eliminating as many as 10,000 jobs and shifting more business toward faster-growing sales channels such as Amazon and TikTok shops. The company is also introducing lower-priced products aimed at younger consumers and seeking to exit an office lease. Shares were little changed in extended trading following the filing, though the stock had declined 19% this year through Tuesday's close.
Estee Lauder Companies IncEstee Lauder raises restructuring charges to $1.75B, indicating higher costs and ongoing operational challenges.
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