Estée Lauder (EL) shares tanked 20% Thursday after the luxury beauty products maker warned about softness in China and the Asia travel market, pulled its full-year guidance, and cut its dividend.

The news came a day after the company named Executive Group President Stéphane de La Faverie its new 澳洲幸运5官方开奖结果体彩网:Chief Executive Officer (CEO), effective Jan. 1, 2025.

Estée Lauder reported fiscal 2025 first-quarter revenue fell 4% year-over-year to $3.36 billion, while analysts surveyed by Visible Alpha expected $3.37 billion. Adjusted 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) of $0.14 exceeded forecasts.

Organic Sales Decline Blamed on 'Worsened Consumer Sentiment in China'

澳洲幸运5官方开奖结果体彩网:Organic sales declined 5%, which the company blamed primarily on "worsened consumer sentiment in China that drove further softening in overall prestige beauty in mainland China and low conversion rates in Asia travel retail and Hong Kong SAR." Organic sales were also dragged down by "lower replenishment🐼 orders in Asia travel retail, including inventory pressure given the further retail market decelera♈tion."

Estée Lauder explained that because of the "complex prestige beauty landscape" and uncertainty about the recovery of the China and Asia travel markets, it was reducing its quarterly dividend to $0.35 from $0.66.

In addition, it cited those factors, plus the change in leadership, for the decision to withdraw its fiscal 2025 outlook. It previously had anticipated adjusted EPS of $2.75 to $2.95, and revenue "between a decrease of 1% to an increase of 2% versus the prior year." 

Shares of Estée Lauder plunged to their lowest level in more ဣthan nine years.