A Pretty Face
Fabrizio Freda, Estee Lauder‘s (EL) wonderful CEO, says the following on the company’s investor relations webpage:
“We are a growth company. Our mission is to keep expanding by taking our brands into new geographies and the best retail opportunities and creating must-have products. … The consumer is always at the center of our thinking.”
Since 1946, this is a company that’s been making people feel good about the way they look.
Now a global company, it generates 58% of its revenue and 79% of its operating income outside the Western Hemisphere. Consistently growing, its stock has achieved an annualized total return of 15.6% — 750 basis points greater than the S&P 500, and 637 basis points higher than its household and personal products’ peers.
The Lauder family own approximately 39% of the equity and 83% of the votes. A total of four Lauder family members currently sit on its 15-person board, including William Lauder, who currently is executive chairman and formerly was CEO until 2009, when Freda took the helm.