Estee Lauder said on Wednesday it would cut inventory and promotions to help mitigate rising costs, after the luxury cosmetic maker warned that a $100 million hit from tariffs would weigh on its annual profit forecast.

The Estee Lauder Companies Inc. (EL) reported fourth-quarter fiscal 2025 results, with the top and bottom lines beating the Zacks Consensus Estimate. However, net sales and earnings declined year over year.

Estée Lauder Cos. issued a weak profit outlook for its fiscal year, dragged down in part by tariff costs. Shares plummeted.