Estee Lauder Appoints New CEO

(Reuters) – Cosmetics giant Estee Lauder (NYSE:EL) has selected senior executive Stéphane de La Faverie to become its new CEO, according to a report by the Wall Street Journal on Monday.

In August, the company announced that current CEO Fabrizio Freda will retire next year but will act as an advisor to his successor during fiscal year 2026.

La Faverie, currently the executive group president, oversees brands such as Estée Lauder, Jo Malone London, Le Labo, and Kilian Paris. He has been with the company since 2013, having previously held a senior executive position at L'Oreal.

Jane Lauder, another potential candidate for the CEO role, informed staff via memo that she would be stepping back from her executive position at the end of the year, as reported by the Wall Street Journal.

Estee Lauder did not provide an immediate response to Reuters' request for comments.

Shares of the company saw a rise of about 1%.

La Faverie's potential appointment comes at a challenging time for Estee Lauder, as the company faces weakened demand in the global beauty market, particularly in China. Last week, L'Oreal also reported quarterly sales below expectations due to low consumer confidence in China.

Estee Lauder is anticipated to announce the new CEO selection this week, with the company set to report quarterly results on October 31.