Estee Lauder beats estimates on demand for makeup products

Estee Lauder Cos Inc reported better-than-expected quarterly sales, helped by higher demand for makeup brands such as Smashbox and Tom Ford.

The company has been focusing on catering to younger customers by offering brands such as Jo Malone and Bobbi Brown, as "heritage" brands Estee Lauder and Clinique lose some shine in North America, its biggest market.

Estee has also increased its efforts on marketing make up especially through social media.

Sales in the make-up division rose nearly 14 percent to $1.16 billion in the first quarter, from a year earlier.

Net income attributable to Estee Lauder rose to $309.3 million, or 82 cents per share, in the quarter ended Sept.30, from $228.1 million, or 59 cents per share, a year earlier.

Revenue rose nearly 8 percent to $2.83 billion.

Analysts on average had expected earnings of 70 cents per share and revenue of $2.78 billion, according to Thomson Reuters I/B/E/S.