Estee Lauder said on Monday CEO Fabrizio Freda had decided to retire from his role next year after leading the beauty and cosmetics giant for nearly 15 years.

Shares of the MAC lipstick maker were up 2% in pre-market trading after the company beat fourth-quarter revenue estimates.

Freda, 66, joined Estee in 2008 as president and chief operating officer and was later named the MAC lipstick maker's CEO.

The news of Freda's retirement is on the heels of Estee's chief financial officer Tracey Travis stepping down and retiring from her 12-year stint effective June 30, 2025.

In July, Estee said insider Akhil Shrivastava will succeed Travis as the company's finance chief.

On Monday, Estee said the board was considering internal and external candidates as part of its CEO succession planning.

Until a successor is appointed, Freda will continue to lead and oversee the company's strategic, financial and investment priorities, Estee said.

Estee has trimmed its global workforce and is trying to shore up its margins as part of a turnaround plan, while demand for its high-end skincare and beauty products has been wobbly in the last year as prolonged inflation and an uncertain economy force customers to rethink their indulgences.

The company's adjusted quarterly net sales rose to US$3.87 billion from US$3.63 billion a year earlier. Analysts had estimated US$3.81 billion, according to LSEG data.

  - Reuters