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SEGMENT DATA AND RELATED INFORMATION
9 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
SEGMENT DATA AND RELATED INFORMATION SEGMENT DATA AND RELATED INFORMATION
Reportable operating segments include components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker (the “Chief Executive”) in deciding how to allocate resources and in assessing performance. Although the Company operates in one business segment, beauty products, management also evaluates performance on a product category basis. Product category performance is measured based upon net sales before returns associated with restructuring and other activities, and operating income (loss) before charges associated with restructuring and other activities. Returns and charges associated with restructuring and other activities are not allocated to the Company's product categories or geographic regions because they are centrally directed and controlled, are not included in internal measures of product category or geographic region performance and result from activities that are deemed Company-wide initiatives to redesign, resize and reorganize select areas of the business.
The accounting policies for the Company’s reportable segments are substantially the same as those for the consolidated financial statements, as described in the notes to consolidated financial statements in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2022. The assets and liabilities of the Company are managed centrally and are reported internally in the same manner as the consolidated financial statements; thus, no additional information is produced for the Chief Executive or included herein. There has been no significant variance in the total or long-lived asset values associated with the Company’s segment data since June 30, 2022.
Three Months Ended
March 31
Nine Months Ended
March 31
(In millions)2023202220232022
PRODUCT CATEGORY DATA
Net sales:
Skin Care$1,922 $2,395 $6,408 $8,003 
Makeup1,088 1,114 3,408 3,674 
Fragrance585 579 1,967 1,987 
Hair Care149 147 489 475 
Other11 11 39 40 
3,755 4,246 12,311 14,179 
Returns associated with restructuring and other activities(4)(1)(10)(3)
Net sales$3,751 $4,245 $12,301 $14,176 
Operating income (loss) before charges associated with restructuring and other activities:
Skin Care$256 $667 $1,207 $2,466 
Makeup(15)(36)228 
Fragrance89 105 399 446 
Hair Care(24)(18)(31)(8)
Other— 
315 761 1,547 3,135 
Reconciliation:
Charges associated with restructuring and other activities(18)(23)(33)(44)
Interest expense(58)(41)(156)(125)
Interest income and investment income, net37 78 19 
Other components of net periodic benefit cost
Other income— — — 
Earnings before income taxes$280 $703 $1,445 $2,988 
GEOGRAPHIC DATA(1)
Net sales:
The Americas$1,089 $1,053 $3,447 $3,547 
Europe, the Middle East & Africa1,474 1,990 4,972 6,201 
Asia/Pacific1,192 1,203 3,892 4,431 
3,755 4,246 12,311 14,179 
Returns associated with restructuring and other activities(4)(1)(10)(3)
Net sales$3,751 $4,245 $12,301 $14,176 
Operating income (loss):
The Americas$(93)$408 $(53)$1,044 
Europe, the Middle East & Africa176 281 919 1,366 
Asia/Pacific232 72 681 725 
315 761 1,547 3,135 
Charges associated with restructuring and other activities(18)(23)(33)(44)
Operating income$297 $738 $1,514 $3,091 
(1) The net sales from the Company’s travel retail business are included in the Europe, the Middle East & Africa region, with the exception of net sales of Dr.Jart+ in the travel retail channel that are reflected in Korea in the Asia/Pacific region. Operating income attributable to the travel retail sales included in Europe, the Middle East & Africa is included in that region and in The Americas.