Sector: Consumer Discretionary|Industry: Specialty Retail|Market Cap: $20.00B|Employees: 56K
Ulta Beauty is the largest specialty beauty retailer in the United States, offering a wide assortment of cosmetics, fragrance, skincare, haircare, and salon services. The company operates over 1,350 stores and has a strong online presence through its website and mobile app. Ulta Beauty's competitive advantages include its broad selection of products, its loyalty program, and its omnichannel capabilities.
Net sales increased by 1.7% to $2.53 billion for the 13 weeks ended November 2, 2024, compared to $2.49 billion for the same period last year. This increase was primarily due to new store contributions, but was partially offset by a $4.9 million decline in other revenue. The comparable sales increase was 0.6%.
Gross profit margin decreased to 39.7% for the 13 weeks ended November 2, 2024, compared to 39.9% for the 13 weeks ended October 28, 2023. This decrease was primarily due to deleverage of store and supply chain fixed costs and lower other revenue, partially offset by favorable channel mix and lower inventory shrink.
Net income was $242.2 million for the 13 weeks ended November 2, 2024, compared to $249.5 million for the 13 weeks ended October 28, 2023. The decrease in net income is primarily due to the $20.9 million increase in SG&A expenses and the $1.4 million increase in pre-opening expenses, partially offset by the $13.6 million increase in gross profit and the $2.2 million decrease in income taxes.