Ulta Beauty reported strong FY2025 results, with sales up ~10% and EPS above guidance, driven by strong holiday performance and market share gains. For FY2026, management guides to a return to profitable growth with sales up 6-7%, EPS up 9-11%, and flat to slightly up operating margin, while continuing to invest in new growth areas like TikTok Shop and international expansion. FY2025 sales grew to $12.4B, with comps up 5.4%, and EPS of $25.64, above initial guidance.
Ulta Beauty reported strong FY2025 results, with sales up ~10% and EPS above guidance, driven by strong holiday performance and market share gains. For FY2026, management guides to a return to profitable growth with sales up 6-7%, EPS up 9-11%, and flat to slightly up operating margin, while continuing to invest in new growth areas like TikTok Shop and international expansion. FY2025 sales grew to $12.4B, with comps up 5.4%, and EPS of $25.64, above initial guidance.
Ulta Beauty reported strong FY2025 results, with sales up ~10% and EPS above guidance, driven by strong holiday performance and market share gains. For FY2026, management guides to a return to profitable growth with sales up 6-7%, EPS up 9-11%, and flat to slightly up operating…
FY2025 sales grew to $12.4B, with comps up 5.4%, and EPS of $25.64, above initial guidance.
Guidance · revenue to $13.15B
Management expects a return to profitable growth, with SG&A growth moderating significantly in FY2026.
Management discussed leveraging AI capabilities to support the guest experience, drive associate productivity, empower smarter decision-making, and explore further AI applications with industry leaders to amplify the company's distinct advantages.
Guidance for FY2026 calls for ~6-7% sales growth, operating profit growth in line or faster, and double-digit EPS growth, signaling a return to profitable growth after a year of heavy investment. The tone is confident, with a focus on disciplined execution and market share gains.
Capital expenditures for fiscal 2026 are planned between $400 and $450 million, primarily for expanding and refreshing store portfolio, digital and IT capabilities, and supply chain optimization, including the start of construction of a new regional distribution center.
Management expresses optimism about strategic progress, market share gains, and future growth, while acknowledging macro uncertainties and remaining disciplined.
“Next week, we will launch Ulta Beauty on TikTok Shop, where guests can purchase immediately as they engage with content from Ulta Beauty and our brands on the platform.”
“Fragrance was the strongest performing category again this quarter, delivering double-digit comp growth fueled by newness from established brands, including YSL and Prada, as well as exclusive brands such as Noise, Sniff, and Summer Mink b…”
“we plan to continue our supply chain transformation efforts with the rollout of increased automation and existing facilities and start of construction of a new regional distribution center in the Northwest later this year”
| 지표 | 기간 | 범위 | 중간값 | 상태 |
|---|---|---|---|---|
| Capex | FY2026 | $0.4B–$0.45B | $0.425B | GUIDED |
| EPS | FY2026 | $28.05–$28.55 | $28.30 | GUIDED |
| Op margin | FY2026 | 0%–20% | 10% | GUIDED |
| Revenue | FY2026 | $13.1B–$13.2B | $13.15B | GUIDED |
| RevenueCOMP | FY2026 | 2.5%–3.5% | 3% | GUIDED |
| 제시 시점 | 지표 | 목표 기간 | 가이던스 | 실제 | 결과 |
|---|---|---|---|---|---|
| FY2025 Q3 | EPS | FY2025 Q4 | $7.61–$7.90 | $8.04 | Met / beat |
| FY2025 Q3 | Op margin | FY2025 Q4 | 12%–12.3% | 12.33% | Met / beat |
Ulta Beauty is launching on TikTok Shop next week, which could open a new, fast-growing social commerce channel for beauty sales. — This expands TikTok's shop into a major US beauty retailer with 46.7 million loyalty members, potentially boosting TikTok's e-commerce GMV and driving incremental sales for Ulta.
“we are pleased to announce today an expanded strategic integration with TikTok. Next week, we will launch Ulta Beauty on TikTok Shop.”
Luxury fragrance brands YSL and Prada are driving strong double-digit comp growth in the fragrance category.
“the exclusive launch of Balmain's new ascent, Destin de Balmain.”
… opportunity to unlock further growth. In 2026, we will continue to enhance our brand building efforts to further elevate and differentiate our assortment and strengthen our position as the retailer of choice to launch, build, scale, and globalize across the full low-to-luxury portfolio. We will continue to strengthen our appeal to meet guests' evolving beauty needs with innovative and relevant newness, like the record-breaking launch of Rare Beauty by Selena Gomez and the exclusive launch of Balmain's new ascent, Destin de Balmain. We will continue to invest in the heart of our experience, our stores, to extend our competitive advantage and capture key growth opportunities. We will build on our progress across our digital platforms with new capabilities and stronger guest engagement through personalization as we leverage greater automation and real-time content to tailor the guest experience and provide even more value to our loyal members. And we are pleased to announce today an expanded strategic integration with TikTok. Next week, we will launch Ulta Beauty on TikTok Shop, where guests can purchase immediately as they engage with content from Ulta Beauty and our brands on …
Luxury fragrance brands YSL and Prada are driving strong double-digit comp growth in the fragrance category.
“fueled by newness from established brands, including YSL and Prada”
… e-commerce sales delivering mid-teen growth and comp stores increasing sales in the low single digit range. Turning now to sales by category, the skincare and wellness category increased to 24% of sales and the makeup category decreased to 35% of sales, primarily reflecting the impact of SpaceNK, which has a higher mix of skincare sales than our Ulta Beauty business. Fragrance was the strongest performing category again this quarter, delivering double-digit comp growth fueled by newness from established brands, including YSL and Prada, as well as exclusive brands such as Noise, Sniff, and Summer Mink by Drake, coupled with strong performance of holiday gift sets. New co-branded TV campaigns, expanded space in stores, and better in stocks successfully positioned Ulta Beauty as the fragrance destination this holiday season. The haircare category delivered its best comp performance this year with comp growth for the quarter in the high single digit range, primarily driven by strong performance from new brands, including Amica and Moroccan Oil and Exclusive Sacred, which continued to build sales momentum after a fantastic launch in April. The skincare and wellness category delivered …
Fragrance continues to be the strongest category, delivering double-digit comp growth, driven by both established luxury brands and new entrants. — Sustained strength in the prestige fragrance category benefits luxury conglomerates like L'Oreal and Estee Lauder as well as Ulta's own exclusive partnerships.
“Prestige Beauty benefited from newness from Kylie Cosmetics and MAC.”
… brands, Dermatology and Personal Day, drove strong guest engagement, while highly giftable launches from Thoroughbody, Nodpod, and Sage, which is exclusive to Ulta Beauty, delivered strong growth in wellness. We took market share in the makeup category with low single-digit growth in total, supported by positive comps in both mass and prestige makeup. Mass makeup growth was driven by compelling newness from brands like L'Oreal, Morphe, and Ulta Beauty Collection, while Prestige Beauty benefited from newness from Kylie Cosmetics and MAC. Finally, services delivered mid single-digit comp growth, driven by increases in salon and specialty services, including ear piercing and makeup services. Gross margin for the quarter decreased 10 basis points to 38.1% of sales. The decrease was primarily due to channel mix and deleverage of store fixed costs and other revenue. These headwinds were mostly offset by lower inventory shrink and leverage of supply chain fixed costs reflecting efficiencies from our supply chain optimization efforts. Our team's relentless focus on reducing inventory shrink has delivered meaningful benefits every quarter this year. Our investments in fixtures and process …