Ulta Beauty, Inc. is the largest specialty beauty retailer in the U.S., offering a wide range of cosmetics, fragrance, skincare, haircare products, and salon services across its 1,451 retail locations nationwide. The company’s stock trades on the NASDAQ under the ticker symbol ULTA.

In the first quarter of fiscal 2025, Ulta Beauty experienced a stable increase in its financial performance. Net sales rose 4.5% to $2.85 billion, compared to $2.73 billion in the prior year. Comparable sales increased by 2.9%, driven by a 2.3% rise in average ticket and a 0.6% increase in transactions. Gross profit for the quarter was $1.11 billion, translating to a gross margin of 39.1%, slightly down from 39.2% year-over-year, primarily due to the deleverage of store and supply chain fixed costs.

Operating income was reported at $401.8 million, or 14.1% of net sales, a slight decrease from 14.7% the previous year. Selling, general, and administrative expenses rose 6.7% year-over-year to $710.6 million, representing 24.9% of net sales compared to 24.4% last year. Diluted earnings per share saw an increase of 3.6%, reaching $6.70 from $6.47 in the same quarter last year.

The company ended the quarter with $454.6 million in cash and cash equivalents. Merchandise inventories increased 11.3% to $2.12 billion, reflecting investments to improve merchandise in-stocks and support new brand launches. Capital expenditures for the quarter were $79 million, primarily for new and existing stores and supply chain enhancements.

Ulta Beauty has updated its guidance for fiscal 2025, now expecting net sales between $11.5 billion and $11.7 billion, with comparable sales growth projected between flat to 1.5%. Operating profit is expected to deleverage in the low double-digit range, with operating margin forecasted between 11.7% and 11.8%. The anticipated diluted EPS for the year is now between $22.65 and $23.20 per share.

The company repurchased approximately 987,000 shares at a cost of $358.7 million during the quarter, with $2.3 billion remaining under its current repurchase authorization. Ulta opened six new stores and ended the quarter with 1,451 stores in total.

Overall, Ulta Beauty’s first quarter results reflect a stable operational condition, characterized by growth in sales and modest adjustments in profitability metrics.