Ulta Beauty (ULTA) ended the recent trading session at $493.59, demonstrating a +0.08% swing from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.07% for the day. On the other hand, the Dow registered a gain of 0.16%, and the technology-centric Nasdaq decreased by 0.36%.Prior to today's trading, shares of the beauty products retailer had gained 1.31% over the past month. This has outpaced the Retail-Wholesale sector's gain of 1.02% and lagged the S&P 500's gai ...

Strength in omni-channel capabilities has been working in Ulta Beauty, Inc.’s (ULTA) favor. The leading beauty retailer is benefiting from healthy traffic trends in the booming beauty space. Incidentally, management is seeing market share gains in major beauty categories, with skincare standing out. Consistent focus on six key priorities is yielding.Let’s discuss this in detail.Strong Omni-channel Presence People are effortlessly moving between physical and digital channels as ULTA continues to invest in en ...

Ulta Beauty, Inc. (NASDAQ:ULTA) Q3 2023 Results Conference Call November 30, 2023 4:30 PM ET Company Participants Kiley Rawlins - VP, IR Dave Kimbell - CEO Scott Settersten - CFO Conference Call Participants Dana Telsey - Telsey Advisory Group Lorraine Hutchinson - Bank of America Mark Altschwager - Baird Michael Binetti - Evercore ISI Oliver Chen - TD Cowen Krisztina Katai - Deutsche Bank Michael Lasser - UBS Operator Good afternoon, and welcome to Ulta Beauty's Conference Call to discuss results for the T ...

[Part I - Financial Information](index=3&type=section&id=Part%20I%20-%20Financial%20Information) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Ulta Beauty reported **$7.65 billion** in net sales for the 39 weeks ended Oct 28, 2023, with net income of **$896.6 million**, reflecting asset growth and debt utilization [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) Total assets reached **$5.60 billion** as of Oct 28, 2023, driven by inventory growth, with liabilities at **$3.57 billion** including new short-term debt | Balance Sheet Items (in thousands) | Oct 28, 2023 | Oct 29, 2022 | | :--- | :--- | :--- | | Cash and cash equivalents | $121,811 | $250,628 | | Merchandise inventories, net | $2,321,306 | $2,114,669 | | Total current assets | $2,792,040 | $2,745,815 | | Total assets | $5,595,008 | $5,331,549 | | Short-term debt | $195,400 | $0 | | Total liabilities | $3,566,466 | $3,409,294 | | Total stockholders' equity | $2,028,542 | $1,922,255 | [Consolidated Statements of Income](index=4&type=section&id=Consolidated%20Statements%20of%20Income) Q3 2023 net sales rose to **$2.49 billion**, but net income declined to **$249.5 million**; 39-week net sales grew to **$7.65 billion**, with net income at **$896.6 million** | Income Statement (in thousands) | 13 Weeks Ended Oct 28, 2023 | 13 Weeks Ended Oct 29, 2022 | | :--- | :--- | :--- | | Net sales | $2,488,933 | $2,338,793 | | Gross profit | $992,067 | $962,817 | | Operating income | $327,227 | $361,856 | | Net income | $249,483 | $274,585 | | Diluted EPS | $5.07 | $5.34 | | Income Statement (in thousands) | 39 Weeks Ended Oct 28, 2023 | 39 Weeks Ended Oct 29, 2022 | | :--- | :--- | :--- | | Net sales | $7,653,005 | $6,981,807 | | Gross profit | $3,040,536 | $2,832,007 | | Operating income | $1,160,939 | $1,190,992 | | Net income | $896,636 | $901,657 | | Diluted EPS | $17.99 | $17.35 | [Consolidated Statements of Cash Flows](index=5&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations decreased to **$358.0 million** for the 39 weeks ended Oct 28, 2023, due to inventory growth, while investing and financing cash outflows increased | Cash Flows (in thousands) | 39 Weeks Ended Oct 28, 2023 | 39 Weeks Ended Oct 29, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $358,011 | $573,426 | | Net cash used in investing activities | ($315,900) | ($207,029) | | Net cash used in financing activities | ($658,177) | ($547,329) | | Net decrease in cash and cash equivalents | ($616,066) | ($180,932) | | Cash and cash equivalents at end of period | $121,811 | $250,628 | [Notes to Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail accounting policies, store count (1,374), sales mix shifts (skincare up), **$195.4 million** credit facility debt, **$848.4 million** in share repurchases, and a 23.7% effective tax rate - As of October 28, 2023, the Company operated **1,374** retail stores across 50 states[23](index=23&type=chunk) | Category (% of Net Sales) | 13 Weeks Ended Oct 28, 2023 | 13 Weeks Ended Oct 29, 2022 | | :--- | :--- | :--- | | Cosmetics | 42% | 44% | | Haircare products and styling tools | 19% | 21% | | Skincare | 19% | 16% | | Fragrance and bath | 13% | 12% | - The company had **$195.4 million** outstanding under its credit facility as of October 28, 2023, with no borrowings in the prior year[45](index=45&type=chunk) - Under the 2022 Share Repurchase Program, the company repurchased **1.82 million** shares for **$848.4 million** in the 39 weeks ended October 28, 2023[57](index=57&type=chunk)[58](index=58&type=chunk) [Management's Discussion and Analysis (MD&A)](index=19&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q3 sales growth driven by comparable sales, noting margin declines due to higher costs, and strong liquidity despite increased inventory and share repurchases [Overview and Current Trends](index=21&type=section&id=Overview%20and%20Current%20Trends) Ulta Beauty, the largest U.S. specialty beauty retailer, aims to expand market share through strategic priorities, while acknowledging inflation and macroeconomic pressures could impact consumer spending and margins - The company's strategic priorities include: driving growth through an expanded definition of beauty, evolving the omnichannel experience, deepening its community presence, driving operational excellence, cultivating its culture and talent, and expanding its environmental and social impact[65](index=65&type=chunk) - The company believes it has gained market share across all categories, as the beauty market expanded in 2022 and into the first 39 weeks of fiscal 2023[70](index=70&type=chunk) - Management acknowledges that continued pressure from inflation or other macroeconomic conditions could negatively impact consumer spending, gross margin, and SG&A expenses[71](index=71&type=chunk) [Results of Operations](index=25&type=section&id=Results%20of%20Operations) Q3 2023 net sales increased 6.4% to **$2.5 billion**, driven by comparable sales, but gross profit margin declined to **39.9%** due to lower merchandise margin and higher shrink, impacting operating income - Q3 2023 comparable sales increased **4.5%**, driven by a **5.9%** increase in transactions and a **1.4%** decrease in average ticket[84](index=84&type=chunk) - The decrease in Q3 gross profit margin was primarily due to lower merchandise margin, higher inventory shrink, and higher supply chain costs[85](index=85&type=chunk) - Q3 SG&A expenses increased as a percentage of sales to **26.6%** from **25.5%** YoY, driven by higher corporate overhead from strategic investments, store expenses, and marketing[86](index=86&type=chunk) - For the 39 weeks ended Oct 28, 2023, comparable sales increased **7.3%**, driven by an **8.7%** increase in transactions and a **1.4%** decrease in average ticket[91](index=91&type=chunk) [Liquidity and Capital Resources](index=28&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is supported by cash from operations, which decreased to **$358.0 million** due to inventory build, and a credit facility, with **$848.4 million** in share repurchases and **$195.4 million** in borrowings | Cash Flow Summary (in thousands) | 39 Weeks Ended Oct 28, 2023 | 39 Weeks Ended Oct 29, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $358,011 | $573,426 | | Net cash used in investing activities | ($315,900) | ($207,029) | | Net cash used in financing activities | ($658,177) | ($547,329) | - The increase in inventory of **$206.6 million** since October 2022 was driven by support for increased demand (**$76 million**), new stores (**$49 million**), a new fulfillment center (**$43 million**), and new brand launches (**$40 million**)[106](index=106&type=chunk) - Capital expenditures increased to **$311.0 million** for the 39 weeks ended Oct 28, 2023, up from **$204.0 million** in the prior year period[107](index=107&type=chunk) - The company repurchased **1,821,426** shares for a total cost of **$848.4 million** during the 39 weeks ended October 28, 2023[113](index=113&type=chunk) - The company's credit facility provides for maximum revolving loans of up to **$1.0 billion** and matures on March 11, 2025; as of October 28, 2023, **$195.4 million** was outstanding[115](index=115&type=chunk)[116](index=116&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=33&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Primary market risk is interest rate exposure on the variable-rate credit facility, with **$195.4 million** outstanding, where a 1% rate increase would have a minimal **$0.04 million** impact on interest expense - The company is exposed to interest rate risk through its variable-rate credit facility, which had **$195.4 million** in borrowings as of October 28, 2023[121](index=121&type=chunk) - A hypothetical **1%** increase in interest rates would have increased interest expense by approximately **$40,000** for the 39 weeks ended October 28, 2023[122](index=122&type=chunk) [Controls and Procedures](index=34&type=section&id=Item%204.%20Controls%20and%20Procedures) CEO and CFO concluded disclosure controls and procedures were effective as of Oct 28, 2023, with no material changes to internal controls during Q3 - The CEO and CFO concluded that as of October 28, 2023, the company's disclosure controls and procedures were effective[124](index=124&type=chunk) - No changes occurred during Q3 2023 that materially affected, or are reasonably likely to materially affect, the company's internal controls over financial reporting[125](index=125&type=chunk) [Part II - Other Information](index=34&type=section&id=Part%20II%20-%20Other%20Information) [Summary of Part II Items](index=34&type=section&id=Summary%20of%20Part%20II%20Items) This section confirms no material legal proceedings or changes to risk factors, details Q3 share repurchases of **$284.3 million**, and notes no defaults or new trading plans by officers - The company states that there have been no material changes from the risk factors previously disclosed in its Annual Report on Form 10-K[128](index=128&type=chunk) | Period | Total Shares Purchased | Average Price Paid | Approx. Value Remaining (in thousands) | | :--- | :--- | :--- | :--- | | Jul 30 - Aug 26, 2023 | 157,996 | $445.62 | $471,262 | | Aug 27 - Sep 23, 2023 | 294,931 | $416.89 | $349,768 | | Sep 24 - Oct 28, 2023 | 235,191 | $389.25 | $259,417 | | **Q3 2023 Total** | **688,118** | **$414.04** | **$259,417** | - No director or Section 16 officer adopted or terminated a Rule 10b5-1 trading arrangement during the third quarter[130](index=130&type=chunk)

Ulta Beauty, Inc. (NASDAQ:ULTA) Q2 2023 Earnings Conference Call August 24, 2023 4:30 PM ET Company Participants Kiley Rawlins - Vice President, Investor Relations Dave Kimbell - Chief Executive Officer Scott Settersten - Chief Financial Officer, Treasurer and Assistant Secretary Kecia Steelman - Chief Operating Officer Conference Call Participants Ashley Helgans - Jefferies Michael Baker - D.A. Davidson Olivia Tong - Raymond James Anthony Chukumba - Loop Capital Markets Christopher Horvers - JPMorgan Adrie ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended July 29, 2023 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _____________ to _____________ Commission File Number: 001-33764 ULTA BEAUTY, INC. (Exact name of Registrant as specified in its charter) Delaware (State ...

Ulta Beauty, Inc. (NASDAQ:ULTA) Q1 2023 Earnings Conference Call May 25, 2023 4:30 PM ET Company Participants Kiley Rawlins - VP, IR Dave Kimbell - CEO Scott Settersten - CFO Kecia Steelman - COO Conference Call Participants Simeon Siegel - BMO Capital Markets Rupesh Parikh - Oppenheimer Krisztina Katai - Deutsche Bank Ike Boruchow - Wells Fargo Korinne Wolfmeyer - Piper Sandler Olivia Tong - Raymond James Michael Lasser - UBS Susan Anderson - Canaccord Simeon Gutman - Morgan Stanley Operator Good afternoon ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended April 29, 2023 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from _____________ to _____________ Commission File Number: 001-33764 ULTA BEAUTY, INC. (Exact name of Registrant as specified in its charter) Delaware (State ...

Industry Overview - In 2022, the U.S. beauty products and salon services industry represented approximately $172 billion in sales, with Ulta Beauty holding a 9% share of the $104 billion beauty products market[33]. Loyalty Program - Ulta Beauty's loyalty program, Ultamate Rewards, has over 40.2 million active members, contributing to more than 95% of total sales[28]. - In fiscal 2022, 76% of loyalty members transacted solely in physical stores, highlighting the preference for in-store shopping[36]. - In fiscal 2022, 17% of loyalty members shopped both in stores and through digital platforms, with omnichannel guests historically spending nearly three times as much as retail-only guests[42]. - The Ultamate Rewards loyalty program has shown that loyalty members spend more per visit compared to non-members, enhancing customer retention[62]. Store Expansion - The company opened 47 new stores in fiscal 2022, bringing the total to 1,355 stores, with plans to expand to between 1,500 to 1,700 stores in the long term[38]. - The average investment required to open a new Ulta Beauty store is approximately $1.7 million[39]. - Ulta Beauty at Target is available in over 350 locations, with plans to expand to up to 800 locations, offering a curated assortment of more than 60 brands[44]. Product Offering - The company offers more than 25,000 products from over 600 beauty brands, including its private label, the Ulta Beauty Collection[45]. - The Ulta Beauty Collection and permanent exclusive products accounted for approximately 4% of total net sales in fiscal 2022, while both permanent and temporary exclusive products represented about 10%[51]. - For the fiscal year ended January 28, 2023, cosmetics contributed 42% to net sales, haircare products 21%, skincare 17%, fragrance and bath 14%, and services and accessories each 3%[53]. - The top ten brand partners represented 56% of total net sales in fiscal 2022, highlighting strong relationships with major brands[58]. Sustainability Initiatives - The Conscious Beauty initiative launched in fiscal 2020 certifies brands across four pillars: Clean Ingredients, Cruelty Free, Vegan, and Sustainable Packaging[46]. - As of January 28, 2023, more than 300 brands participated in the Conscious Beauty program, with over 50% certified in multiple pillars[48]. - By 2025, Ulta Beauty aims for 50% of packaging from products sold to be recyclable, refillable, or made from recycled materials[59]. - The company aims to reduce its carbon footprint through investments in renewable energy credits and collaboration with brand partners[86]. Workforce and Diversity - As of January 28, 2023, Ulta Beauty employed approximately 53,000 associates, with 34,500 part-time and 18,500 full-time[71]. - The board of directors consists of 55% women and 36% people of color, reflecting the company's commitment to diversity and inclusion[76]. - The company emphasizes the importance of associate engagement through regular surveys and roundtable sessions to monitor satisfaction levels[78]. - The company is committed to training and development, focusing on internal promotions to build a knowledgeable workforce for store expansion[79]. - Health care coverage is provided for associates working over 30 hours a week, along with a 401(k) plan featuring a 4% company match[81]. - The company maintains a suite of benefits for associates, including tuition reimbursement and discounts on retail products[90]. Operational Efficiency - The company has initiated a multi-year upgrade of its enterprise resource planning platform to enhance operational efficiency[89]. - The company is exposed to interest rate risks primarily through borrowings under its credit facility, with no outstanding borrowings as of January 28, 2023[270]. - The company actively monitors cybersecurity and data privacy, with the Board of Directors overseeing these efforts[88]. Market Trends - Approximately 65% of consumers view the beauty category as significantly connected to wellness, leading to the launch of The Wellness Shop[49]. - In fiscal 2022, the assortment of Black-owned and Black-founded brands increased by 34%, adding 12 new brands[50]. - Seasonal fluctuations significantly impact net sales and profits, particularly during the fourth quarter due to the holiday season[99]. Associate Well-being - The company offers mental health resources and financial wellness planning as part of its commitment to associate well-being[84].

Ulta Beauty, Inc. (NASDAQ:ULTA) Q4 2022 Results Conference Call March 9, 2023 4:30 PM ET Company Participants Kiley Rawlins - VP, IR Dave Kimbell - CEO Scott Settersten - CFO Kecia Steelman - COO Conference Call Participants Kate McShane - Goldman Sachs Anthony Chukumba - Loop Capital Markets Christopher Horvers - JP Morgan Adrienne Yih - Barclays Kelly Crago - Citi Simeon Gutman - Morgan Stanley Dana Telsey - Telsey Group Mark Altschwager - Baird Operator Good afternoon, and welcome to Ulta Beauty Conf ...