11.30.12
Ulta Beauty posted financial results for the third quarter and first nine months ended Oct. 27, 2012. For the Q3, net sales increased 22.4% to $505.6 million. Comparable store sales (sales for stores open at least 14 months) increased 8.4%, while operating income increased 38.6% to $61.3 million. Net income increased 42.5% to $38.2 million.
Chuck Rubin, president and chief executive officer, stated, “Ulta drove better than expected sales growth and operating margin improvement to deliver outstanding performance in the third quarter. We gained market share across all of our major product categories through our disciplined focus on the five components of our multi-year growth strategy: accelerating store growth, introducing new products, services and brands, enhancing our loyalty program, broadening our marketing reach, and increasing our digital focus including Ulta.com.
“Ulta’s third quarter underscores our team’s strength in execution: we opened 49 stores, increasing Ulta’s store base by 10% during a single quarter, and we completed most of the previously announced prestige brand boutiques. We ended the quarter with Lancôme boutiques in 79 of our stores and Clinique boutiques in 42 stores. Looking ahead to next year, based on the high quality of available real estate and our team’s proven ability to execute, we expect to exceed our long-term plans for 15% to 20% annual store growth and currently plan to open approximately 125 stores in 2013, representing 22% square footage growth. We are confident that Ulta will continue to grow its position as a beauty and trend authority and drive strong sales and profit growth in the quarters and years to come.”
For the first nine months, net sales increased 22.4% to $1.5 billion.
Comparable store sales (sales for stores open at least 14 months) increased 9.3%, while operating income increased 43.3% to $176.2 million. Net income increased 46.0% to $108.0 million.
For the fourth quarter of fiscal 2012, the company currently expects net sales in the range of $742 million to $754 million.