Ulta continued its market momentum in the third quarter, with income, sales and comps showing strong growth.
In the third quarter ended October 29, Ulta Beauty recorded net income of $87.6 million, or $1.40 per diluted share, versus $71.1 million, or $1.11 per diluted share, in the period a year previous. Earnings per diluted share beat a $1.37 analyst average estimate published by MarketBeat.
The company posted comparable sales growth of 16.7% versus the year-prior quarter including e-commerce. Retail comps, generated by store merchandise and salon operations, increased 14.3%, with salon comps up 10.3%.
Net sales advanced 24.2% to $1.13 billion from $910.7 million versus the 2015 quarter. Operating income gained 26.1% to $139.7 million in the period year over year. E-commerce sales increased 59.1% to $73.6 million versus the 2015 quarter, representing 240 basis points of the total company comp increase.
“Ulta Beauty’s top line accelerated in the third quarter, driving record sales and earnings performance,” said Mary Dillon, Ulta CEO. “Our associates continue to execute against our growth strategies, resulting in success across several areas: new brand acquisition, increased Ulta Beauty brand awareness, rapid growth in our loyalty program, improving supply chain performance and robust e-commerce growth.”
During the third quarter, the company opened 42 stores, ending the third quarter with 949 stores.
