Ulta Beauty's Q4 Earnings Beat Expectations as 2025 Guidance Falls Short

The retailer reported strong holiday-quarter results but anticipates a challenging year ahead with cautious growth projections and strategic investments under its new CEO.

Ulta Beauty posted Q4 earnings per share of $8.46, surpassing analyst estimates of $7.14, with net sales of $3.49 billion slightly exceeding expectations.
Comparable sales rose 1.5% during the quarter, driven by a 3% increase in average ticket size, despite a 1.4% decline in transactions.
The company expects 2025 net sales between $11.5 billion and $11.6 billion and earnings per share of $22.50 to $22.90, both below Wall Street forecasts.
CEO Kecia Steelman, in her first earnings call since taking over, highlighted plans to expand internationally, launch a curated eCommerce marketplace, and optimize operations as part of the 'Ulta Beauty Unleashed' strategy.
Shares rose 7% following the earnings report, though the stock remains down nearly 45% over the past year due to tightening consumer spending and increased competition.