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Ulta Beauty Inc. (ULTA+1.37%) has filed its annual report on Form 10-K filing for the fiscal year ended February 1, 2025.
The report indicates that Ulta Beauty operates 1,445 stores across the United States, offering a wide range of beauty products and services. The company is the largest specialty beauty retailer in the country.
For fiscal 2024, Ulta Beauty reported net sales of $11.3 billion, a slight increase from the previous year's $11.2 billion. Comparable sales increased by 0.7%, driven by a 1.1% increase in average ticket, offset by a 0.4% decrease in transactions.
Gross profit for the year was $4.39 billion, with a gross margin of 38.8%, slightly down from 39.1% in the prior year. The decrease in margin was attributed to higher promotional activity and increased store fixed costs.
Selling, general, and administrative expenses rose to $2.8 billion, representing 24.9% of net sales, up from 24.0% in the previous year. This increase was due to higher store payroll and benefits and corporate overhead costs.
Net income for fiscal 2024 was $1.2 billion, down from $1.3 billion in fiscal 2023. The decline was primarily due to increased SG&A expenses and pre-opening expenses.
Ulta Beauty's cash and cash equivalents at the end of the fiscal year were $703.2 million, down from $766.6 million the previous year. The company did not have any outstanding borrowings under its credit facility as of February 1, 2025.
The company continues to focus on expanding its store footprint and enhancing its digital capabilities. Ulta Beauty plans to open more stores and invest in supply chain optimization and information technology systems.
Ulta Beauty's loyalty program, Ulta Beauty Rewards, remains a significant driver of sales, with over 95% of total sales coming from loyalty members.
The company faces risks related to macroeconomic conditions, changes in consumer preferences, and competition from other retailers and e-commerce platforms.
Ulta Beauty's Board of Directors authorized a new share repurchase program in October 2024, allowing the company to repurchase up to $3.0 billion of its common stock.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Ulta Beauty Inc. annual 10-K report dated March 27, 2025. To report an error, please email earnings@qz.com.