Ulta Beauty Reports Q4, Fiscal 2025 Results and Fiscal 2026 Guidance

Fiscal 2025 and Q4 performance For fiscal 2025, net sales rose 9.7% to $12.39 billion, with comparable sales up 5.4%, driven by a 3.3% increase in average ticket and a 2.0% increase in transactions.

Gross profit climbed 10.4% to $4.85 billion, and gross margin improved to 39.1% (from 38.8%) on lower inventory shrink and better merchandise margin, partly offset by channel mix and some deleverage in fixed store costs and other revenue.

Operating income reached $1.54 billion, or 12.4% of net sales, down from 13.9% a year earlier, while diluted EPS inched up 1.2% to $25.64. In the fourth quarter alone, net sales increased 11.8% to $3.90 billion, and comparable sales rose 5.8%, with ticket prices up 4.2% and transactions up 1.6%.

Q4 gross margin slipped slightly to 38.1% (from 38.2%), and operating margin declined to 12.2% (from 14.8%), reflecting higher SG&A and mix headwinds. Diluted EPS for the quarter came in at $8.01, below the prior year’s $8.46 despite the double digit sales growth…