Ulta Beauty Reports Mixed Q4 Results and Projects Slower Sales Growth for Fiscal 2026
ULTA sits 87% above its 52-week low of $309.01 on elevated volume (2.6× avg).
Summary
Ulta Beauty announced mixed fourth-quarter results with strong comparable sales but declining EPS, and provided fiscal 2026 guidance projecting a significant slowdown in sales growth.
Key Events · Earnings and Guidance · ULTA
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Q4 Fiscal 2025 Performance
Net sales increased 11.8% to $3.9 billion, with comparable sales up 5.8%. However, diluted EPS decreased to $8.01 from $8.46 in the prior year quarter, reflecting margin pressure.
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Fiscal Year 2025 Results
Full-year net sales grew 9.7% to $12.4 billion, and comparable sales increased 5.4%. Diluted EPS for the full year was $25.64, a modest 1.2% increase.
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Fiscal Year 2026 Guidance
The company projects net sales growth of 6-7% and comparable sales growth of 2.5-3.5% for fiscal 2026, indicating a notable slowdown from fiscal 2025. Diluted EPS is guided to be $28.05-$28.55, representing 9.4-11.4% growth.
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Share Repurchase Program
Ulta Beauty repurchased $890.5 million of common stock in fiscal 2025, with approximately $1.8 billion remaining under its current $3.0 billion authorization.
Analysis · ULTA · Trade & Services
Ulta Beauty reported strong comparable sales growth of 5.8% for the fourth quarter of fiscal 2025, exceeding prior year performance. However, diluted EPS for the quarter declined to $8.01 from $8.46 in the prior year, indicating margin pressures. The company's fiscal year 2026 guidance projects a notable slowdown in net sales growth to 6-7% and comparable sales growth to 2.5-3.5%, compared to 9.7% and 5.4% respectively in fiscal 2025. While diluted EPS is expected to grow 9.4-11.4% in fiscal 2026, the deceleration in top-line growth is a key concern for investors. The company also continued its share repurchase program, buying back $890.5 million in fiscal 2025, with $1.8 billion remaining under authorization.
At the time of this filing, ULTA was trading at $579.00 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $27.7B. The 52-week trading range was $309.01 to $714.97. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.