Tariffs have driven some retailers to cut their guidance for the current fiscal year, but Ulta Beauty has raised its guidance slightly after posting higher-than-expected comparable sales and income for the first quarter.
Ulta now expects net sales in the $11.5 billion to $11.7 billion range as opposed to the earlier reading of $11.5 billion to $11.6 billion, with diluted earnings per share of $22.65 to $23.20 versus the previously stated $22.50 to $22.90, the company noted.
Net income in the quarter was $305.1 million, or $6.70 per diluted share, versus $313.1 million, or $6.47 per diluted share, in the year-prior quarter.
Analysts polled by Yahoo Finance on average expected earnings per diluted share of $5.80 and revenues of $2.79 billion.
Net sales were $2.85 billion versus $2.73 billion in the year-before quarter with comparable sales up 2.9%, Ulta stated. Operating income was $401.8 million versus $400.9 million in the year-earlier period.
Kecia Steelman, Ulta president and CEO, said that the company has a tariff mitigation plan in place, noting its exposure to duties as they have been introduced is very limited.
“Fiscal 2025 is off to an encouraging start with stronger-than-expected performance,” Steelman said. “Our Ulta Beauty Unleashed plan is resonating with guests, energizing our team, and fueling growth. The operating environment is fluid, and our outlook reflects uncertainty around how consumer demand could evolve. We believe our model uniquely positions us to win, and we will continue to focus on serving our guests while staying agile as we move through the year.”
