The Ulta Beauty chain continued to record strong growth, with sales in its year-ending quarter rising rapidly despite a tough market.
For the quarter, sales jumped up 24.6% to $1.58bn, on like-for-like growth of 16.6%. This marked the eighth straight quarter that LFL sales have grown by double digits. Meanwhile, net profit grew by 30.1% to $140.2m, while operating profit was up 32.3% to $224.2m.
Ulta said results were helped by a 5.7% rise in average ticket spend and a 10.9% rise in the number of transactions. Sales at its Salons rose by 15.2%, while online sales soared by 63.4%.
The company also announced a deal with the MAC brand, which will now be stocked by Ulta. MAC products will be available from Ulta’s website from May, and from 25 physical outlets from June, growing to more than 100 outlets by the end of the year.
The MAC concessions will occupy around 200 sq. ft. per Ulta outlets, which will stock around 600 SKUs (compared to the 1,200 SKUs it stocks at department stores). MAC said the products being stocked at Ulta were picked after close collaboration between the two companies.