The U.S. beauty retailer raised its annual sales and profit forecast after reporting “better-than-expected profitability” in the second quarter of fiscal 2025, which ended on August 2.
Comparable sales [1] increased 6.7% in Q2 2025, compared to a decrease of 1.2%, during the same period last year. Growth was driven by a 3.7% increase in transactions and a 2.9% increase in average ticket. The acquisition of Space NK in the UK and new store contribution further boosted the company’s revenue with net sales increasing by 9.3% to $2.8 billion.
Gross profit increased 11.6% to $1.1 billion compared to $978.2 million over the same in 2024.
“Outstanding top line performance, fueled by growth across all major categories, drove market share growth and better-than-expected profitability,” said Kecia Steelman, president and chief executive officer. “I am proud of the Ulta Beautyteam’s collective efforts to deliver great guest experiences in stores and across our digital channels.”
Considering the first half of 2025 (26 weeks ended August 2, 2025), sales grew 4.7% compared to 0.2% last year.
“Our outlook for the remainder of the year reflects both the strength of our year-to-date performance and our caution around how consumer demand may evolve in the second half of the year. While near-term uncertainty persists, we’re staying focused on what we can control and on executing with excellence to deliver our uniquely Ulta Beauty experience,” Steelman continued.
Ulta Beauty now expects annual net sales to be in the range of $12 billion to $12.1 billion, compared with its prior forecast of $11.5 billion to $11.7 billion.
During the first six months of fiscal 2025, the Ulta Beauty opened 30 new stores, relocated four stores, remodeled nine stores, and closed two stores. At the end of the second quarter of fiscal 2025, the company operated 1,473 Ulta Beauty stores totaling 15.4 million square feet across the U.S., excluding the 83 stores in the U.K. and Ireland operated by Space NK.
