Ulta Magnificence has raised its full-year gross sales and earnings steerage on Thursday, August 27, after delivering stronger-than-expected second-quarter outcomes, underscoring the resilience of the U.S. magnificence market regardless of persistent financial uncertainty.
For the second quarter of fiscal 2026, ended August 1, the U.S. magnificence retailer reported web gross sales of US$3.04 billion, up 8.9% yr on yr, whereas comparable gross sales elevated 3.8%, outperforming market expectations.
The efficiency was pushed by stronger comparable-store gross sales, the contribution of acquired British magnificence retailer Area NK, and continued retailer enlargement, with 13 new shops opened throughout the quarter.
Perfume stays a key development engine
CEO Kecia Steelman attributed the outcomes to the corporate’s ongoing investments in advertising, product innovation, and buyer engagement. She highlighted broad-based client spending throughout demographic teams, with status magnificence — and perfume specifically — persevering with to draw customers regardless of inflationary pressures.
Ulta additionally pointed to the rising significance of its unique model portfolio, which now accounts for practically half of complete gross sales. Unique celebrity-led launches and expanded digital initiatives, together with its presence on TikTok Store, have helped strengthen engagement with youthful customers, notably Gen Z.
The retailer famous that status magnificence gross sales benefited from a balanced mixture of site visitors development and better common spending, supported by product innovation and an more and more omnichannel procuring expertise.
Stronger outlook for 2026
Following the stronger second quarter, Ulta elevated its full-year steerage.
The corporate now expects web gross sales development of 6.7% to 7.2% (beforehand 6.0% to 7.0%), and comparable gross sales development of three.2% to three.7% (beforehand 2.5% to three.5%).
Ulta Magnificence additionally reaffirmed plans to open 60 new shops, relocate seven shops, and transform roughly 40 areas throughout fiscal 2026.
