Ulta Beauty fell 8.2% in after-hours trade on Thursday (Friday AEDT) after the cosmetics retailer reported weaker-than-expected quarterly earnings.
For the fourth quarter of 2025, the beauty giant reported earnings per share of US$8.01, compared to $8.46 the same time last year and below Wall Street expectations of $8.03.
Earnings per share for the full fiscal year were $25.64. This is an increase from the previous year's $25.34.
Revenue, on the other hand, rose 11.8% to $3.9 billion and surpassed expectations of $3.8 billion.
For the full fiscal year, Ulta’s revenue rose 9.7% to $12.4 billion.
The company attributed the revenue increase to the acquisition of Space NK and sales from new stores.
“The Ulta Beauty team closed the year with momentum, delivering strong fourth quarter and full-year sales and continued market share gains,” Ulta president and CEO Kecia Steelman said.
“Our better-than-planned financial performance reflects our continued focus on serving our guests and consistently delivering great experiences through better execution, compelling newness, more seamless and convenient experiences, and bold new merchandising and marketing strategies.”
For fiscal 2026, the company expects revenues to grow 6% to 7% and diluted earnings per share to be within the range of $28.05 to $28.55.
