Ulta Beauty Inc (NASDAQ:ULTA) reported first quarter results that exceeded Wall Street expectations, but shares fell nearly 6% as investors focused on a modest increase to the company’s full-year earnings guidance.
Ulta raised its fiscal 2026 earnings guidance to a range of $28.36 to $28.80 per share, up from its prior forecast of $28.05 to $28.55
However, the midpoint of the new range, $28.58, was only slightly above the previous midpoint and roughly in line with analysts’ expectations. The company left its forecasts for net sales growth of 6% to 7% and comparable sales growth of 2.5% to 3.5% unchanged. Ulta slightly increased its operating income growth outlook to 6.5% to 9%, compared with its previous projection of 6% to 9%.
Capital expenditures are still expected to be between $400 million and $450 million for the fiscal year. For the quarter ended May 2, Ulta reported earnings per share of $7.74, up 15.5% from a year earlier and ahead of analysts’ expectations of $6.87. Revenue rose 11.1% year-over-year to $3.16 billion, topping the consensus estimate of $3.11 billion.