Stock Analysis on Net
Stock Analysis on Net

Ulta Beauty Inc. (NASDAQ:ULTA)

This company has been moved to the archive! The financial data has not been updated since August 24, 2023.

Common-Size Income Statement 
Quarterly Data

Ulta Beauty Inc., common-size consolidated income statement (quarterly data)

Microsoft Excel
3 months ended: Jul 29, 2023 Apr 29, 2023 Jan 28, 2023 Oct 29, 2022 Jul 30, 2022 Apr 30, 2022 Jan 29, 2022 Oct 30, 2021 Jul 31, 2021 May 1, 2021 Jan 30, 2021 Oct 31, 2020 Aug 1, 2020 May 2, 2020 Feb 1, 2020 Nov 2, 2019 Aug 3, 2019 May 4, 2019 Feb 2, 2019 Nov 3, 2018 Aug 4, 2018 May 5, 2018 Feb 3, 2018 Oct 28, 2017 Jul 29, 2017 Apr 29, 2017
Net sales 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
Cost of sales -60.72 -59.96 -62.42 -58.83 -59.59 -59.89 -62.36 -60.44 -59.44 -61.12 -64.93 -64.85 -73.21 -74.12 -65.01 -62.95 -63.64 -63.00 -65.13 -63.32 -64.02 -63.68 -66.02 -63.26 -63.61 -63.80
Gross profit 39.28% 40.04% 37.58% 41.17% 40.41% 40.11% 37.64% 39.56% 40.56% 38.88% 35.07% 35.15% 26.79% 25.88% 34.99% 37.05% 36.36% 37.00% 34.87% 36.68% 35.98% 36.32% 33.98% 36.74% 36.39% 36.20%
Selling, general and administrative expenses -23.74 -23.24 -23.64 -25.53 -23.27 -21.36 -23.81 -25.22 -23.60 -22.90 -23.38 -26.83 -22.12 -32.47 -22.36 -26.70 -23.57 -23.13 -21.52 -25.35 -22.65 -22.39 -20.63 -23.90 -21.97 -21.56
Impairment, restructuring and other costs 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -1.38 -1.52 -3.32 -1.67 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Pre-opening expenses -0.05 -0.02 -0.07 -0.16 -0.10 -0.10 -0.06 -0.09 -0.07 -0.24 -0.10 -0.27 -0.32 -0.40 -0.16 -0.38 -0.30 -0.24 -0.11 -0.49 -0.30 -0.34 -0.22 -0.73 -0.47 -0.32
Operating income (loss) 15.48% 16.78% 13.87% 15.47% 17.04% 18.66% 13.76% 14.24% 16.89% 15.75% 10.20% 6.53% 1.04% -8.65% 12.48% 9.97% 12.48% 13.63% 13.24% 10.85% 13.02% 13.59% 13.13% 12.12% 13.94% 14.33%
Interest income (expense), net 0.18 0.28 0.14 0.04 0.00 -0.02 -0.02 -0.02 -0.02 -0.02 -0.02 -0.09 -0.21 -0.11 0.02 0.05 0.10 0.12 0.06 0.08 0.08 0.09 0.02 0.02 0.04 0.03
Income (loss) before income taxes 15.66% 17.06% 14.01% 15.51% 17.04% 18.64% 13.75% 14.22% 16.87% 15.73% 10.18% 6.44% 0.83% -8.76% 12.50% 10.03% 12.58% 13.75% 13.30% 10.93% 13.10% 13.68% 13.15% 12.14% 13.98% 14.35%
Income tax (expense) benefit -3.79 -3.89 -3.45 -3.77 -4.17 -4.51 -3.14 -3.43 -4.12 -3.85 -2.38 -1.62 -0.17 2.07 -2.84 -2.31 -2.91 -2.72 -3.19 -2.52 -3.13 -3.03 -2.41 -4.35 -5.13 -4.60
Net income (loss) 11.86% 13.17% 10.56% 11.74% 12.87% 14.13% 10.60% 10.79% 12.75% 11.88% 7.80% 4.82% 0.66% -6.69% 9.66% 7.71% 9.68% 11.03% 10.10% 8.41% 9.97% 10.65% 10.74% 7.80% 8.85% 9.75%

Based on: 10-Q (reporting date: 2023-07-29), 10-Q (reporting date: 2023-04-29), 10-K (reporting date: 2023-01-28), 10-Q (reporting date: 2022-10-29), 10-Q (reporting date: 2022-07-30), 10-Q (reporting date: 2022-04-30), 10-K (reporting date: 2022-01-29), 10-Q (reporting date: 2021-10-30), 10-Q (reporting date: 2021-07-31), 10-Q (reporting date: 2021-05-01), 10-K (reporting date: 2021-01-30), 10-Q (reporting date: 2020-10-31), 10-Q (reporting date: 2020-08-01), 10-Q (reporting date: 2020-05-02), 10-K (reporting date: 2020-02-01), 10-Q (reporting date: 2019-11-02), 10-Q (reporting date: 2019-08-03), 10-Q (reporting date: 2019-05-04), 10-K (reporting date: 2019-02-02), 10-Q (reporting date: 2018-11-03), 10-Q (reporting date: 2018-08-04), 10-Q (reporting date: 2018-05-05), 10-K (reporting date: 2018-02-03), 10-Q (reporting date: 2017-10-28), 10-Q (reporting date: 2017-07-29), 10-Q (reporting date: 2017-04-29).

Cost of Sales Trend
The cost of sales as a percentage of net sales fluctuated between approximately -63.8% and -66.02% through early 2018 and remained mostly within the low 60s percent range in subsequent periods. A notable spike occurred in early 2020, reaching -74.12%, likely indicating increased costs or inventory valuation adjustments. After this peak, the cost of sales steadily improved, declining to the high 50s percent range by mid-2023, signaling enhanced cost management or favorable pricing conditions.
Gross Profit Trend
Gross profit margins generally moved inversely to the cost of sales, ranging mostly in the mid-30% territory prior to 2020. Following the increase in cost of sales in early 2020, gross profit dropped sharply to as low as 25.88%. Thereafter, gross profit demonstrated a recovery trend, reaching around 40% in several quarters during 2021 and 2022, before slightly declining but remaining near 39%-40% by the latest period. This suggests an overall improvement in underlying profitability after the 2020 disruption.
Selling, General and Administrative Expenses (SG&A)
SG&A expenses as a percentage of net sales showed variability across quarters, generally moving between roughly -21.5% and -26.7%. A notable outlier period occurred in early 2020 with a sharp increase to -32.47%, possibly reflecting extraordinary expenses or restructuring costs related to the pandemic environment. In later periods, SG&A costs moderated toward a typical range in the low to mid-20% levels, indicating a return to normalized operational expenditure.
Impairment, Restructuring and Other Costs
These costs appeared starting in 2020 with negative values ranging from approximately -1.38% to -3.32% of net sales, highlighting significant non-operational charges. This timing aligns with the increased SG&A and diminished operating income observed during that period, suggesting strategic or pandemic-related restructuring impacts.
Pre-Opening Expenses
Pre-opening expenses remained relatively low and stable throughout the periods, generally fluctuating around -0.1% to -0.7% of net sales without discernible trends or spikes, indicating consistent investment in new store openings or related initiatives.
Operating Income (Loss)
Operating income exhibited strong performance before 2020, ranging mostly above 10% of net sales, peaking near 14%. During early 2020, operating income turned negative to -8.65%, reflecting the sharp impact seen across cost and expense lines. A rebound followed, with operating income rising above 15% in several quarters of 2021 and 2022, signaling operational recovery and improved profitability in the aftermath of earlier challenges.
Interest Income (Expense), Net
Net interest income was modest and positive in most periods prior to 2020, then briefly turned negative around early 2020. Subsequently, it generally remained at low levels, occasionally recovering to positive percentages in 2023, though it constitutes a minor component relative to other income statement items.
Income Before Income Taxes
Income before taxes closely mirrored operating income trends, affirming minimal impact from interest expense fluctuations. It maintained double-digit percentages pre-2020, sharply declined to negative territory during the early 2020 quarter, then similarly rebounded above 15% in various subsequent quarters.
Income Tax Expense (Benefit)
Income tax expense generally ranged between -2% and -5% of net sales, showing a reduction in the tax burden in early 2020 with a positive 2.07%, consistent with a loss before taxes that could trigger tax benefits. Post-2020, the tax rate normalized around -3% to -4%, corresponding with the recovery in profitability.
Net Income (Loss)
Net income reflected overall profitability trends, consistently positive and often exceeding 9% of net sales before 2020, with a nadir at -6.69% during the early 2020 quarter. Following this trough, net income steadily improved, exceeding 14% in some 2022 quarters. The overall pattern indicates resilience and effective recovery after a period of significant financial stress.