Ulta Beauty Announces First Quarter Fiscal 2020 Results
For the First Quarter of Fiscal 2020: *Net sales decreased 32.7% to $1,173.2 million compared to $1,743.0 million in the first quarter of fiscal 2019 due to the impact of COVID-19. *Comparable sales (sales for stores open at least 14 months, including stores temporarily closed due to COVID-19, and e-commerce sales) decreased 35.3% compared to an increase of 7.0% in the first quarter of fiscal 2019. The 35.3% comparable sales decrease was driven by a decline of 38.6% in transactions which was partially offset by a 3.3% increase in average ticket. *Gross profit decreased to $303.6 million compared to $644.8 million in the first quarter of fiscal 2019. As a percentage of net sales, gross profit decreased to 25.9% compared to 37.0% in the first quarter of fiscal 2019, primarily due to deleverage of fixed store costs, pressure from channel mix shifts, and deleverage of salon expenses due to lower sales. These pressures were partially offset by lower promotional activity. *Operating loss was $101.5 million, or 8.7% of net sales, compared to operating income of $237.5 million, or 13.6% of net sales, in the first quarter of fiscal 2019. *Net loss was $78.5 million compared to net income of $192.2 million in the first quarter of fiscal 2019.