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    Breaking News

    Ulta Beauty Shares Q2 Results

    Sales are improving but will take time to return to pre-COVID levels, says CEO.

    Ulta Beauty Shares Q2 Results
    By the end of June, more than 90% of stores were open for retail, and by July 20, 2020, the full fleet of Ulta Beauty stores were operational.
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    Beauty Packaging Staff08.28.20
    Ulta Beauty Inc. has announced financial results for the second quarter and first six months ended August 1, 2020.
     
    For the second quarter of fiscal 2020, net sales decreased 26.3% to $1.2 billion compared to $1.7 billion in the second quarter of the previous year. Net sales for the first six months of fiscal 2020 decreased 29.6% to $2.4 billion compared to $3.4 billion in the first half of 2019.
     
    “I remain thankful and proud of our teams for their response and leadership throughout this challenging time and for their grace, agility and commitment to serving our guests,” said Mary Dillon, chief executive officer. “While the pandemic continues to impact our business, we are encouraged by improving trends. Comparable sales trends improved significantly throughout the quarter, from decreasing 37% in early May, as we began reopening stores, to decreasing 10% in July, when most of our stores were re-opened. Notably, sales trends have continued to improve, with comparable sales down in the mid-single digit range for the first three weeks of August.”
     
    The company says it is encouraged by the recent improvement in sales trends, but predicts that it will take time to fully return the pre-COVID levels.
     
    “Given continued disruption from the pandemic, new operational protocols, and near-term employment and economic uncertainty, we expect sales will continue to be challenged for the rest of the year,” continued Dillon. “Longer-term, we are confident that Beauty will recover and thrive, given continued strong engagement and emotional connection with the category.”
     
    The company withdrew its guidance for fiscal 2020 on March 17, 2020 and is not providing an earnings outlook at this time.
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