Reverse beauty After reporting an increase in all major categories and meeting the quarterly sales expectations of Wall Street, its entire year extended on Thursday.
The beauty retailer said that it expects net sales between $ 12 billion and $ 12.1 billion, which exceeds $ 11.5 billion and $ 11.7 billion from its previous range, represents a net sales of $ 11.3 billion from the total sales in the previous financial year. It expects an income per share per share per share per share, from its previous range to $ 22.65 to $ 23.20.
It expects comparable sales, a metric that takes out the factors of the store and the one -time factors such as bands, to increase between 2.5%to 3.5%, above 1.5%estimates. The company was Increased your annual profit forecast And the upper end of its entire year sales range in May.
In the company’s news release, CEO Kesia Steelman said his approach to the year “shows our caution about our year-on-year performance and how the consumer demand can develop in the second half of the year.”
After the 52-week hit during the regular session, the shares of the reverse increased by about 3% in extended trading.
According to LSEG, what the company has given for the second quarter of the financial year compared to Wall Street:
- earnings per share: $ 5.78. It was not immediately clear that if it was compared to $ 5.08 expected by analysts.
- Income: $ 2.79 billion vs $ 2.67 billion expected
In a three-month period ending on August 2, the reverse income of reverse increased to $ 260.88 million, or $ 5.78 per share, $ 252.6 million, or $ 5.30 per share, increased to $ 5.78 per share in the year-old period. Revenue increased from $ 2.55 billion In the quarter of the year.
Beauty remains a warm category for consumers, even they pull back or see their expenses in other discretionary categories. Yet it is a difficult competition for reverse beauty as special players LVMH-Pora, like large-box retailers Wal-mart And like a department store Kohal All have increased their beauty businesses.
For investors, tariffs are a closely seen challenge for retailers. Compared to other retailers, upside down is not directly exposed. The company had only 1% merchandise direct import of the last financial year, the then-CFO Paula Oybo said the company’s earnings call in May. He said that most of the reverse contact for high duties at that time was modest, such as store fixtures and supply.
Even at the economic time, Steelman said that beauty and welfare fare better because they “provide a unique sense of rest and escape.”
He said, “Our insight suggests that consumers manage their day-to-day expenses and are vigilant about the trends of pricing in response to tariffs,” she said on the earnings call. “At the same time, beauty enthusiasts tell us that they are giving priority to their beauty and are firmly connected within the category.”
According to the Strikut, in the second quarter, comparable sales of the reverse increased in 6.7% year, more than the expectations of double analysts.
Customers made more tour and spent more when they used to shop in reverse website and its stores compared to the quarter of the year. The transaction increased by 3.7% and an average ticket increased by 2.9%.
Ultuaras added new brands and products, who shopped in the quarters, including Sol de Janeiro, Ananya Korean beauty brand Peach & Lily and Shakira’s hair care brand more products, Steelman said on the company’s earnings call.
In addition, he said, it is trying to reach its existing and potential customers in new ways. It had an activation at the Kachela and Lolpluja Music Festival and was the official beauty retail partner of Beyoncé’s Cowboy Carter Tour.
In the rising number of reverse stores, it is dedicating the location to wellness related products, such as supplements. Steelman said it has opened a wellness shop in about 370 stores and planned to store them more in this quarter.
Along with attracting more customers in the US, the reverse has seen for international development. It was announced in July Acquired Space N.K.From Manzanita Capital, a British beauty retailer. The deal allows the reverse to enter a new international market, as space has 83 stores in NK’s United Kingdom and Ireland.
Ultuara did not disclose the value of the acquisition, saying that it funds the transaction with the current credit facility of hand and upside down on cash and it will not be physical for financial results for the financial year.
For ULTA, Space NK introduced a less expensive way to enter a new market, said Steelman said. He said that its business, which will continue to function independently, can offer the learning that can shape the reverse strategy. Compared to the reverse, its shops are smaller, located on the main roads in cities and mainly sells beauty goods.
The company is also expanding in other international markets. Ultuara recently marked the soft opening of its first reverse store in Mexico and plans to open their first store in the Middle East later this year, Steelman said on the company’s earnings call on Thursday.
On the contrary, a third-party market is also starting, which Steelman said that the third quarter will be launched. Increasing number of retailers, With the best bye, Marketplaces are launching a way to expand the mixture of merchandise that they carry without the need for more store shelf space or without buying their own inventory.
At the same time, Ultar announced the end of one of his efforts to expand the recent access. it Tie with TargetWhich was Mini reverse shops opened More than 600 large box stores. The licensing deal, which will end in August 2026, allowed the target to sell makeup, skincare, hair care products and small and rotating classifications of more, which is done by full reverse stores. Lakshya took those items on its website, and it staffed shops.
For the reverse, however, the target deal contributed little to its finance, said Steelman said. Royalty revenue from the last financial year deal “was below 1% of the net sales,” he said on the company’s earnings call.
On the contrary, we are looking for a new CFO. The company’s former CFO, Oyibo, left upside down in the role in the end of June nearly a year later. Ultuara has not yet announced its permanent successor.
