Ulta Announces Net Income Increase of 64.6% in Q4 2009

For the fourth quarter of 2009, Ulta Salon, Cosmetics & Fragrance, Inc. announced that net sales increased 16.1% to $396.4 million from $341.4 million in the fourth quarter of fiscal 2008. Comparable store sales (sales for stores open at least 14 months) increased 6.2% compared to a decrease of 5.5% in the fourth quarter of fiscal 2008. Operating income increased 60.1% to $34.3 million, and net income increased 64.6% to $20.2 million.

"We are very pleased with our fourth quarter performance," said Lyn Kirby, president and CEO, Ulta. "Our results surpassed the increased guidance we provided in January and included a 6.2% comparable store sales increase. As we began the year, our priorities were threefold: growing profitable market share, achieving permanent cost efficiencies and delivering free cash flow.

"As we begin fiscal 2010, we continue to build on our successful 2009 game plan. We are particularly optimistic about our opportunities for market share gains through comparable store sales growth and new store expansion. We expect to continue to generate free cash flow in 2010 while we increase our capital investment in support of our long term growth, and believe that we will deliver another strong earnings performance in fiscal 2010."

For the fiscal year 2009, net sales increased 12.7% to $1,222.8 million from $1,084.6 million in fiscal 2008. Comparable store sales increased 1.4% compared to an increase of 0.2% in fiscal 2008. Net income increased 55.8% to $39.4 million.

The complete report is available here.

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