Ulta Salon Results Surpass Estimates; Stock Up 7%

(RTTNews) - Beauty products retailer Ulta Beauty (ULTA) on Thursday reported fourth-quarter net earnings of $87.3 million or $1.35 per share compared with $70.7 million or $1.09 per share last year.

Revenues for the quarter were up 20.7% at $1.05 billion compared with $868 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $1.27 per share on revenues of $1.02 billion for the quarter. Analysts' estimates typically exclude special items.

Comparable sales for the quarter were up 11.1%.

"Ulta Beauty wrapped up a very strong year of sales and profit growth with an excellent fourth quarter...," said CEO Mary Dillon. Increased traffic, strength in prestige and mass color cosmetics, and a successful holiday season were among the drivers of growth, Dillon added.

For the first quarter, Ultan Beauty expects earnings of $0.88 to $0.93 per share on revenues of $833 million to $847 million. Comparable sales are expected to increase 7% to 9%.

Analysts expect earnings of $0.91 per share on revenues of $832 million for the quarter.

For the full year 2015, the company expects earnings per share growth of 15% to 17%, excluding the $0.02 non-recurring tax benefit in the fourth quarter of 2014.

The company expects total sales growth in 2015 in the mid-teens percentage range and comparable sales growth of 6% to 8%.

Analysts expect earnings of $4.55 per share on revenue growth of 15.7% in 2015.