Ulta Beauty Draft

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Apr 3, 2024

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Ulta Beauty NASDAQ: ULTA Emily Aguirre ACCT 220 6980
Table of Contents U Introduction Income Statement Balance Sheet Additional Financial Information Summary Conclusion Presentation title 2
Introduction Ulta Beauty is the largest beauty retailer in the United States. They sell a wide variety of products including cosmetics, fragrance, skin care, and hair care products. They currently operate 1,355 stores across all 50 states. They also offer an online store as well as a mobile application. In 2021, Ulta teamed up with Target to bring scaled down versions of their store into more than 100 Target stores. Presentation title 3
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Introduction Founded in 1990 Headquartered in Bolingbrook, Illinois External Auditor: Ernst & Young LLP Dave Kimball- CEO Scott Settersten- CFO Kecia Steelman- COO Presentation title 4
Introduction Ulta Beauty's fiscal year is the 52 or 53 weeks ending on the Saturday closest to January 31st. For the most recent 10-K report the fiscal year ended on January 28th, 2023. Inventory cost is determined using the moving average cost method Depreciation is calculated using the straight-line method Presentation title 5
Highlights from Income Statement January 28, 2023 January 29, 2022 January 30, 2021 Net Sales $10.2B $8.6B $6.1B Gross Profit $4B $3.4B $1.9B Operating Income $1.6B $1.3B $236M Net Income $1.2B $985M $175M Presentation title 6 For fiscal year ended January 28, 2023, Ulta saw increases in all income areas. Gross profit was up 1% from the previous year Net sales was up 18%
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Ulta Beauty’s Financial Results in 2022 Retrieved from Ulta Beauty (2023) Ulta Beauty’s Financial Results in FY 2022 7
Highlights from Balance Sheet January 28, 2023 January 29, 2022 Total Assets $5.3B $4.7B Total Liabilities $3.4B $3.2B Total Stockholders ’ Equity $1.9B $1.5B Total Liabilities and Stockholders ’ Equity $5.3B $4.7B Presentation title 8 Total asset amount increased, mostly in cash and merchandise inventories Total liabilities increased slightly, mostly due to accrued liabilities and deferred revenues. Stockholders’ equity also increased
Additional Financial Information In 2023 Ulta's Accounts Receivable decreased to $199,422 down from $233,682 in 2022. Receivables primarily include amounts due from vendors for allowances, amounts due from third-party gift card providers, royalties and other credit card amounts, and amounts related to the employee retention credit (ERC). Accounts payable decreased significantly from $66M in 2022 to $8M in 2023 The allowance for doubtful accounts increased minimally in 2023 (1,076) compared to (1,005) in 2022. The 2023 net value of equipment and property increased by $95M. Depreciation for 2023 increased by $135,371M Presentation title 9
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Despite all of the economic pressures, concerns, anxiety in the world around us, the importance that beauty plays in our guests’ lives is stronger than ever. Dave Kimbell, CEO
Summary Ulta Beauty saw a record year for net sales and income. With an 18.3% increase in sales and 26.3% increase in income, it is clear Ulta is doing something right. Their success can be attributed to their continued innovation as they continue finding new ways to draw in and retain customers. Presentation title 11
Thank you References Jansen, C. (2024, January 17). Ulta topped $10B in sales last year. How the beauty retailer stays relevant . Retail Dive. https://www.retaildive.com/news/how-ulta-beauty- stays-relevant-retail/704547/ Ulta Beauty. (2023). Investor Relations . Ulta Beauty, Inc. https://www.ulta.com/investor Ulta Beauty. (2024). Leadership Team . Ulta Beauty, Inc. https://www.ulta.com/investor/company- information/leadership-team Ulta Beauty, Inc. (2022). FORM 10-K . Sec.gov. https://www.sec.gov/Archives/edgar/data/1403568 /000155837023004581/ulta- 20230128x10k.htm#Consol_Balance_Sheets Zumbach, L. (2021, July 21). Ulta to open shops in seven Chicago-area Target stores in August . Chicago Tribune. https://www.chicagotribune.com/2021/07/21/ulta- to-open-shops-in-seven-chicago-area-target- stores-in-august/
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