Investing.com – Ulta Beauty stock (NASDAQ:ULTA) traded 5.7% higher in Thursday’s premarket as the reopening of offices, stores and entertainment venues boosted sales of its eyeliners and serums in the second quarter.
Net sales jumped 60% to $2 billion and comparable sales rose 56%. The latter had fallen 27% in the second quarter of the last financial year. A 52% increase in transactions and a 2.5% increase in average tickets helped reverse the graph. The company raised its guidance and now expects its annual net sales to come in the range of $8.1 billion to $8.3 billion, up from the forecast of $7.7 billion-$7.8 billion given earlier.
Chief Executive Officer Dave Kimbell attributed higher sales during the quarter to stronger consumer confidence and fewer Covid-19 restrictions.
The recovery in the beauty category also led the company to open six new stores in the second quarter. It had opened none in the same period last year.
Diluted earnings per share were $4.52 and topped the average estimate.