Ulta Beauty to expand store reach to over 1,800 locations

Ulta Beauty has announced plans to open 200 new stores over the next three years, accelerating its target of over 1,800 stores in the long-term. 

The move is part of the company’s strategic priorities for driving long-term growth in the beauty and wellness industry, announced during its 2024 Investor Day on Wednesday. 

Notably, Ulta Beauty’s long-term growth strategy focuses on four key areas: Assortment, Experience, Access and Loyalty. 

“Ulta Beauty is a leader in a growing category with a proven model and substantial financial strength to invest and power our long-term growth,” said Dave Kimbell, chief executive officer. 

“More than 30 years ago, Ulta Beauty was the original disruptor in beauty bringing All Things Beauty. All In One Place. While beauty has continued to expand and evolve, we remain true to our core purpose – we champion beauty for everyone, helping every guest discover their own possibilities through the power of beauty. The strategic priorities announced today are designed to amplify our differentiated model and drive relevant innovation to meet evolving guest needs, positioning Ulta Beauty as the destination for beauty enthusiasts for a lifetime. This plan will enable us to drive strong growth and capture greater market share in beauty and wellness.”

Ulta also announced plans to expand its loyalty program to 50 million members by 2028, while establishing a leadership position in wellness and continuing to elevate in-store and digital experiences.

As part of its ongoing commitment to returning capital to shareholders, Ulta Beauty’s board of directors equally approved a new $3.0 billion share repurchase program, replacing the previous authorization. Since 2014, the company has returned more than $6 billion to shareholders while continuing to invest in growth initiatives.

Ulta Beauty reaffirmed its 2024 financial guidance, including net sales of $11.0 to $11.2 billion and diluted earnings per share (EPS) of $22.60 to $23.50. The company plans to open 60 to 65 new stores and repurchase approximately $1 billion in shares by year-end.

Looking beyond 2024, Ulta Beauty outlined its long-term financial targets, aiming for 4% to 6% net sales growth.