Individuals stroll previous an Ulta Magnificence retailer within the Manhattan borough of New York on March 8, 2022.
Carlo Allegri | Reuters
Ultra beauty CEO Dave Kimball is retiring and will likely be changed by the retailer’s COO Kesia Steelman, the corporate introduced Monday.
Ulta stated in a information launch that the administration modifications take impact Monday. Steelman will even change Kimball on the corporate’s board of administrators.
Together with saying the chief shakeup, Ulta raised its forecast for the fiscal fourth quarter resulting from “stronger-than-expected efficiency in the course of the vacation season.” The corporate stated it now expects comparable gross sales to extend modestly and working margin to be above the higher finish of the corporate’s earlier anticipated vary of 11.6% to 12.4% of gross sales. In early December, Ulta stated it anticipated comparable gross sales to vary between a 1% decline and flat.
The corporate’s shares rose greater than 2% in prolonged buying and selling.
Ulta Magnificence has confronted a tougher surroundings as a variety of outlets, together with Macy’s and Kohl’s, chase a bigger share of magnificence gross sales and as prospects watch their discretionary spending. At an investor convention within the spring Kimball warn of a delay in the category.
In current quarters, Ulta has struggled to keep up its place as a number one magnificence retailer by introducing new manufacturers, internet hosting extra in-store occasions and including extra digital instruments.
Steelman will now lead that effort. The corporate’s new CEO has labored at Ulta for greater than a decade and have become its COO in 2023.
Within the launch, Kimball described Steelman as “a strategic chief with a confirmed observe file of driving operational excellence and creating distinctive visitor experiences whereas fostering a caring and inclusive tradition.”
Kimbell, who has been with the corporate since 2014, turned its CEO in 2021. In a information launch, Ulta stated he’ll function an advisor to the corporate till June 28.
Shares of Ulta closed Monday at $431.30, about 25% off their 52-week excessive.
Ulta Magnificence is anticipated to report its fiscal fourth quarter outcomes on March 13.
That is breaking information. Please examine again for updates.
