Ulta reports profits for third quarter 2008
ROMEOVILLE, Ill. Beauty retailer Ulta posted double-digit gains in sales and profit during the third quarter but lowered its full year guidance in light of the challenging economy.
“In these unprecedented times, we remain confident in our strategies and financial position,” said Lyn Kirby, president and chief executive officer. “We are pleased with the recent start to the holiday season and the strategies that are driving these results, and if consumers continue to spend on their current trend, we would anticipate delivering fourth quarter comp sales in line with third quarter performance. However, we recognize that the majority of the gift season remains in front of us in the most volatile economy we have seen in decades.”
Net sales for the quarter ended Nov. 3 rose 22.4 percent to $254.8 million. Same-store sales rose 2 percent.
Net income rose 19.3 percent to $5 million. Income per diluted share was 9 cents compared with 5 cents per share in the year-ago period.
During the quarter, the company opened 21 stores, including its first urban location on State Street in Chicago, and ended the period with 304 stores.
For the full year, income per diluted share is now expected to be between 47 cents and 51 cents, which compares to its previous guidance range for income per diluted share of 52 cents to 57 cents.
Net sales for the full year are expected to be between $1.1 billion and $1.11 billion, compared with its previous guidance range of net sales between $1.12 billion to $1.13 billion and versus net sales last year of $912.1 million.
For 2009, the company trimmed its new store expansion pace to 15 percent to 20 percent square footage growth.
Stiefel expands skin treatment offerings with launch of Revaleskin line
CORAL GABLES, Fla. Skin care company Stiefel Laboratories, whose brands include an acne treatment line called PanOxyl and a dry skin line called Impruv, is expanding its Revaleskin collection with three new products.
The Revaleskin line, which is an aesthetic physician-dispensed line, is formulated with CoffeeBerry extract, a potent super-antioxidant derived from the whole coffee fruit. The products have been clinically proven to improve the skin’s appearance in as few as 11 days, according to Stiefel.
The new products include replenishing eye therapy, intense recovery treatment for dry/damaged or post-procedure skin and chest/decolletage rejuvenating treatment for the neck and chest areas.
The replenishing eye therapy, which launched in August, retails for $80. The chest/decolletage rejuvenating treatment ($120) and the intense recovery treatment ($130) will be available in 2009.
P&G opens temporary ‘pop-up’ store in New York
NEW YORK Procter & Gamble has jumped aboard the “pop-up” store bandwagon with the recent opening of its temporary store in New York City.
The temporary location, dubbed BrandSaver Live, opened on Black Friday and will close shop on Dec. 11. It is located on 57th Street at 6th Ave.
Inside, visitors are encouraged to experience some of P&G’s brands and receive a booklet with $45 worth of coupons for P&G products.
According to published reports, the concept was tested at shopping malls in Rochester, N.Y., and Dallas over the summer, before heading to Manhattan.
This is not the first time that a manufacturer has turned to experiential marketing. In recent years, there has been a flurry of pop-up venues where companies temporarily lease a retail spot to create a buzz and showcase products. Some companies that have taken part include Maybelline New York, which opened a temporary Beauty Studio in Manhattan; Unilever, which established the temporary “Can You Tell?” studio to promote Suave in Manhattan before traveling on to Chicago and Minneapolis; and Gillette, which took a similar approach when it opened its Venus Vibrance Leg Room in Times Square to celebrate the launch of the Venus Vibrance razor.