UL

Ulta Beauty, Inc. stock research

Jan 31, 2026

FY2025 Q4

Ulta Beauty (ULTA) Gross Margin — Quarter Ended Jan 31, 2026

Revenue and gross profit rose in the current quarter compared to both the prior quarter and the same quarter last year. Gross margin weakened slightly from the prior quarter but held nearly stable versus the year-ago period, as cost of revenue increased proportionally less than revenue.

Gross margin takeaway

Quarter ended Jan 31, 2026 · FY2025 Q4

Revenue and gross profit rose in the current quarter compared to both the prior quarter and the same quarter last year. Gross margin weakened slightly from the prior quarter but held nearly stable versus the year-ago period, as cost of revenue increased proportionally less than revenue.

  • The relationship between revenue and cost of revenue is the primary margin driver. Gross profit increased at a faster rate than revenue relative to both comparison periods, supporting margin stability.
  • Compared to the immediately preceding quarter, gross margin decreased while revenue and gross profit both increased. Compared to the same quarter one year earlier, gross margin remained largely stable, with revenue and gross profit higher.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

38.1%

Gross profit

$1.5B

Revenue

$3.9B

Cost of revenue

$2.4B

Quarter-over-quarter change

-2.4 pts

Year-over-year change

-0.2 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
May 3, 2025$2.8B$1.1B$1.7B39.1%
Aug 2, 2025$2.8B$1.1B$1.7B39.2%
Nov 1, 2025$2.9B$1.2B$1.7B40.4%
Jan 31, 2026$3.9B$1.5B$2.4B38.1%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Nov 1, 2025

-2.4 pts

Year-over-year change

Feb 1, 2025

-0.2 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The relationship between revenue and cost of revenue is the primary margin driver. Gross profit increased at a faster rate than revenue relative to both comparison periods, supporting margin stability.

Compared to the immediately preceding quarter, gross margin decreased while revenue and gross profit both increased. Compared to the same quarter one year earlier, gross margin remained largely stable, with revenue and gross profit higher.

Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters to assess margin sustainability.

ULTA Gross Margin — Quarter Ended Jan 31, 2026