Ulta Beauty Inc (NASDAQ:ULTA) Q2 2020 Earnings Conference Call - Final Transcript

Aug 27, 2020 • 05:00 pm ET


Ulta Beauty Inc (NASDAQ:ULTA) Q2 2020 Earnings Conference Call - Final Transcript


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Mary Dillon

in April we furloughed 33,000 associates and to-date we brought back about 17,000 associates. Given our reduced operating hours we know not all of our part-time associates will be able to work the shifts available given personal needs and availability. We also want to be realistic about capacity constraints, service limitations and the likelihood that demand will take time to recover. As such, not all of our furloughed associates will likely return to Ulta Beauty this year. These are a few examples that we're taking to adjust our cost structure for the new environment. We are also looking at additional opportunities across the enterprise to optimize our cost structure while also building new capabilities to support our competitive advantage and our future growth.

So in closing, we believe the near-term environment will continue to be dynamic but I'm confident our team can successfully navigate the challenges. In longer term, I remain optimistic about the growth opportunity for the Beauty category and for Ulta Beauty. We have a strong and differentiated business model with diversity across categories and price points and outstanding service offerings. We're actively evolving and investing to extend our brand leadership and I remain confident that Ulta Beauty will continue to innovate and lead, capture market share and drive profitable growth as we continue to be the most admired beauty retailer.

And now, I'll turn the call over to Scott for a discussion of the financial results. Scott?