Ulta Beauty Suspends Canada Launch
Ulta Beauty Inc. is pausing international expansion plans.
The beauty retailer planned to launch in Canada next year, but said that it “has decided at this time to prioritize growth of its U.S. operations.” For now, Canada plans are on hold.
Ulta said that investments into the Canada launch have been “limited to early-stage and infrastructure buildout and lease obligations for a small number of stores” and that the company expects to incur related costs between $55 million and $65 million this fiscal year.
Like many retailers, Ulta has been hit by the coronavirus. For the quarter ended Aug. 1, the company’s net sales dipped 26.3 percent to $1.2 billion, down from $1.7 billion in the prior-year period. Net income was $8.1 million, down from $161.3 million in the same quarter of last year.
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