Ulta Beauty Inc (ULTA)

Return on equity (ROE)

		Jan 31, 2025	Feb 3, 2024	Jan 31, 2024	Jan 31, 2023	Jan 28, 2023
Net income	US$ in thousands	1,201,120	1,291,000	1,291,000	1,242,410	1,242,410
Total stockholders’ equity	US$ in thousands	2,488,350	2,279,330	2,279,330	1,959,810	1,959,810
ROE		48.27%	56.64%	56.64%	63.39%	63.39%

January 31, 2025 calculation

ROE = Net income ÷ Total stockholders’ equity
= $1,201,120K ÷ $2,488,350K
= 48.27%

Ulta Beauty Inc's return on equity (ROE) has exhibited a gradual decrease over the period under review. Starting at 63.39% in January 2023, the ROE remained stable at the same level for the subsequent year. However, by January 2024, there was a decline to 56.64%, a trend that continued into February 2024. The most notable drop occurred in January 2025, with the ROE falling to 48.27%. This decreasing trend may indicate challenges in generating profits relative to shareholder equity, potentially signaling a need for improved efficiency or profitability management within the company.