Ulta’s switching up its corporate structure, but sticking to its knitting.
The company, which was founded in 1990, said it would move to a holding company set up as its new fiscal year begins on Sunday.
“The primary purpose of the reorganization is to create a more efficient corporate structure,” the firm said. “Business operations for the company will not change as a result of the reorganization.”
Under the new structure, the publicly traded company, formally known as Ulta Salon, Cosmetics & Fragrance Inc., will be replaced by Ulta Beauty Inc.
The outstanding shares of the former company will transfer directly to the new company, with “same rights, powers and preferences, and qualifications, limitations and restrictions.”
Ulta will continue to trade on the Nasdaq market under the “ULTA” ticker.
Shares of Ulta slipped 0.5 percent to $271.15 amid modestly down middday trading for the market.
Ulta bills itself as “the largest beauty retailer in the United States” with 974 stores as well as a web site, which is heavy on tips, tutorials and social content.
The company sells over 20,000 products from more than 500 brands and its own private label and has proven to be a key gateway to the beauty consumer.
Despite its huge retail base, catching consumers on the go is an area of growing focus for the company.
Last month, chief executive officer Mary Dillon noted, ““[Mobile] is becoming more important to us than ever in terms of driving sales and traffic, and it’s fast-growing.”
The firm’s third-quarter e-commerce sales increased 59.1 percent to $73.6 million from $46.2 million a year earlier.
Bricks-and-mortar is also growing at a healthy clip and, for the quarter, retail comparable sales were up 14.3 percent. That included salon comp sales growth of 10.3 percent.
This quarter, projects net sales of $1.516 billion and $1.541 billion, a 12 percent to 14 percent rise.