Shares of Ulta Salon, Cosmetics & Fragrance climbed 11 percent Thursday after the company raised its guidance for the third quarter and fiscal 2016.
For the third quarter, Salon said that it expects to see sales increase of 14 percent to 15 percent, compared to previous guidance of 11 percent to 13 percent.
For the full year, Salon forecasts sales growth of 12 percent to 14 percent, compared to previous guidance of 11 percent to 13 percent.
In a press release, Salon said that it is raising the guidance "as a result of the better than expected performance." The company also added that it "reaffirms its expectation to deliver approximately 200 basis points of operating margin expansion from 2016 levels, to reach its mid-teens operating margin target by the end of fiscal 2019."
On Thursday, the company hosted an analyst and investor conference where it discussed its plans to double market share "through new store expansion, e-commerce growing to become a billion dollar business, higher store productivity, and gaining greater share of wallet."
Before the raised guidance, Ultra's stock closed at $239.97 a share. On Thursday, after the guidance announcement, the stock climbed to $266.74 — its highest level since August.