leaving a positive legacy for our world Beauty simplified. Inspiration endless. Ulta Beauty Collection ® Ulta Beauty Collection ® Development Process Draft product briefs based on research into emerging trends and guests’ needs. Present product brief to a vendor. Vendor develops a unique formulation based on our specifications for color, fragrance and performance . Ulta Beauty Collection ® team evaluates and provides feedback on products and packaging, from confirming that mascara brushes resist clumps to ensuring that pump bottles dispense just the right amount of product. Ulta Beauty Collection ® tests to ensure formulas and packaging are thoroughly validated to satisfy the product concept and ensure it meets safety standards. In 2021, we conducted research to strengthen the position of Ulta Beauty Collection ® and position the brand for future growth. Gen Z and younger Millennials are open to an emotional connection to the brand and are interested in products that are easy to use, and they provide guidance on new trends. We are developing new products and communication strategies with these insights in mind. For example, we are creating makeup and skincare designed for younger consumers and available in a diverse range of skin tones. Knowing that younger generations especially value our Conscious Beauty at Ulta Beauty™ pillars , we are emphasizing clean ingredients, vegan products and our PETA-certified, cruelty-free portfolio. Ulta Beauty Collection ® is also working toward alignment to the Sustainable Packaging pillar of Conscious Beauty at Ulta Beauty™. We have already transitioned to 100% post-consumer recycled (PCR) bottles and jars for the line’s bath products. In 2021, we evolved our approach to ensure we are assessing progress in a measurable, repeatable and credible way. Instead of measuring simply the number of products that incorporate sustainable packaging, we are transitioning to a volume-based approach that will allow us to determine how much plastic is being reduced overall. Working with a third-party consultant, we are gathering information on which plastic reduction opportunities will have the greatest impact. 2021 ESG Report 25 Product People Introduction Environment Supplemental Data Community