leaving a positive legacy for our world Packaging encompasses multiple components, and not all brands collect and report data in the same way, making it complicated for us to assess our progress. We are working with a third party to help us build the foundation and infrastructure to confirm progress and compliance. This work includes aligning on the baseline data needed from certifying brands and developing a process for collecting and verifying submissions. We will also provide communication and training to certifying brands to support their submissions. Ultimately, we hope to transition to a volume-based (rather than a SKU-based) measurement approach for all brands, as we have done for Ulta Beauty Collection ® . This work is underway and will continue throughout 2022. We expect to share an update on our work and how brands are progressing toward our goal in 2023. Embracing innovation Ulta Beauty continues to explore ways to reduce packaging use. For example, we recently concluded a 6-month pilot with Loop, a reusable packaging pioneer owned by TerraCycle ® . We launched a microsite through which guests could place orders for products packaged in reusable containers. When guests were finished using the product, they returned the containers, which were then cleaned and refilled to be used again. We are currently analyzing the results of this pilot and determining our path forward. Resonating with guests As of January 29, 2022, 270 brands are participating in the Conscious Beauty at Ulta Beauty TM program. Pillar certification seems to increase guest interest: the more pillars that a brand is certified for, the stronger its performance as compared to past years. The platform continues to evolve. A consumer insight survey, conducted in 2021, will allow us to further refine Conscious Beauty at Ulta Beauty TM to meet guests’ needs and expectations. We will also evolve the platform with the guidance of the Conscious Beauty Advisory Council. The Council brings together a diverse set of leaders at the forefront of clean beauty, product development, packaging sustainability and brand leadership who act as trusted advisors. Progress on sustainable packaging By 2025, 50% of packaging sold at Ulta Beauty will be recyclable, refillable or made from recycled or bio-sourced materials. This goal includes both Ulta Beauty Collection ® and other brands sold. Celebrating brands’ positive impact The Positive Impact pillar of Conscious Beauty at Ulta Beauty™ allows us to celebrate brands with giving back at their core. One such brand is Lake & Skye , a fragrance brand that plants a tree for every order it receives. Lake & Skye also uses packaging that is Forest Stewardship Council-certified. 2021 ESG Report 28 Product People Introduction Environment Supplemental Data Community