Thank you, Kiley. And good afternoon, everyone. The Ulta Beauty team delivered excellent results again this quarter, and I want to start by expressing my sincere appreciation to all of our Ulta Beauty associates for their outstanding efforts to drive these results.
As I've traveled around the country visiting with our teams across all parts of the Company, I continue to feel inspired by their commitment and passion for our guests, our business, and for each other.
We are excited about the momentum we are seeing in our business and are optimistic about our future. The beauty category is recovering faster than we expected, and the investments we've made over the last year to adapt to the market disruption and strengthen our leadership position are delivering results.
Our value proposition is strong, and we are evolving and innovating to lead in the new beauty landscape, capture more market share, and drive profitable growth.
For the second quarter, net sales increased 60.2% to $1.97 billion. Operating margin increased to 16.9% of sales and diluted EPS was $4.56 per share. These strong results exceeded our internal expectations and reflect our ongoing efforts to serve our guests, especially as we continue to adapt to the changing environment. In recognition of their dedication to our guests and their efforts to deliver these strong results, this quarter, we awarded a one-time discretionary appreciation bonus to eligible store and DC associates.
For the quarter, comp sales increased 56.3%, driven by strong growth in our brick-and-mortar channel.
As consumer confidence, optimism, and comfort to shop in physical stores continues to increase, we're seeing more of our members return to stores. Traffic trends in stores improved from the first quarter but remained lower than 2019 levels.
However, comp sales in stores increased to this quarter compared to 2019, driven by strong average ticket growth.
We continue to optimize operating hours and I'm pleased to share that our retail operating hours are nearly back to 2019 levels.
As expected, e-commerce declined as compared to the second quarter last year but was more than doubled in 2019 levels. The sales decline was driven by the decrease in the number of transactions, the average ticket remains strong. Recall that our e-commerce business increased more than 200% in the second quarter last year, as we phased the reopening of stores. Guest utilization of buy online pickup in-store remained high, totaling 20% of e-commerce sales in the quarter. To enhance the experience, we made operational improvements to increase order, accuracy, and fulfillment speed. And in the second quarter, 97% of orders were ready for pick up within 2 hours.
We have also increased the number of stores with dedicated parking spaces, and we continue to look for opportunities to make curbside pickup available at non-traditional Ulta Beauty locations. Customer engagement in our digital platforms remained strong, even as store traffic ramps up. Compared to the first quarter, our omnichannel guests, on average, maintained the same number of transactions in the online channel even as they increased their in-store transactions. Reinforcing that e-commerce transactions are incremental and help drive greater overall member engagement and spend. From a category perspective, we increased market share across all major prestige beauty categories based on dollar sales for the 13-week end of July 31st, 2021, compared to the same time period last year.
We also saw sales strength across all of our major mass categories. Compared to the second quarter of fiscal 2020, all major categories delivered robust, double-digit comps, as we anniversaries last year's phased reopening process and introduced more newness. Compared to the second quarter of fiscal 2019, fragrance, bath, skincare, and hair care all delivered strong double-digit comp growth. Makeup was only slightly lower than 2019.
While comp sales in the makeup category are not yet positive compared to 2019, momentum is building. With both mass and prestige categories improving from the first quarter trend. Reductions in mass squaring requirements combined with an increase in makeup wearing occasions helped drive strong growth in face and lip, while engagement with eye continued to be healthy.
During the quarter, we launched 3 new makeup brands, Bobbi Brown, Elaluz, a prestige brand, founded by a well-known Brazilian influencer and makeup artist, and UNDONE BEAUTY. These new brands combined with new product launches from a wide range of brands, including MAC, Clinique, NYX, elf, and Maybelline, drove improved sales performance in the quarter. Skincare delivered another quarter of strong double-digit sales growth compared to 2019. Reflecting the strong connection between beauty and self-care, guests are maintaining their skincare regimens even as they increase makeup purchases. Moisturizers, serums, and cleansers continue to drive category growth.
We also saw robust growth in sun protection and self-tanning as consumers reengaged with travel and vacation activities.
New brands, including fresh, Good Molecules, which is exclusive to Ulta Beauty, and b. tan, as well as, new products from TULA, Shiseido, CeraVe, La Roche-Posay, and the Creme Shop drove solid guest engagement. Hair care continued to deliver double-digit growth, driven by newness and strong guest engagement with our strategic tent-pole events. We began the quarter with our semiannual, Gorgeous Hair event. An event strategically designed to convert members who do not currently shop the hair-care category or engage with our salon services. This year, we streamlined offers and invested in dedicated social and digital marketing campaigns to expand our reach.
As a result, the event attracted new members to the category and delivered stronger than expected sales and profitability. We ended the quarter with us. Jumbo Love event, a basket-building event focused on larger product sizes.
We continued to narrow brand participation and simplify our presentation to guests. These improvements resulted in stronger sales and profitability.
In addition to strong strategic events, we also launched a number of new hair care brands throughout the quarter, including Rizos Curls, Verb, and Curls, a well-established rack black-owned brand. These new brands combined with recently launched Briogeo, and Kristin Ess, contributed to the strong category growth this quarter as consumers focused on building and maintaining hair health.
Finally, fragrance and bath delivered exceptionally strong growth driven by Mother's Day and Father's Day sales, as well as our Fragrance Crush events.
Newness in fragrance from Marc Jacobs and Carolina Herrera, as well as engagement with the base business from favorites like Dolce & Gabbana and Chanel, drove meaningful market share growth. Body Scrubs and moisturizers from brands like truly and Tree Hut continued to drive outstanding sales growth, reflecting guests' continued commitment to self-care.
Our Conscious Beauty platform continues to expand and resonate with guests. At the end of the second quarter, more than 270 brands were certified in at least 1 of the 5 Conscious Beauty pillars. And now include fresh, Kylie Cosmetics, Happy Dance, and Good Molecules among others. To promote guest's discovery in trial this quarter, we will offer guests a new Conscious Beauty sampler kit, which includes hero brands like Beekman 1802, Kinship, Tarte, and TULA.
We will also refresh our Inc. app in stores adding products from Dermalogica, Sunday Riley, Florence, and truly, as we work to scale Conscious Beauty further, we are enhancing our search capabilities on ulta.com and in the mobile app to make it easier for guests to find certified products that reflect their personal values. Through the pandemic, the lines between health and beauty have blurred. Based on our proprietary research, we know that 65% of beauty enthusiasts believe beauty is significantly connected to wellness. Reflecting on these consumer insights, this quarter we launched the Wellness Shop in select stores and on ulta.com to help our guests navigate their personal wellness journey.
With the guest category focused on self-care for the mind, body, and spirit, the Wellness Shop features a curated selection of products across 5 key segments, including supplements and adjustable, and spur at home. From daily rituals to relaxation and sleep regimens, the shop addresses a variety of wellness needs in an accessible, easy-to-navigate presentation.
Our guests are responding well to the platform and will continue to increase awareness of the offering and explain -- expand its presence over time.
Our services business is also gaining momentum. Sales from hair and brow services increased more than 60% compared to 2020. Despite capacity limitations due to mandates from the CDC and state and local authorities, we are increasing member engagement and driving retail attachment, especially through our salon back bar takeovers. Services play an important role in driving guest engagement, loyalty, frequency, and spend. I am excited to share that we plan to relaunch skin services in select stores in the Third quarter. We plan to offer new services that target specific concerns such as hydration, anti-aging, as well as acne facials that cater to our Gen Z guests. And we will test micro-channeling, dermaplaning, and HydraFacials in select stores.
Turning now to our loyalty program, we are seeing a faster recovery in active member growth than initially expected. We ended the second quarter with a record 34.6 million active members, 8% percent above last year, and 4% above 2019. Spend-per-member also increased, driven by higher average tickets surpassing both 2020 and 2019 2019 levels. The majority of new member acquisition happens in stores, and our talented store associates continue to convert new members at higher rates than in 2019.
We are also improving our conversion rates online, reflecting improvements we've made in the online customer journey.
In addition to growth in new members, we are accelerating the reactivation of lapsed members and increasing retention rates of existing members as we continue to advance and imply our data and analytics capabilities. From a channel perspective, in-store-only members totaled 73% this quarter, increasing from 67% in the first quarter.
As expected, the mix of on the channel members moderated from the First Quarter to 18% of total members but remained well above 2019 levels.
Importantly, omnichannel members continue to increase their spending across both store and digital channels.
As we progress through the rest of the year, we expect the penetration of omnichannel guests will continue to moderate as in-store shopping increases but remain above 2019 levels. Discovery in the trial is a critical part of the beauty experience, and we offer a variety of physical and digital ways to discover new products, new trends, and new applications.
This quarter, we launched new functionality in our mobile app that allows guests greater access to select product scanning for content and reviews, loyalty information, and virtual try-on while shopping in stores.
In addition, we reintroduced testers in stores with expanded stations of testing and sanitation supplies.
We continue to deliver hyper-relevant content to drive discovery and build stronger connections with our guests.
This quarter, we introduced beauty school live virtual master classes, boasted -- focused on brand launches, demonstrations, and beauty tutorials. BeautyBio founder Jamie O'Banion hosted a MegaWatt Glow Master class, showcasing skin care tools and products. And in honor of National Lipstick Day, we partnered with an NYX professional makeup pro artist to walk viewers through a long-wear lip look. In July, we launched a partnership with Super great, a hyper-relevant, app-based, Gen Z-centric, a live-stream platform that is 100% focused on beauty. From shoppable live videos to editorial content and exclusive product drops, this super great community is an ideal partnership for experiential, immersive beauty.
While we are early in our pilot, we've already seen encouraging results with engagement tracking ahead of other live platforms.
As part of our holistic marketing efforts to reinforce Ulta Beauty's authority in the skincare category, we launched #UltaSkinTok, our first multi-branded TikTok Hashtag Challenge. To drive increased awareness of the beauty of our category breadth and depth, we asked audiences to post their favorite skincare products from Ulta Beauty. The hashtag has amassed more than 8 billion views to date with 1.6 million videos created. We want Ulta Beauty to be the most to-love beauty destination and the most inclusive. Building on our focus as a diversity forward Company, we announced a number of commitments at the beginning of this fiscal year to further our efforts to champion diversity and inclusion.
This quarter we joined the 15% pledge, committing to dedicated 15% of our total assortment to the black-owned, black-founded, and black-lead brands. To date this year, we have welcomed 8 new black-owned brands to the Ulta Beauty family, including Homebody, Camille Rose, and Mented. And we are on track to double the number of black-owned brands in our assortment this year.
As part of our cross-functional approach to integrate diversity and inclusion into all that we do, our teams launched a textured hair training series for all stylists to better enable more inclusive experiences in our salons.
We also launched mandatory inclusion and action training in stores to understand what diversity, equity, and inclusion mean to Ulta Beauty. We strive to make a positive difference in the communities where we live and work. The Ulta Beauty charitable foundation focuses on improving the lives of women and families.
This quarter, with the generosity of our guests, our teams raised more than $2 million for Save the Children to support mothers and children in need.
We also partnered with LinkedIn for the hashtag #BackToWork campaign, highlighting the pandemic's impact on women and providing resources to aid economic recovery. And as part of our ongoing efforts to reduce waste and minimize our impact on the environment, we recently launched the Consortium to Reinvent the Retail Bag, a multi-year collaboration across retail sectors that aims to identify, test, and implement innovative new design solutions that serve the functions of today's single-use plastic retail bag.
Finally, I am very excited to share that Ulta Beauty at Target has launched in 58 stores and online, with plans to open about 100 stores by the end of the quarter.
Over the last 9 months, the Ulta Beauty and Target teams have collaborated closely to create a unique way for guests to experience beauty, and we're excited to see it come to life.
As guests come to Ulta Beauty at Target, they will be welcomed into a 1,000 square foot co-design space with bold new fixtures and lighting that celebrate premium beauty with a modern look. Each aspect of the shop was thoughtfully designed to make the space feel authentic to Ulta Beauty, Target, and the future brands within the assortment. From the unmistakable Ulta Beauty orange pop canopies and vivid graphics that weave into the existing target store, everything was designed to create an inspiring and unique beauty experience for guests. With compelling product displays and unique discovery zones, the shop offers a curated selection of more than 50 prestige and emerging brands, including MAC, Clinique, Morphe, TULA, The Ordinary, Pattern, Madison Reed, Urban Decay, and the Ulta Beauty collection. The assortment is a compelling mix of best-selling items as well as limited-edition collaborations and minis that drive discovery and trial. We're making the experience as seamless as possible, both in-store and online. Guests shopping Ulta Beauty at Target on target.com and the Target app will enjoy free shipping for qualifying orders and all of Target's same-day fulfillment cap -- services. And guests will benefit from rewards across both Ultimate Rewards and Target Circle.
While it's only been 10 days since the first shop was open, the guest response has been overwhelmingly positive with enthusiasm about 2 of their favorite retailers coming together and excitement about the ability to earn points in both loyalty programs. We're thrilled about this partnership and how together we can change the way the world experiences beauty.
Before I turn the call over to Scott, I want to announce that we will host an Analysts Day here in Chicago on October 19 to share how our strategic priorities are evolving and how we plan to continue to position Ulta Beauty to deliver sustainable, profitable growth.
Given the ongoing uncertainty around the Delta variant, we're planning the event to accommodate both in-person and virtual participation.
Our teams will continue to assess guidance from the CDC and we will adapt our plans as necessary to ensure the safety of our team and attendees. And now, I will turn the call over to Scott for discussion of the financial results. Scott?