Dave Kimbell, chief executive officer of Ulta Beauty, stepped down on Monday, surprising many industry insiders. Kecia Steelman, president and chief operating officer, will succeed him as president and CEO and will join the company’s board. Kimbell will serve as an adviser to the company through June 28.

Cosmetics retailer Ulta Beauty said on Monday insider Kecia Steelman will replace retiring CEO Dave Kimbell in the top role, and forecast a strong fourth quarter, sending its shares up about 2% in extended trading.

Shares of Ulta Beauty ( ULTA -3.07%) were climbing higher last month after the beauty superstore chain posted better-than-expected results in its third-quarter earnings report, showing improvement on the bottom line, and that the worst of its market-share losses seemed to be behind it.

Kecia Steelman named President and Chief Executive Officer of Ulta Beauty. (Photo: Business Wire)

Ulta Beauty said on Monday Dave Kimbell will retire as CEO and will be succeeded by President and Chief Operating Officer Kecia Steelman. Kimbell is stepping down after 11 years with the company, and will serve as an adviser through June 28.

US retailer Ulta Beauty has promoted Kecia Steelman to president and CEO, effective immediately. She replaces Dave Kimbell, who is retiring after an 11-year tenure. He is also stepping down from the company’s board of directors, but will stay on as an advisor to Ulta Beauty through 28 June.

Ulta Beauty CEO Dave Kimbell will retire and Kecia Steelman, current President and COO, has been named as his successor.

Shares of Ulta Beauty Inc. ran higher after hours on Monday after the beauty-products chain appointed a key player in its recently announced comeback plans as its new chief executive and boosted its fourth-quarter outlook.

Ulta Beauty CEO Dave Kimbell is stepping down, the company said Monday, as the cosmetics retailer looks to reignite sales momentum in the slumping beauty category. The stock was rising.Kecia Steelman,