Inter Parfums Inc. Sales Jump, Reflecting Gains in U.S. & European Operations

Inter Parfums Inc. posted gains in both the U.S. and European units for the second quarter.
Collectively, net sales were up 11.3 percent year-over-year, to $166.2 million. Sales rose in Europe by 8.7 percent, to $125.6 million in the quarter, and jumped 20.4 percent for the U.S. segment, to $40.6 million.
Net income for the group was up 13 percent from the prior-year period, to $12.3 million.
Inter Parfums chairman and and chief executive officer, Jean Madar, said in a statement that the Middle East and Eastern Europe also drove sales in the quarter, with sales upticks of 28.8 percent and 3.6 percent, respectively. Sales in Asia were up 7 percent in the quarter, which helped balance out a 9.3 percent decline the region saw in the first quarter, Madar noted.
Sales of the European-based operations were fueled by Montblanc, Inter Parfums' largest brand, which saw a 28.3 percent net sales gain due to the launch of Montblanc Explorer. Coach also saw a big jump in sales — 43.8 percent — due to the debut of Coach Floral Blush. Inter Parfums also noted that two of its smaller brands, Van Cleef & Arpels and Karl Lagerfeld, seem to be staging a comeback, with sales gains in the quarter of 61.3 percent and 115.8 percent, respectively. Lagerfeld died in Paris in February.
On the U.S. side of the business, Guess was mostly responsible for the sales leap, posting a 20 percent improvement in sales, accoring to the company. The brand recently launched 1981 Los Angeles, and will launch Seductive Noir. Abercrombie & Fitch and Hollister also posted sales gains due to new launches, including the Wave limited-edition duo and a Festival brand extension called Festival Nite.
Inter Parfums is projecting net sales of $712 million for 2019, with net income of $1.88 per diluted share.
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