04.25.23
Net sales for Inter Parfums, Inc. rose to a record $312 million, a 24% increase from $251 million in the first quarter of 2022 for the three months ended March 31, 2023, officials said.
At comparable foreign currency exchange rates, consolidated first quarter net sales increased 27% from the first quarter of 2022. Of note, the average dollar/euro exchange rates for the 2023 and 2022 first quarters were 1.07 and 1.12, respectively, leading to a negative 2.4% foreign exchange impact.
“Net sales for the quarter ended March 31, 2023 were not only a first quarter record, but were also the highest for any quarter in our history,” Jean Madar, chairman & CEO of Inter Parfums said. “Our European operations grew sales by 26% in dollars or 29% in constant currency with our three largest brands generating exceptional growth. In dollars, Jimmy Choo, Montblanc and Coach sales rose 63%, 28%, and 24%, respectively. Additionally, sales by several of our mid- sized brands started the year on a strong note, most notably Karl Lagerfeld, Boucheron and Rochas, all of which achieved double-digit sales growth. While our European operations launched a number of brand extensions, including Jimmy Choo Blossom, Eau de Rochas Citron Soleil, Montblanc Signature Absolue and Kate Spade Chérie, the sales gains were primarily due to established lines.”
Madar said its US operations also had a strong start growing 19% off a high 2022 base when first quarter sales had expanded 77%. The increase was driven by the addition of Donna Karan and DKNY to its portfolio and double-digit growth for Ferragamo and Oscar de la Renta, following successful brand extensions. The company also introduced brand extensions within established lines for Abercrombie & Fitch and MCM. In the wake of Covid-19, the progressive reopening of China buoyed the Ferragamo and Anna Sui brands, and the ERP implementation weighed on the company’s quarterly results. This impacted Guess disproportionately, which was flat off a high base in 2022, but the company has “strong orders” it will fulfill during the second quarter, Madar said.
“We are strengthening our position within the fragrance industry overall and especially within the designer/prestige category,” said Madar. “As we announced late last year, the Lacoste fragrance business will be directed and operated by our Paris operations come January 2024.”