Inter Parfums Posts 17% Rise in Q2 Sales

For the three months ended June 30, 2013, Inter Parfums, Inc. reported that net sales of the company’s ongoing brands (excluding Burberry brand sales) increased 17% to $96.8 million, with strong growth in both its European and US-based operations.
 
Burberry brand sales amounted to $20.6 million for the second quarter of 2013 and represented the sale of inventory to Burberry and some authorized sell-off of remaining Burberry finished goods generating minimal margins. However, when the contribution of Burberry sales is included, consolidated sales for the 2013 second quarter were $117.5 million, down 19.3%, according to the company.
 
Discussing European-based operations Jean Madar, Chairman & CEO of Inter Parfums noted, “Excluding Burberry sales from both the current and prior year’s second quarter, European-based product sales increased 15.0% to $72.0 million in the current period versus $62.8 million in last year’s second quarter. Our major ongoing brands continued to exhibit solid growth in the second quarter. Once again, Jimmy Choo delivered an impressive performance, posting sales growth of more than 40% compared to the prior year period, driven by increasing momentum for Flash, a new women’s scent which we launched in January. Montblanc sales rose more than 20% compared to the second quarter of 2012 propelled by the ongoing success of Legend fragrances. The spring launch of Lanvin Me and the continued growth of Eclat d’Arpège combined to boost Lanvin sales by over 14% versus the prior year period. Van Cleef & Arpels sales rose modestly during the second quarter, boosted by the recent launch of RÊVE.”
 
Regarding US-based operations, Madar noted, “Sales benefited from strong consumer demand and expanded retail distribution for Anna Sui fragrances, and we expect this brand to gain energy following the launch of La Vie de Bohème during the third quarter. Additionally, in April 2013, our US-based operations took over the manufacture and distribution of legacy Alfred Dunhill fragrances which provided an incremental contribution to second quarter 2013 growth for our US business.”
 
Based upon the strong first half performance of its ongoing brands and expectations for the remainder of the year, the company is raising its 2013 guidance and currently expects net sales to reach approximately $525 million. Previous guidance called for net sales of $510 million.