Inter Parfums Reports Continuing Rebound in Q1 2020

Inter Parfums, Inc. reported that for the three months ended March 31, 2021, net sales rose 37.1% to $198.5 million from $144.8 million in the first quarter of 2020. Inter Parfums plans to issue results for the 2021 first quarter on or about May 10, 2021.
 
Jean Madar, chairman & CEO of Inter Parfums noted, “Continuing the rebound that began in the second half of 2020, sales for the first three months of 2021 set a first quarter record. Not only were 2021 first quarter sales 37.1% ahead of 2020’s admittedly depressed first quarter, but they were also 11.4% ahead of 2019’s first quarter sales of $178.2 million.”
 
European Operations
 
Sales for the company’s largest brands within European operations, Montblanc, Jimmy Choo, Coach, and Lanvin, rose 27.4%, 66.7%, 8.8% and 91.2%, respectively. Montblanc legacy scents were responsible for the increase in brand sales; the same holds for Lanvin fragrances with a major sales boost in the brand’s major markets, Eastern Europe and Asia.
 
The combination of the strong sales by established Jimmy Choo scents along with the first quarter launch of I Want Choo produced the gain in first quarter brand sales. Initial and very promising sales of Kate Spade New York, Inter Parfum’s first new fragrance for the brand, also pushed first quarter sales to a new record as did the launch of its eco-friendly scent, Rochas Girl.
 
US Operations
 
Discussing US operations Madar continued, “With little exception, our US brands also produced strong growth in the first quarter.”
 
Guess, Inter Parfum’s largest brand, continued to benefit from a combination of legacy fragrance sales and initial distribution of Bella Vita. The company had strong replenishment orders for the Authentic Night duo by Abercrombie & Fitch which debuted late last year while first quarter shipments of the Canyon Escape duo drove Hollister brand sales growth.
 
Dunhill made a comeback with the solid performance of the brand’s new signature scent. Debuting in limited distribution toward the end of the first quarter was the company’s MCM signature scent, its first scent for this brand, with global rollout now underway.
 
The first quarter decline in Anna Sui brand sales following the 62.3% increase in the 2020 fourth quarter, was primarily due to the launch of Sky in the 2020 fourth quarter. The limited duty free/travel retail market also factored into the decline in Anna Sui brand sales. However, Inter Parums says it has significant Anna Sui open orders and looks forward to improving brand sales as the year unfolds. The company’s newest Oscar de la Renta scent, Alibi, was unveiled late in the first quarter with broader distribution now in process.
 
2021 Outlook
 
Russel Greenberg, executive vice president and CFO stated, “The first quarter set the stage for a year of strong growth, despite meaningful travel retail headwinds. With firm orders, current inventory levels, and somewhat better visibility, we now look for 2021 net sales to come in at approximately $700 million.”