Inter Parfums sees double-digit revenue growth on Coach, Montblanc; reaffirms 2019 guidance
today Jul 24, 2019
Inter Parfums Inc. on Tuesday reported double-digit revenue growth in the second quarter, affirming that the fragrance and cosmetics maker still expects 2019 full-year sales to reach $712 million.
New York-listed Inter Parfums said net sales increased 11.3% to $166.2 million for the three months ending June 30, compared to $149.4 million in the same quarter 2018. At comparable currency exchange rates, sales lifted 13.7%.
By geographic region, European sales lifted 8.7% in the second quarter, driven by increases at Montblanc, its largest brand, with comparable sales up 28.3%. However, Inter Parfum's second-largest brand, Jimmy Choo, fell 20%.
Jean Madar, CEO of Inter Parfums, added that the second quarter was helped exceptional sales at Coach, offsetting a dip in the first three months of the year.
"The popularity of our entire Coach fragrance portfolio, along with the better than expected performance of the new flanker, Coach Floral Blush, spurred the 43.8% increase in second quarter sales by our third largest brand, which more than offset the 22.3% drop in the first quarter," added Madar.
The company also reported stronger performances in the quarter at its Lanvin brand and smaller brands Van Cleef & Arpels and Karl Lagerfeld, up 61.3% and 115.7%, respectively.
The international firm's U.S. operations, which grew close to 20.4% in revenue terms, was driven by strong growth at Guess and Abercrombie & Fitch, continued Madar.
For the six months ending June 30, Inter Parfums European sales gained 1.6%, while the U.S. lifted a staggering 35.1%.
The French company said it will issue full results for the second quarter on August 5.
Looking ahead, Inter Parfums said it guidance remains unchanged and expects 2019 net sales to be around $712 million, resulting in net income per diluted share of $1.88.
Founded in 1982, Inter Parfums manufactures and distributes luxury perfumes and cosmetics, with its products sold in over 120 countries worldwide. It holds licensing agreements with Abercrombie & Fitch, Anna Sui, Boucheron, Coach, Dunhill, Jimmy Choo and Repetto. Its most recent addition is Kate Spade, which it inked in June this year.
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