Inter Parfums reveals 'record' sales
Inter Parfums, Inc. has reported 'record' financial results for the second quarter and six months ending 30 June 2022, revealing an 18% increase in Q2 net sales to $244.7 million (£202.3 million).
Net income for the quarter was up 22% to $27.6 million (£22.8 million), with diluted earnings per share at 86 cents, an increase of 21% against the same quarter last year.
Through the first half, the group's largest brands Montblanc, Jimmy Choo, Coach and Guess performed "exceptionally well", with sales up 14%, 6%, 17% and 37% respectively. MCM, which debuted its first-ever scent in the second quarter of last year, also outperformed the group's expectations.
Year-to-date, all regions outperformed last year with the exception of Eastern Europe. Sales in North America, Western Europe and Asia, the group's three largest markets, rose 8%, 40% and 39% respectively.
Promotion and advertising approximated 19% and 16% of net sales for the three and six months, compared to 16% and 14% for the corresponding periods of the prior year.
Russell Greenberg, EVP and CFO of Inter Parfums, Inc, said: “Throughout 2021, our sales far exceeded expectations and as a result, our promotion and advertising expenses, which are an integral part of our success, didn’t keep pace. This year, we have stepped up our investment in promotion and advertising to support new product launches and to build brand awareness to more accurately reflect our quarterly and expected annual sales.
"For the full year, we continue to budget aggregate promotion and advertising expense of 21% of net sales with the greatest amount spent in the fourth quarter which serves as a sales catalyst for the coming year."
Founded in 1982, Inter Parfums, Inc. develops, manufactures and distributes prestige perfumes and cosmetics as the exclusive worldwide licensee for brands including Abercrombie & Fitch, DKNY, Hollister, Karl Lagerfeld, Kate Spade, Moncler and Oscar de la Renta.
Inter Parfums, Inc. is also the owner of Lanvin fragrances and the Rochas brand. Through its global distribution network, the group's products are sold in over 120 countries.