Inter Parfums, Inc. Q3 2019 sales totaled $191.2 million, a gain of 7.9%, or 9.7% for comparable foreign currency exchange rates. The corporation attributes most of its growth in the United States (20.7%) to Guess, particularly the brand’s 1982 Los Angeles and Seductive Noir scents.
European operations, which increased by 4.2%, saw an increase of 22% for Montblanc, the largest brand, partly in thanks to its newest scent, Explorer; however, its cost of sales proved to be higher than usual, offsetting the gross margin benefit resulting from the stronger dollar this year.
“As a result of the strength of the U.S. dollar throughout 2019, as compared to 2018, we are maintaining our 2019 net sales guidance at approximately $712 million,” said Russell Greenberg, executive vice president and CFO of Inter Parfums, Inc. “However, based upon improved controls over expenses and greater leverage of our fixed expenses, we are raising our earnings guidance from $1.88 per diluted share to $1.90 per diluted share. Guidance assumes the dollar remains at current levels. As previously reported, we will issue initial 2020 guidance after the market closes on November 20, 2019.”
Highlights
- North American sales increased 13.9%
- Western Europe sales increased 4.8%
- Asia sales increased 8%
- Middle East sales increased 25.3%
- Eastern Europe sales increased 4.2%
New Products Driving Growth
- Oscar de La Renta’s Bella Rosa scent (United States)
- Guess’ 1981 Los Angeles scent (United States)
- Guess’ Seductive Noir scent (United States)
- Montblanc’s Explorer scent (Europe)
- Jimmy Choo’s Urban Hero scent (Europe)
- Coach’s Floral Blush scent (Europe)
Coming in 2020
- Guess’ Bella Vita will debut in the spring in the United States and globally in the fall
- Anna Sui’s Sky will launch in the spring in the United States
- Graff’s multi-scent collection in Harrod’s debuts in March, and selective U.S. distribution is planned for fall
- Montblanc is to launch a new women’s scent in the first half of the year (Europe)
- Coach is to launch a new women’s scent in the first half of the year (Europe)
- Jimmy Choo is to launch a new women’s scent in the second half of the year (Europe)
- Kate Spade will see the distribution of two legacy brands in the spring (Europe)
- Kate Spade will launch a new women’s scent in the fall (Europe)
