On October 21, 2024, Interparfums, Inc. announced that for the three months ended September 30, 2024, net sales rose to a record $425 million, up 15% from $368 million in the third quarter of 2023.
Jean Madar, chairman and chief executive officer of Interparfums, stated, “Sales in the current third quarter were the highest for any quarter in our history. The ongoing strength of the global fragrance market, the solid performance of our largest brands, and the addition of our newest brands, Lacoste and Roberto Cavalli, which contributed 10% to our growth, led to our record top-line performance.
“European-based operations net sales increased 21% from the prior year period, primarily led by Jimmy Choo and Montblanc with 17% and 10% sales growth, respectively. Jimmy Choo brand sales accelerated during the quarter, driven by the launch of I Want Choo Le Parfum, while Montblanc brand sales were propelled by ongoing strength in the Explorer and Legend lines.
“With regard to Coach, our established lines achieved sales that approximated those of the 2023 third quarter when comparable brand sales rose 32%. Our sales growth also reflected the addition of Lacoste and its well-received debut of the Lacoste Original line.”
Madar continued, “Many of our mid-sized brands also contributed to our quarterly sales growth. In the absence of a major launch, Lanvin sales rose 31% due to the resumption of normalized sales in Eastern Europe and Asia, partially offsetting the decline in sales observed in the first half of the year, and Karl Lagerfeld grew sales 19% with an expanded product offering that includes a new pillar, Ikonik.”
In regard to United States-based operations, Mr. Madar noted, “Building on the healthy 12% sales growth during the first half of 2024, third-quarter sales rose 9%, compared to the prior year period. Of note, this result is all the more worth highlighting given the challenging comparison to the third quarter of 2023, where sales grew 64% from the prior year period.
“Sales from our largest United States brand, GUESS, grew 16% during the quarter, attributable to the continued performance of legacy scents, and the roll-out of GUESS Iconic, which is becoming a huge success.
“Sales from our second largest United States brand duo, Donna Karan/DKNY, now entering its third year under our expertise, grew 4% during the quarter. The new entrant for the brand, DKNY 24/7 is rolling out globally, following the successful yet limited distribution to select markets over the summer. Full distribution began in September, and we look for further sales momentum through the balance of the year, giving us confidence that it will become the next $100 million brand in our portfolio.
“Despite the 55% increase in Ferragamo sales in last year’s third quarter, brand sales gained further traction in the current period aided by the success of the latest brand enrichment, Signorina Unica.
“For our new brand, Roberto Cavalli, Sweet Ferocious debuted in August, and we already began shipping the Wild Heart duo, which is scheduled to be in stores next month, in time for holiday season sales.”
Madar concluded, “It's been a great year so far, and we are well positioned in this growing, dynamic, and competitive marketplace to support our retailers and distributors, as we build upon our past successes with innovative new products supported by well-planned and executed advertising and promotional programs. While the pace of growth is starting to slow down, the power of our diverse brand portfolio, in combination with our agile operating model, should help us gain market share.”
Looking Foward
Interparfums reaffirms its previously announced 2024 guidance of net sales of $1.45 billion, resulting in earnings per diluted share of $5.15. Initial full-year 2025 guidance is scheduled to be announced on Tuesday, November 12, 2024, after the market close.
