Inter Parfums, Inc. (Interparfums), the global fragrance manufacturer, has exceeded expectations with its sales performance in the fourth quarter of 2020. This positive outcome has prompted the company to raise its full-year earnings guidance. The company recorded a 3.5% increase in sales, with net sales totaling $184.0 million, compared to $177.8 million in the same period the previous year. Although sales remained flat year over year when adjusted for constant currencies, they showed improvement in Q4 compared to Q3, which is typically the company’s strongest quarter.

The growth in sales can be attributed to Interparfums’ European-based product sales, which experienced an 8.1% increase, reaching $139.6 million compared to $129.1 million in the previous year. However, this progress was partly offset by an 8.8% decline in U.S.-based product sales, which fell from $48.7 million to $44.4 million. Notably, the Anna Sui brand fragrances saw significant growth, with sales rising by 62.3%. Other brands, including Coach, Jimmy Choo, and Montblanc, also witnessed increases in sales of 18.0%, 13.4%, and 9.8% respectively.

Despite the strong performance in the fourth quarter, Interparfums’ overall sales for 2020 dropped by 24.5% to $539.0 million when compared to the record sales of $713.5 million achieved in 2019. European-based product sales decreased by 22.0% to $422.9 million, while U.S.-based product sales experienced a decline of 32.3%.

Jean Madar, the chairman and CEO of Interparfums, credited the company’s solid performance to its adaptive measures and effective response during the pandemic. He emphasized that despite the lower sales compared to 2019, it showcased the quality and resilience of the brand portfolio.

In light of the stronger-than-expected sales in Q4, Interparfums has revised its full-year earnings per share guidance for fiscal 2020 to a range of $1.15 to $1.20. However, due to the ongoing uncertainty surrounding the Covid-19 pandemic, the company is maintaining its previously reported projections for fiscal 2021. It forecasts annual sales in the range of $610 million to $625 million and diluted net income per share in the range of $1.20 to $1.25.

Interparfums delayed most of its new product launches in 2020 but anticipates a busier release schedule in 2021. The company has a robust pipeline of new products lined up, including women’s fragrances for brands like Jimmy Choo, Kate Spade, Lanvin, and Rochas in its European operations. It also plans to unveil fragrance duos for the Abercrombie & Fitch and Hollister brands in its U.S. operations, along with women’s scents for the Anna Sui, Guess, MCM, and Oscar de la Renta brands.

Useful links:
– For more information on Interparfums, visit their official website here.
– To explore Interparfums’ range of products, you can visit their online store here.