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Inter Parfums Inc. is working to put Burberry behind it, and charge ahead with newly signed fragrance licenses.
With the release of the company’s earnings on Wednesday, Jean Madar, the firm’s chairman and chief executive officer, said, “We are also on the lookout for suitable acquisitions.”
The company reported that net income attributable to the company in the second quarter declined 36.7 percent to $3.8 million, or 12 cents a diluted share, compared with $6 million, or 20 cents a share, in the year-ago period.
Net sales for the quarter ended June 30 — excluding the Burberry brand — gained 17 percent to $96.8 million, compared with $82.7 million, in the year-ago period. Including Burberry, net sales declined 19.3 percent to $117.5 million, compared with $145.6 million. At constant exchange, sales decreased 20.6 percent.
Sales from the company’s European-based operations of ongoing brands gained 15 percent to $72 million, compared with $62.8 million in the year-earlier quarter. Including Burberry, European-based sales were down 26.2 percent.
The company’s sales by U.S.-based operations gained 24.4 percent to $24.8 million, compared with $20 million, driven by expanded retail distribution for Anna Sui fragrances. Also, in April, the company’s U.S.-based operations took over the manufacture and distribution of Alfred Dunhill fragrances, which boosted its second quarter sales.
As reported, Inter Parfums and Burberry have terminated their license agreement, with Burberry exiting the portfolio on March 31.
Madar said Wednesday, “The remaining Burberry inventory generated $20.7 million in second-quarter sales and officially concluded this chapter in our company’s story. We move forward confident in our ability to grow our business through the introduction of new fragrances for our core brands by broadening our distribution channels and by adding new names to our brand portfolio.” He added the company recently signed agreements with Shanghai Tang, China’s premier luxury fashion label, and London-based Agent Provocateur.