PARIS — Inter Parfums SA said Wednesday it maintained a growth path in 2013 without the Burberry fragrance business and with strong progress from the Montblanc, Jimmy Choo and Repetto brands.
Net income at the company, which is the Paris-based subsidiary of Inter Parfums Inc., was 34.8 million euros, or $46.2 million, down 4 percent on-year.
“Bolstered by the first half’s excellent performances, the company significantly ramped up marketing and advertising in the second part of the year,” the company said.
Operating profit dipped 9 percent to 52.2 million euros, or $69.3 million, while operating margin came in at 14.9 percent, versus 12.9 percent in 2012. Net margin was 9.9 percent, against 8.2 percent in the prior-year period.
On Dec. 31, Inter Parfums SA’s net cash stood at 222 million euros, or $294.8 million, while shareholders’ equity was 355 million euros, or $471.5 million.
“Constant controls over working capital requirements linked mainly to the termination of the Burberry license further strengthened the financial position,” the company noted.
As reported, Inter Parfums SA’s full-year sales declined 21.3 percent to 350.4 million euros, or $465.4 million. Recurring revenues in 2013 grew 19.3 percent.
Dollar figures are converted from the euro at average exchange for the period to which they refer.
“In 2014 we will pursue [our] brand-building strategy for our entire portfolio, though devoting particular efforts to Karl Lagerfeld and Balmain fragrances in a startup phase,” said Philippe Santi, executive vice president and chief financial officer at Inter Parfums SA. “As announced at year-end, reflecting this strong support and long-term vision, the operating margin for 2014 is not expected to exceed 11 percent.”