Inter Parfums SA Sales Drop 27.9% in Q2

Company raises sales and earnings guidance for the full year.

PARIS — Inter Parfums SA said second-quarter revenues declined 27.9 percent to 70.7 million euros, or $92.3 million, including the sale of remaining inventory of components and finished products to Burberry.


Excluding the Burberry business, sales for Inter Parfums Inc.’s Paris-based subsidiary increased 11.8 percent to 54.9 million euros, or $71.7 million.


As reported, Burberry took back its beauty business on March 31.


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In the first half of this year, Inter Parfums SA sales gained 4.6 percent to 218.5 million euros, or $286.9 million. Without the Burberry activity, company revenues advanced 13.4 percent to 119.7 million euros, or $157.2 million.


Dollar figures are calculated at average exchange rates for the period to which they refer.


Philippe Benacin, chairman and chief executive officer of Inter Parfums SA, cited a “a very positive performance of the group’s continuing brands, driven in particular by the successful launch of Jimmy Choo Flash, accelerating momentum by Montblanc Legend and favorable market responses to the lines Me of Lanvin and Rêve of Van Cleef & Arpels, in addition to higher-than-expected sales from the discontinued Burberry license.


“On that basis, we have raised our full-year guidance for 2013 sales to euros 320 million [or $422.2 million at current exchange],” he continued. “Operating profit is expected to significantly exceed initial targets for the first six months. A large portion of the first-half profit is expected to be reinvested in the second half to bolster support for the Repetto and Boucheron launches and the continued worldwide development of the Lanvin, Jimmy Choo and Montblanc brands.”


Inter Parfums SA’s operating margin is now expected to end the full year at more than 12 percent, according to Philippe Santi, the company’s executive vice president.

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