Inter Parfums Inc. posted sales upticks for the fourth quarter, driven by the company’s European operations.
For the full year, Inter Parfums posted $591.3 million in sales, up 13.5 percent from the prior-year period. The European operations posted a 17.9 percent increase to $404 million in sales, while the U.S. arm posted a 1.9 percent decline in sales to $114.8 million.
For the fourth quarter, Inter Parfums posted net sales of $149.5 million, up 11 percent year-over-year. European operations posted a 15.5 percent year-over-year sales increase, to $115.4 million, while the U.S. posted a 2.2 percent decline, to $34.1 million.
“The final quarter was stronger than expected with our new Coach for Men contributing much of the upside surprise,” said Inter Parfums chief executive officer Jean Madar. “Coach brand sales well exceeded both last year’s fourth quarter and the full year, quickly making it our fourth largest brand. Rochas, another of our newer brands, also performed quite well, with brand sales up over 39 percent and 34 percent for the 2017 fourth quarter and full year, respectively, rising to fifth place among our European brands.”
Montblanc grew 4 percent; Jimmy Choo grew 20 percent, and Lanvin grew 5 percent in the fourth quarter, the company said.
“With continued sales of our legacy scents combined with product launches for many of our brands including Jimmy Choo, Lanvin, Coach, Van Cleef & Arpels and Boucheron, we look for continued sales growth in 2018,” Madar said.
In the U.S., Madar called out Dunhill as having a strong quarter because of the launch of Icon Racing.
“The slight decline in sales by U.S.-based operations in total relates more to timing of new product launches than with the strength of our brands,” Madar said. “With 2018 product launches for many of our major brands, including Abercrombie & Fitch, Hollister, Dunhill, Anna Sui and Oscar de la Renta, we look forward to resuming consolidated sales growth for U.S. based brands in 2018.”
The company is projecting net income “at the high end” of its $1.27 to $1.29 guidance. Inter Parfums is also expecting net sales of $620 million for 2018.