Inter Parfums Inc. posted fourth-quarter net sales that exceeded its own expectations and left the beauty firm with sales growth of more than 11 percent for the year.
Net sales rose to $134.8 million for the three months ended Dec. 31, a 13.9 percent increase over a year earlier. The bump was due in large part to strong European sales of the Montblanc “Legend” fragrances during the quarter, which increased 30 percent.
The company’s newer fragrance brands — like Coach and Rochas, with sales growing to $9.1 million and $9.9 million, respectively — did their part during the quarter. As for brands in the U.S., new fragrances from Abercrombie & Fitch and Hollister were mainly responsible for sales increasing by 17 percent.
Inter Parfums’ net sales for all of 2016 rose to $521.1 million, an 11.2 percent jump over the previous year.
“The final quarter of 2016 was better than expected,” said Jean Madar, chairman and chief executive officer.
But the picture wasn’t all rosy. Madar said sales of Jimmy Choo brand fragrances dropped by 9 percent for the final quarter and 2 percent for the year “in the absence of a major new product launch.”
“The bar was set unusually high in 2015 when brand sales were up 18 percent compared to the preceding year,” he added.
Going forward in 2017, Madar said the company has “an impressive lineup” of new fragrances that will be rolling out in the U.S. and Europe, including a new scent from Rochas, a first-ever men’s fragrance from Coach and “major” extensions for Abercrombie and Hollister.
In November, the company said it expects to continue growing throughout 2017, and projected net sales of between $550 million and $560 million, with earnings per share between $1.20 to $1.24.