Inter Parfums Inc. reported sales gains for its latest quarter.
The perfume business said that for the quarter ended Sept. 30, net sales increased 13.4 percent to $157.6 million, up from $138.9 million in the prior-year period. Inter Parfums plans to report full quarterly results on Nov. 8.
For the quarter, European-based product sales were up 12 percent to $123.4 million and U.S.-based sales were up 19 percent to $34.2 million, the company said. For the nine months ended Sept. 30, European sales were up 11 percent to $304.1 million and U.S. sales were up 8 percent to $82.2 million, bringing total sales to $386.3 million through Sept. 30.
“Both our European and U.S. operations performed exceptionally well during the third quarter,” said Inter Parfums chairman and chief executive officer Jean Madar. “For our European operations, the debut of our signature Coach women’s scent exceeded initial expectations. The global rollout, which began in July of this year, primarily in the U.S., is underway and will continue into 2017.
“Our largest brand, Montblanc, continued to excel with an 11 percent increase in comparable quarter sales due to the consistently strong performance of the Legend fragrance family, including its newest member, Legend Spirit, which launched earlier this year. With the successful integration of Rochas, that brand’s fragrance sales more than doubled from last year’s third quarter based upon strong demand for the Eau de Rochas and Rochas Man lines in Spain and France.
“Our Van Cleef & Arpels Collection Extraordinaire did well, resulting in a more than 50 percent increase in third-quarter brand sales, compared to the prior-year period. Lanvin brand sales were up modestly compared to the prior year third quarter, boosted by the launch of the Modern Princess line, primarily in France. Of our largest brands, only Jimmy Choo brand sales declined as last year’s third quarter included the major launch of the Illicit line; however, comparable nine-month brand sales are just about the same.
“New brands accounted for most of the 19 percent increase in U.S.-based product sales, most notably the international rollout of the Abercrombie & Fitch men’s scent, First Instinct, and the Hollister fragrance duo, Wave,” Madar continued. “Many of the Hollister namesake stores domestically and internationally are now carrying Wave and First Instinct recently debuted at the Abercrombie & Fitch flagship stores in New York, Paris, Milan and London.
“In addition to new brands, Dunhill consistently contributes to our top-line growth. Comparable-quarter brand sales rose 12 percent owing to the strength of the Dunhill icon fragrance franchise, which we are expanding with brand extensions such as Icon Elite that launched in the third quarter.”
Inter Parfums adjusted its guidance based on its better-than-expected third-quarter sales. For the full year, the company expects that net sales will be at the high end of its guidance range of $500 million to $510 million. Net income is expected to be at the top of Inter Parfums’ guidance range of $1.05 to $1.11 a diluted share, according to Russell Greenberg, Inter Parfums’ executive vice president and chief financial officer. Inter Parfums also decided to increase its dividend payment by 13 percent, to 68 cents a share annually. The next quarterly cash dividend, 17 cents, is payable on Jan. 13.