Interparfums, Inc. Reports Record 2024 Third Quarter Results
Interparfums reported record Q3 2024 results with net sales reaching $425M, up 15% from 2023. The company achieved a gross margin of 63.9% and operating income of $106M, up 22%. Third quarter sales growth was strong across major markets: North America (+12%), Western Europe (+25%), and Asia/Pacific (+15%). The newly acquired Roberto Cavalli and Lacoste fragrance lines contributed 10% to Q3 topline performance. The company maintains its 2024 guidance of $1.45B in net sales and $5.15 earnings per diluted share. A quarterly dividend of $0.75 per share will be paid on December 31, 2024.
Interparfums ha riportato risultati record nel terzo trimestre del 2024, con vendite nette che hanno raggiunto $425 milioni, in aumento del 15% rispetto al 2023. L'azienda ha conseguito un margine lordo del 63,9% e un reddito operativo di $106 milioni, in crescita del 22%. La crescita delle vendite del terzo trimestre è stata forte in tutti i principali mercati: Nord America (+12%), Europa occidentale (+25%) e Asia/Pacifico (+15%). Le nuove linee di profumi Roberto Cavalli e Lacoste hanno contribuito per il 10% alle performance del fatturato del terzo trimestre. L'azienda mantiene le previsioni per il 2024, pari a $1,45 miliardi di vendite nette e $5,15 di utili per azione diluiti. Un dividendo trimestrale di $0,75 per azione sarà corrisposto il 31 dicembre 2024.
Interparfums reportó resultados récord en el tercer trimestre de 2024, con ventas netas alcanzando los $425 millones, un aumento del 15% respecto a 2023. La compañía logró un margen bruto del 63,9% y un ingreso operativo de $106 millones, un incremento del 22%. El crecimiento de las ventas en el tercer trimestre fue fuerte en los principales mercados: América del Norte (+12%), Europa Occidental (+25%) y Asia/Pacífico (+15%). Las recién adquiridas líneas de fragancias Roberto Cavalli y Lacoste contribuyeron con un 10% al rendimiento del ingreso del tercer trimestre. La compañía mantiene su guía para 2024 de $1.45 mil millones en ventas netas y $5.15 de ganancias por acción diluida. Se pagará un dividendo trimestral de $0.75 por acción el 31 de diciembre de 2024.
Interparfums는 2024년 3분기 기록적인 실적을 보고했으며, 순매출은 $425M로 2023년 대비 15% 증가했습니다. 회사는 총마진 63.9%를 달성했고, 운영 수익은 $106M으로 22% 증가했습니다. 3분기 매출 성장률은 주요 시장에서 강력했습니다: 북미(+12%), 서유럽(+25%), 아시아/태평양(+15%). 새로 인수한 Roberto Cavalli와 Lacoste 향수 라인은 3분기 실적의 10%를 기여했습니다. 회사는 2024년 순매출 $1.45B 및 희석 주당 $5.15의 가이던스를 유지하고 있습니다. 분기당 $0.75의 배당금은 2024년 12월 31일에 지급될 예정입니다.
Interparfums a annoncé des résultats records pour le troisième trimestre 2024, avec des ventes nettes atteignant 425 millions de dollars, en hausse de 15 % par rapport à 2023. L'entreprise a atteint une marge brute de 63,9% et un bénéfice d'exploitation de 106 millions de dollars, en hausse de 22 %. La croissance des ventes au troisième trimestre a été forte sur tous les principaux marchés : Amérique du Nord (+12 %), Europe de l'Ouest (+25 %) et Asie/Pacifique (+15 %). Les nouvelles lignes de parfums Roberto Cavalli et Lacoste ont contribué à hauteur de 10 % aux performances du chiffre d'affaires du troisième trimestre. L'entreprise maintient ses prévisions pour 2024, avec 1,45 milliard de dollars de ventes nettes et 5,15 dollars de bénéfice par action diluée. Un dividende trimestriel de 0,75 $ par action sera versé le 31 décembre 2024.
Interparfums hat im 3. Quartal 2024 Rekordergebnisse erzielt, mit Nettoumsätzen von $425 Millionen, was einem Anstieg von 15% im Vergleich zu 2023 entspricht. Das Unternehmen erreichte eine Bruttomarge von 63,9% und ein Betriebsergebnis von $106 Millionen, was einem Anstieg von 22% entspricht. Das Umsatzwachstum im dritten Quartal war in allen wichtigen Märkten stark: Nordamerika (+12%), Westeuropa (+25%) und Asien/Pazifik (+15%). Die neu erworbenen Roberto Cavalli und Lacoste Parfümlinien trugen mit 10% zur Umsatzperformance im 3. Quartal bei. Das Unternehmen hält an der Prognose für 2024 fest, die Nettoumsätze von $1,45 Milliarden und einen Gewinn von $5,15 pro verwässerter Aktie vorsieht. Eine vierteljährliche Dividende von $0,75 pro Aktie wird am 31. Dezember 2024 ausgezahlt.
- Record Q3 net sales of $425M, up 15% YoY
- Operating income increased 22% to $106M
- Operating margin improved to 25.0% from 23.7%
- Strong regional growth across all major markets
- New brands (Roberto Cavalli and Lacoste) contributed 10% to Q3 sales
- Operating cash flow improved to $76.1M from $17.5M YoY
- Net income for nine months decreased 1% YoY
- Diluted EPS for nine months declined 2% to $4.34
- Operating margin for nine months decreased 160 bps to 21.9%
- Foreign exchange loss of $4M in Q3
Insights
Impressive quarterly performance with
The addition of Roberto Cavalli and Lacoste brands has been transformative, contributing
Management's maintained guidance of
The global fragrance market dynamics are particularly favorable for IPAR, with strong regional performance across North America (
The successful gift set strategy, now gaining traction beyond the U.S. into Europe and Middle East, demonstrates effective market penetration. The company's anticipation of more sustainable growth rates indicates market maturity and realistic planning, while maintaining strong promotional spending at
NEW YORK, Nov. 06, 2024 (GLOBE NEWSWIRE) -- Interparfums, Inc. (NASDAQ GS: IPAR) (“Interparfums” or the “Company”) today reported results for the third quarter and nine months ended September 30, 2024.
Financial Highlights: ($ in millions, except per share amounts) | Three Months Ended September 30, | Nine Months Ended September 30, | ||||
2024 | 2023 | % Change | 2024 | 2023 | % Change | |
Net Sales | ||||||
Gross Margin | flat | +30 bps | ||||
Operating Income | ||||||
Operating Margin | +130 bps | (160 bps) | ||||
Net Income attributable to IP | ( | |||||
Diluted EPS | ( | |||||
The average dollar/euro exchange rate for the 2024 third quarter was 1.10 compared to 1.09 in the 2023 third quarter, while for the first nine months of 2024, the average dollar/euro exchange rate was 1.09, compared to 1.08 in the first nine months of 2023, leading to a positive |
Operational Commentary
Jean Madar, Chairman & Chief Executive Officer of Interparfums noted, “Sales in the current third quarter were the highest for any quarter in our history led by the ongoing strength of the global fragrance market, solid performance of our largest brands, and the addition of our newest brands.
“Third quarter sales in our three largest markets, North America, Western Europe, and Asia/Pacific grew by
“Central and South America’s sales increased by
“During the summer months, we shipped initial orders for gift sets, resulting in successful sell-out and strong re-orders during the fall. Currently, our retail partners and distributors are replenished and well stocked in preparation for the holiday season. Historically, this program primarily catered to U.S.-based consumers; however, we are now experiencing higher demand across Europe and the Middle East. We anticipate healthy sell-out performance for the balance of the year.”
Discussing the newest brands, Mr. Madar continued, “The Roberto Cavalli and Lacoste fragrance lines, which entered our sales mix in the beginning of the year, have been welcome additions to our portfolio, contributing
“We are looking forward to a good final quarter and record results for the year. We have already received excellent feedback from both distributors and retailers on our 2025 new product pipeline, which is especially reassuring given that the fragrance market, while still robust, has somewhat moderated. For next year, we are expecting a softer landing with more sustainable growth rates than in prior years.
“While we are always on the lookout for additional brand opportunities, our broad-based existing portfolio, along with our expertise in advertising and promotion, product development, market intelligence, and global distribution, should continue to fuel record results in the coming years.”
Financial Commentary
Michel Atwood, Chief Financial Officer of Interparfums, shared, “Consolidated gross margin was unchanged from last year’s third quarter. The gross margin changes between our two segments were primarily driven by brand and channel mix.
“SG&A expenses grew
“Once again, the amortization cost of the Lacoste license is included in SG&A and amounts to
Mr. Atwood continued, “The net outcome of these effects is an operating income of
“Our financial position remains strong with
Guidance
Mr. Atwood concluded, “With most of the year behind us and a clear picture of the balance of the year, we are once again affirming our 2024 guidance which calls for net sales of
Initial full-year 2025 guidance is scheduled to be announced on Tuesday, November 12, 2024, after the market close.
Dividend
The Company’s regular quarterly cash dividend of
Conference Call
Management will host a conference call to discuss financial results and business operations beginning at 11:00am ET on Thursday, November 7, 2024.
Interested parties may participate in the live call by dialing:
U.S. / Toll-free: (877) 423-9820
International: (201) 493-6749
Participants are asked to dial-in approximately 10 minutes before the conference call is scheduled to begin.
A live audio webcast will also be available in the “Events” tab within the Investor Relations section of the Company’s website at www.interparfumsinc.com, or by clicking here. The conference call will be available for webcast replay for approximately 90 days following the live event.
About Interparfums, Inc.:
Operating in the global fragrance business since 1982, Interparfums, Inc. produces and distributes a wide array of prestige fragrance and fragrance related products under license agreements with brand owners. The Company manages its business in two operating segments, European based operations, through its
The portfolio of prestige brands includes Abercrombie & Fitch, Anna Sui, Boucheron, Coach, Donna Karan/DKNY, Emanuel Ungaro, Ferragamo, Graff, GUESS, Hollister, Jimmy Choo, Karl Lagerfeld, Kate Spade, Lacoste, MCM, Moncler, Montblanc, Oscar de la Renta, Roberto Cavalli, and Van Cleef & Arpels, whose products are distributed in over 120 countries around the world through an extensive and diverse network of distributors. Interparfums, Inc. is also the registered owner of several trademarks including Lanvin and Rochas.
Forward-Looking Statements:
Statements in this release which are not historical in nature are forward-looking statements. Although we believe that our plans, intentions, and expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such plans, intentions, or expectations will be achieved. In some cases, you can identify forward-looking statements by forward-looking words such as "anticipate, "believe", "could", "estimate", "expect", "intend", "may", "should", "will", and "would" or similar words. You should not rely on forward-looking statements, because actual events or results may differ materially from those indicated by these forward-looking statements as a result of a number of important factors. These factors include, but are not limited to, the risks and uncertainties discussed under the headings “Forward Looking Statements” and "Risk Factors" in Interparfums' annual report on Form 10-K for the fiscal year ended December 31, 2023, and the reports Interparfums files from time to time with the Securities and Exchange Commission. Interparfums does not intend to and undertakes no duty to update the information contained in this press release.
Contact Information: | ||
Interparfums, Inc. | or | The Equity Group Inc. |
Michel Atwood | Karin Daly | |
Chief Financial Officer | Investor Relations Counsel | |
(212) 983-2640 | (212) 836-9623 / kdaly@equityny.com | |
www.interparfumsinc.com | www.theequitygroup.com | |
See Accompanying Tables
INTERPARFUMS, INC. AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
(In thousands except share and per share data) | ||||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
September 30, 2024 | December 31, 2023 | |||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 78,419 | $ | 88,462 | ||||
Short-term investments | 78,783 | 94,304 | ||||||
Accounts receivable, net | 354,175 | 247,240 | ||||||
Inventories | 412,758 | 371,859 | ||||||
Receivables, other | 4,984 | 7,012 | ||||||
Other current assets | 26,788 | 29,458 | ||||||
Income taxes receivable | 533 | 691 | ||||||
Total current assets | 956,440 | 839,026 | ||||||
Property, equipment and leasehold improvements, net | 166,435 | 169,222 | ||||||
Right-of-use assets, net | 25,471 | 28,613 | ||||||
Trademarks, licenses and other intangible assets, net | 290,864 | 296,356 | ||||||
Deferred tax assets | 19,742 | 14,545 | ||||||
Other assets | 21,648 | 21,567 | ||||||
Total assets | $ | 1,480,600 | $ | 1,369,329 | ||||
LIABILITIES AND EQUITY | ||||||||
Current liabilities: | ||||||||
Loans payable - banks | $ | 8,957 | $ | 4,420 | ||||
Current portion of long-term debt | 44,538 | 29,587 | ||||||
Current portion of lease liabilities | 6,189 | 5,951 | ||||||
Accounts payable – trade | 96,578 | 97,409 | ||||||
Accrued expenses | 166,156 | 178,880 | ||||||
Income taxes payable | 17,164 | 8,498 | ||||||
Total current liabilities | 339,582 | 324,745 | ||||||
Long–term debt, less current portion | 134,585 | 127,897 | ||||||
Lease liabilities, less current portion | 21,304 | 24,517 | ||||||
Equity: | ||||||||
Interparfums, Inc. shareholders’ equity: | ||||||||
Preferred stock, $.001 par; authorized 1,000,000 shares; none issued | — | — | ||||||
Common stock, $.001 par; authorized 100,000,000 shares; outstanding 32,029,580 and 32,004,660 shares at September 30, 2024 and December 31, 2023, respectively | 32 | 32 | ||||||
Additional paid-in capital | 101,123 | 98,565 | ||||||
Retained earnings | 762,826 | 693,848 | ||||||
Accumulated other comprehensive loss | (32,641 | ) | (40,188 | ) | ||||
Treasury stock, at cost, 9,981,665 and 9,981,665 shares at September 30, 2024 and December 31, 2023, respectively | (52,864 | ) | (52,864 | ) | ||||
Total Interparfums, Inc. shareholders’ equity | 778,476 | 699,393 | ||||||
Noncontrolling interest | 206,653 | 192,777 | ||||||
Total equity | 985,129 | 892,170 | ||||||
Total liabilities and equity | $ | 1,480,600 | $ | 1,369,329 |
INTERPARFUMS, INC. AND SUBSIDIARIES | |||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||||||
(In thousands except per share data) | |||||||||||||||||
(Unaudited) | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2024 | 2023 | 2024 | 2023 | ||||||||||||||
Net sales | $ | 424,629 | $ | 367,969 | $ | 1,090,821 | $ | 988,936 | |||||||||
Cost of sales | 153,469 | 132,962 | 396,519 | 362,568 | |||||||||||||
Gross margin | 271,160 | 235,007 | 694,302 | 626,368 | |||||||||||||
Selling, general and administrative expenses | 165,166 | 147,805 | 455,506 | 393,866 | |||||||||||||
Income from operations | 105,994 | 87,202 | 238,796 | 232,502 | |||||||||||||
Other expenses (income): | |||||||||||||||||
Interest expense | 1,978 | 2,397 | 5,726 | 7,030 | |||||||||||||
Loss (gain) on foreign currency | 3,355 | (669 | ) | 3,085 | (656 | ) | |||||||||||
Interest and investment loss (income) | 254 | (1,062 | ) | (1,690 | ) | (8,421 | ) | ||||||||||
Other loss (income) | 1 | (77 | ) | (35 | ) | (125 | ) | ||||||||||
5,588 | 589 | 7,086 | (2,172 | ) | |||||||||||||
Income before income taxes | 100,406 | 86,613 | 231,710 | 234,674 | |||||||||||||
Income taxes | 23,571 | 20,493 | 54,974 | 55,128 | |||||||||||||
Net income | 76,835 | 66,120 | 176,736 | 179,546 | |||||||||||||
Less: Net income attributable to the noncontrolling interest | 14,576 | 12,906 | 36,606 | 37,312 | |||||||||||||
Net income attributable to Interparfums, Inc. | $ | 62,259 | $ | 53,214 | $ | 140,130 | $ | 142,234 | |||||||||
Earnings per share: | |||||||||||||||||
Net income attributable to Interparfums, Inc. common shareholders: | |||||||||||||||||
Basic | $ | 1.94 | $ | 1.66 | $ | 4.37 | $ | 4.44 | |||||||||
Diluted | $ | 1.93 | $ | 1.66 | $ | 4.34 | $ | 4.42 | |||||||||
Weighted average number of shares outstanding: | |||||||||||||||||
Basic | 32,026 | 31,976 | 32,030 | 32,000 | |||||||||||||
Diluted | 32,266 | 32,124 | 32,266 | 32,149 | |||||||||||||
Dividends declared per share | $ | 0.750 | $ | 0.625 | $ | 2.250 | $ | 1.875 | |||||||||
FAQ
What was Interparfums (IPAR) Q3 2024 revenue?
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How much did Roberto Cavalli and Lacoste brands contribute to IPAR's Q3 2024 sales?