Inter Parfums reports losses for Q2 2015
Inter Parfums, Inc. reported the results for its second quarter ended on June 30, 2015. The company reported a decrease in net sales and net income, and an increase in sales in the US.
Net sales for Q2 2015 decreased 5.2% to $102 million compared to $118.2 million in the previous second quarter. European-based operations generated net sales of $77.1 million compared to $94.7 million in the previous second quarter, and US-based operations generated $24.9 million compared to $23.5 million in the previous year, an increase of 5.7%. The company reported a net income of $4.4 million in the second quarter compared to $6.1 million in the previous year.
Jean Mader, Chairman and CEO of Inter Parfums, Inc. attributes the decrease in European sales numbers to currency fluctuations and weakness in markets.
Mader said, “The greatest headwind came from the 19% depreciation of the euro versus the dollar, which served to mask sales growth for some brands, and exacerbate declines for others. Additionally, some brands had challenging comparisons against very strong new product launches in the second quarter of 2014. For example, our largest brand, Montblanc, experienced a 23% decline in local currency and a 38% reduction in dollars due largely to the high bar set by the launch of Emblem in the second quarter of last year. Lastly, the economic environments in some of our markets, particularly Eastern Europe and China, have weakened in 2015.”
EVP and CFO of Inter Parfums, Inc., Russell Greenberg, concluded by saying, “We currently expect 2015 net sales to come in at a range of $460 to $470 million, resulting in net income per share attributable to Inter Parfums in the range of $0.95 to $1.00 per diluted share. Our current guidance takes into account continued negative market conditions prevailing in China and Eastern Europe. Our guidance also assumes the dollar remains at current levels.”
Copyright © 2022 FashionNetwork.com All rights reserved.