In This Article:
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Net Sales: Increased by 21% to $1.318 billion for the full year 2023.
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Gross Margin: Remained stable at 63.7% for the full year despite inflation pressures.
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Operating Income: Rose by 29% to $251 million for the full year, with operating margin improving by 120 basis points.
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Net Income: Attributable to IPAR increased by 26% to $153 million for the full year.
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Diluted EPS: Grew by 26% to $4.75 for the full year 2023.
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Dividend: Annual dividend increased by 20% to $3.00 per share.
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Share Buyback: Company repurchased 116,860 shares at a cost of $15.4 million in 2023.
On February 27, 2024, Inter Parfums Inc (NASDAQ:IPAR) released its 8-K filing, announcing its fourth quarter and full year results for the period ended December 31, 2023. The company, known for its manufacturing, marketing, and distribution of fragrances and related products under renowned brands such as JIMMY CHOO, Coach, and Montblanc, reported a 6% increase in net sales for the fourth quarter and a 21% increase for the full year, reaching a record $1.318 billion.
Despite global economic challenges, Inter Parfums Inc (NASDAQ:IPAR) achieved a gross margin of 64.7% for the fourth quarter, slightly up from the previous year, and maintained a stable full year gross margin of 63.7%. Operating income for the year rose to $251 million, a 29% increase, with the operating margin improving to 19.1%, reflecting a 120 basis-point enhancement over the previous year. Net income attributable to IPAR for the full year was $153 million, marking a 26% increase, and diluted earnings per share (EPS) grew by 26% to $4.75.
Financial and Operational Highlights
Chairman & CEO Jean Madar highlighted the strong demand for the company's brands, with significant sales growth across their largest brands, including a 19% increase for Jimmy Choo, making it the largest brand in their portfolio. The company also saw robust growth in all key markets, with North America, Europe, and Asia achieving sales gains of 22%, 21%, and 17%, respectively.
"Ongoing demand for our brands, strong holiday season sell-through, and a dynamic fragrance market resulted in a strong 2023 fourth quarter and record full year net sales and earnings results," said Jean Madar.
Chief Financial Officer Michel Atwood noted that the company achieved its bottom line goal despite a tax assessment, and if excluded, the EPS would have been $4.82. He also mentioned that the consolidated gross margin was nearly identical year-over-year, with higher selling prices and channel/product mix offsetting inflation headwinds.