In This Article:
Inter Parfums, Inc. IPAR is likely to register a bottom-line decline when it reports first-quarter 2025 earnings on May 5. The Zacks Consensus Estimate for quarterly earnings has remained unchanged in the past 30 days at $1.13 per share, indicating an 11% decrease from $1.27 per share reported in the year-ago quarter. IPAR has a trailing four-quarter negative earnings surprise of 1%, on average. (Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.)
Things to Know Ahead of IPAR’s Q1 Earnings
Inter Parfums is experiencing growth driven by increasing demand for its products and a robust brand portfolio. The company’s strategic emphasis on innovation and frequent product launches has enabled it to remain resilient in a dynamic and increasingly competitive market landscape. In addition, a growing e-commerce footprint continues to drive results, enhancing customer reach. These ongoing trends position Inter Parfums well for the to-be-reported quarter.
However, elevated selling, general and administrative (SG&A) expenses have been a headwind, partly due to increased investments in advertising and promotional activities. While these efforts support long-term brand growth and visibility, they may apply short-term pressure on profit margins. Furthermore, Inter Parfums remains vulnerable to fluctuations in foreign exchange rates, impacting profitability.
Interparfums, Inc. Price and EPS Surprise
Interparfums, Inc. price-eps-surprise | Interparfums, Inc. Quote
A Look at IPAR’s Q1 Sales
Inter Parfums recently came out with its sales results for the first quarter of 2025, citing strength in its brands and innovation pipeline. The company achieved a 5% increase in net sales, reaching $339 million. On an organic basis, net sales rose 7%, driven by continued demand for its several brand fragrances and innovations. Despite ongoing global challenges and market uncertainties, the company maintained its strategic focus and agility, capitalizing on the sustained momentum in the global fragrance industry.
Europe-based net sales were $248 million in the first quarter, a 7% increase from the prior-year’s level. The robust sales growth was fueled by standout performances from three of Inter Parfums' leading brands: Jimmy Choo, Coach and Lacoste, which posted impressive year-over-year gains of 36%, 11% and 30%, respectively. Jimmy Choo's performance was driven by continued strong demand for its I Want Choo and Jimmy Choo Man fragrance lines. Meanwhile, Coach experienced a solid boost thanks to the successful launch of Coach Man Extreme and sustained demand across its core product lines. Lacoste also maintained strong momentum. Montblanc fragrance sales declined 16% in the first quarter, primarily due to a tough year-over-year comparison.
In the first quarter of 2025, Inter Parfums’ U.S.-based net sales reached $94 million, indicating a 1% year-over-year decline. The company delivered a 3% organic sales increase in the region. However, the discontinuation of the Dunhill license had a 4% negative impact, leading to a 1% decline for the quarter. Donna Karan/DKNY fragrances posted a 5% sales increase, driven by the continued strength of the Cashmere Mist franchise. MCM delivered 17% growth, fueled by the successful rollout of the Park Collection. Roberto Cavalli also saw a strong performance, with net sales rising 28% following the start of its fragrance distribution in February 2024. Although GUESS maintained strong momentum, sales dipped slightly.