Inter Parfums sales continue to fall
Sales fell from $123.5m (€82.09m) in the corresponding quarter last year, to $117.4m, which the company said at comparable exchange meant that the figure was 3 per cent that for the quarter in 2008.
More than two thirds of the company’s sales - which are led by fragrance brands that include Burberry, Paul Smith and S.T. Dupont - are derived from Europe, making the impact of a weak euro against a stronger US dollar a significant one.
Sales slide more pronounced in the US
Breaking the figures down Inter Parfums CEO Jean Madar said sales in Europe fell by 4.4 per cent to $104m.
Madar pointed out that the latest quarter was a difficult one, with tough economic conditions still prevailing in Europe, while a busy launch period in the corresponding period last year also made comparisons difficult.
“In comparison, the 2009 third quarter new product launches were far more modest and included limited distribution of Van Cleef & Arpels Collection Extraordinaire and the launch of Paul Smith Man,” said Madar.
Sales in the US market declined by 9 per cent to $13.5m, which the company pointed out was considerably less than that for the first half of the year.
Decline in sales is slowing
The sales figure for the first nine months of the year was down 14 per cent, from $345.8m to $296.6m, which in comparable foreign exchange rates represented a fall of 11 per cent.
The company was quick to underline that the decline has slowed significantly compared to the first six months of the year, in line with the first signs of recovery in both the global economy and the retail environment in Europe and the US.
Looking ahead to the full financial year, the company said that, based on the sales achieved during the third quarter its current guidance was probably conservative and that it would give a guidance update when full financial figures for the quarter are revealed on November 7.
