Core Viewpoint - Interparfums reported quarterly earnings of $1.32 per share, exceeding the Zacks Consensus Estimate of $1.13 per share, and showing an increase from $1.27 per share a year ago, representing an earnings surprise of 16.81% [1][2] Financial Performance - The company achieved revenues of $338.82 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 0.47% and increasing from $323.96 million year-over-year [2] - Over the last four quarters, Interparfums has consistently surpassed consensus EPS estimates [2] Stock Performance - Interparfums shares have declined approximately 14.1% since the beginning of the year, compared to a decline of 3.3% for the S&P 500 [3] - The current Zacks Rank for Interparfums is 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The consensus EPS estimate for the upcoming quarter is $1.24 on revenues of $358.05 million, and for the current fiscal year, it is $5.34 on revenues of $1.51 billion [7] - The trend of estimate revisions for Interparfums is currently mixed, which may change following the recent earnings report [6] Industry Context - The Consumer Products - Discretionary industry, to which Interparfums belongs, is currently ranked in the bottom 24% of over 250 Zacks industries, indicating potential challenges ahead [8]

[Form 8-K Current Report](index=1&type=section&id=Form%208-K%20Current%20Report) [Results of Operations and Financial Conditions](index=2&type=section&id=Item%202.02%20Results%20of%20Operations%20and%20Financial%20Conditions) The company announced its first quarter 2025 financial results by incorporating specific sections of its April 23, 2025 press release (Exhibit 99.1) - The company filed its Q1 2025 operational and financial results by referencing its press release (Exhibit 99.1)[4](index=4&type=chunk) [Regulation FD Disclosure](index=2&type=section&id=Item%207.01%20Regulation%20FD%20Disclosure) The company is publicly disclosing certain information from its press release (Exhibit 99.1) under Regulation FD - Certain information from the press release (Exhibit 99.1) is filed under Regulation FD to ensure fair disclosure[4](index=4&type=chunk) [Financial Statements and Exhibits](index=2&type=section&id=Item%209.01%20Financial%20Statements%20and%20Exhibits) This section lists the filed exhibit, a press release dated April 23, 2025 (Exhibit 99.1), specifying relevant paragraphs for financial results and disclosures [Summary of Press Release (Exhibit 99.1)](index=2&type=section&id=Exhibit%2099.1%20Press%20Release%20Summary) The press release details Q1 2025 net sales, reaffirms full-year 2025 guidance, and outlines future plans and challenges including product launches, tariffs, and price increases - The press release contains information on net sales for the first quarter ended March 31, 2025[5](index=5&type=chunk) - The company reaffirmed its previously announced guidance for the full year 2025[5](index=5&type=chunk) - Identified business challenges for 2025 include tariffs and price increases on certain lines planned for August 2025[5](index=5&type=chunk) - Future plans include a new product launch for Montblanc and potential future sales growth for the brand[5](index=5&type=chunk) - The company will release full Q1 2025 results on May 5, 2025, and host a conference call for investors on May 6, 2025[5](index=5&type=chunk)

Financial Performance - Net sales for the three months ended March 31, 2025, increased by 5% to $338.8 million compared to $324.0 million in the same period of 2024[98] - European based product sales rose by 7% to $247.8 million, driven by strong performances from Jimmy Choo (up 36%), Coach (up 11%), and Lacoste (up 30%) compared to the prior year[99] - United States based product sales decreased by 1% to $94.3 million, impacted by the discontinuation of the Dunhill license, which had a 4% negative effect on sales[100] - North America net sales increased by 14% to $123.0 million, while sales in Eastern Europe surged by 46% to $25.6 million compared to the prior year[104] - The company's largest brands accounted for 76% of net sales, with Jimmy Choo, Coach, and Montblanc being the top contributors[87] - Net income attributable to Interparfums, Inc. was $42.5 million for the three months ended March 31, 2025, compared to $41.0 million in the prior year[125] Profitability and Margins - Gross profit margin as a percentage of net sales improved to 63.7% for the three months ended March 31, 2025, compared to 62.5% in the same period of 2024[105] - Operating margins improved to 22.2% for the three months ended March 31, 2025, up from 21.0% in the prior year[117] Expenses - Selling, general and administrative expenses as a percentage of net sales remained relatively flat at 41.6% for the three months ended March 31, 2025, compared to 41.5% in the prior year[111] - Selling, general and administrative expenses for European operations increased by 6.2% to represent 38.7% of net sales for the three months ended March 31, 2025, compared to 39.1% in the prior year[112] - For U.S. operations, selling, general and administrative expenses rose by 2.1% to 47.6% of net sales for the same period, up from 46.0% in the prior year, driven by increased employee-related costs and promotional spending[112] - Promotion and advertising expenses totaled $51.5 million, representing 15.2% of net sales for the three months ended March 31, 2025, compared to $48.3 million and 14.9% in the prior year[113] Cash Flow and Liquidity - Cash and cash equivalents totaled $171.9 million as of March 31, 2025, with no liquidity issues expected[128] - Working capital aggregated $604.6 million as of March 31, 2025, with approximately 78% held by European operations[129] - Cash used in operating activities was $7.4 million for the three months ended March 31, 2025, significantly lower than $52.0 million in the prior year[136] Dividends and Shareholder Returns - The Board of Directors increased the annual dividend to $3.20 per share in February 2025, with the next quarterly dividend of $0.80 per share payable on June 30, 2025[141] Foreign Currency and Risk Management - Approximately 50% of net sales from European operations are denominated in U.S. dollars, while costs are primarily incurred in euros, leading to foreign currency exposure[93] - As of March 31, 2025, the company had foreign currency forward exchange contracts valued at approximately USD $161 million with maturities of less than one year[148] - The company does not engage in trading foreign currency forward exchange contracts or interest rate swaps, focusing instead on risk management through controlled programs[144] - The company aims to minimize the effects of foreign exchange rate movements on receivables and cash flows, with hedging activities aligned with identified exposures[145] - The company monitors interest rates to determine whether to swap fixed interest rates for floating rate debt or vice versa, thereby mitigating interest rate risk[149] Future Plans - The company plans to launch several new products and brand extensions throughout 2025, including Ferragamo's Fiamma and Roberto Cavalli Serpentine[101] Economic Impact - Inflation rates in the United States and foreign countries did not significantly impact the company's operating results for the three months ended March 31, 2025[142]

Core Insights - Interparfums, Inc. reported a 5% increase in net sales for Q1 2025, reaching $339 million compared to $324 million in Q1 2024, reaffirming its sales and earnings guidance for 2025 [1][2][15] Financial Performance - Net sales for Q1 2025 were $339 million, a 5% increase from $324 million in Q1 2024 [2] - Gross margin improved to 63.7% from 62.5%, reflecting a 120 basis point increase [2][8] - Operating income rose by 10% to $75 million, with an operating margin of 22.2%, up from 21.0% [2][12] - Net income attributable to Interparfums, Inc. was $42 million, a 4% increase from $41 million in the previous year [2][28] - Diluted earnings per share (EPS) increased by 4% to $1.32 from $1.27 [2][28] Market Performance - Organic sales growth, excluding foreign exchange impacts and the Dunhill license discontinuation, was 7% [4] - North America and Western Europe saw sales increases of 14% and 1%, respectively, while Eastern Europe experienced a significant rebound with a 46% increase [5] - Asia/Pacific sales declined by 3%, and Central and South America saw a 10% decline, attributed to high prior year bases [5] Strategic Initiatives - The company renewed its partnership with Coach for an additional five years, extending the license until June 30, 2031 [6] - Interparfums is expanding its portfolio with the launch of the Solférino collection and acquisitions of Off-White and Annick Goutal, set for commercialization in 2026 [7] Financial Position - As of March 31, 2025, the company had $172 million in cash and cash equivalents, with working capital of $605 million [13] - SG&A expenses as a percentage of net sales were 41.6%, reflecting a slight increase due to higher advertising and promotional spending [9][11] - The company invested $52 million in A&P initiatives, representing 15.2% of net sales, a 7% increase from the prior year [11] Guidance - Interparfums reaffirms its 2025 guidance of net sales of $1.51 billion and earnings per diluted share of $5.35, both reflecting a 4% increase [15]

Core Insights - Inter Parfums, Inc. (IPAR) is expected to report a decline in earnings for Q1 2025, with a consensus estimate of $1.13 per share, reflecting an 11% decrease from $1.27 per share in the same quarter last year [1][7] Group 1: Earnings and Sales Performance - The company achieved a 5% increase in net sales for Q1 2025, totaling $339 million, with a 7% organic sales growth driven by strong demand for its fragrances and innovations [4] - U.S.-based net sales reached $94 million, showing a 1% year-over-year decline, while organic sales increased by 3% [6] - European net sales were $248 million, marking a 7% increase from the previous year, supported by strong performances from brands like Jimmy Choo, Coach, and Lacoste [5] Group 2: Strategic Initiatives and Market Position - Inter Parfums is focusing on innovation and frequent product launches, which have helped the company remain resilient in a competitive market [2] - The growing e-commerce presence is enhancing customer reach and contributing positively to sales results [2] Group 3: Challenges and Risks - Elevated selling, general and administrative (SG&A) expenses are impacting profit margins due to increased investments in advertising and promotional activities [3] - The company is vulnerable to foreign exchange rate fluctuations, which can affect profitability [3]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Interparfums despite higher revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Interparfums is expected to report quarterly earnings of $1.13 per share, reflecting an 11% decrease year-over-year, while revenues are projected at $337.57 million, a 4.2% increase from the previous year [3]. - The consensus EPS estimate has been revised 0.4% higher in the last 30 days, indicating a slight positive adjustment from analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the Most Accurate Estimate is lower than the consensus estimate, resulting in an Earnings ESP of -0.89%, indicating bearish sentiment among analysts [10][11]. - The stock holds a Zacks Rank of 3, making it challenging to predict a beat on the consensus EPS estimate [11]. Historical Performance - In the last reported quarter, Interparfums exceeded the expected earnings of $0.80 per share by delivering $0.82, resulting in a surprise of +2.50% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [13]. Market Sentiment - An earnings beat or miss may not solely dictate stock movement, as other factors can influence investor sentiment [14]. - Interparfums does not currently appear to be a strong candidate for an earnings beat, suggesting that investors should consider additional factors before making investment decisions [16].

Core Insights - Interparfums, Inc. (IPAR) reported a strong sales performance for Q1 2025, achieving a 5% increase in net sales to $339 million, with a 7% organic growth driven by brand demand and innovations [2][12] - The company reaffirmed its 2025 guidance, projecting net sales of $1.51 billion and earnings per share of $5.35, both reflecting a 4% year-over-year increase [12] Sales Performance - The Europe-based net sales reached $248 million, marking a 7% increase year-over-year, with significant contributions from brands like Jimmy Choo (36% growth), Coach (11% growth), and Lacoste (30% growth) [3][4] - In the U.S., net sales were $94 million, showing a 1% decline year-over-year, although organic sales increased by 3% [7] Brand Contributions - Jimmy Choo's growth was attributed to strong demand for its I Want Choo and Jimmy Choo Man lines [4] - Coach benefited from the successful launch of Coach Man Extreme and sustained demand for its core products [4] - Lacoste continued to perform well in its second year under Interparfums' management [4] - Donna Karan/DKNY fragrances saw a 5% sales increase, while MCM grew by 17% due to the Park Collection rollout [8] Market Challenges and Strategies - The company is navigating global market complexities, including new tariffs, and is making strategic supply chain adjustments [10] - Interparfums plans to implement selective price increases across certain fragrance lines starting August 2025 to address rising costs [11]

Core Insights - Interparfums, Inc. reported a 5% increase in net sales for Q1 2025, reaching $339 million compared to $324 million in Q1 2024 [2][5] - The company reaffirmed its 2025 guidance, projecting net sales of $1.51 billion and earnings per diluted share of $5.35, both reflecting a 4% increase [9] Sales Performance - European based net sales increased by 7% to $248 million, driven by strong performances from brands such as Jimmy Choo (up 36%), Coach (up 11%), and Lacoste (up 30%) [3][6] - United States based net sales saw a slight decline of 1% to $94 million, although organic sales increased by 3% when excluding the impact of the discontinued Dunhill license [3][7] Market Dynamics - The average dollar/euro exchange rate for Q1 2025 was 1.05, compared to 1.09 in Q1 2024, resulting in a negative 1% foreign exchange impact [4] - The company is addressing new tariffs through supply chain adjustments and plans selective price increases in August 2025 to mitigate rising costs [8] Brand Performance - Donna Karan/DKNY fragrance sales rose by 5%, while MCM sales grew by 17% due to the Park Collection rollout [8] - Roberto Cavalli experienced a 28% increase in net sales following the start of its fragrance distribution in February 2024 [8] Future Outlook - The company is optimistic about the fragrance market's strength and expects Montblanc fragrance sales to increase with the upcoming launch of Montblanc Explorer Extreme [6][8] - Management emphasized the importance of a diversified brand portfolio and robust innovation pipeline for strong performance throughout 2025 [5][8]

It has been about a month since the last earnings report for Interparfums (IPAR) . Shares have lost about 17.7% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Interparfums due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.How Have Estimates Been Moving Since Then? ...

Core Insights - Inter Parfums, Inc. (IPAR) is experiencing significant growth in the fragrance industry, driven by strong brand momentum and an expanding market share [1][3][11] Group 1: Brand Performance - The company's top six brands, which represent approximately 70% of total sales, saw a 5% increase in Q4 2024, while new brands like Lacoste and Roberto Cavalli contributed 8% to sales growth [3] - Inter Parfums achieved a 10% increase in net sales, reaching $362 million, marking its best-ever fourth-quarter performance [3] - GUESS is projected to become the third-largest brand with expected annual sales exceeding $200 million, supported by strong demand [4] Group 2: Product Launches and Expansions - Inter Parfums is set to launch a range of new fragrances in 2025, including blockbuster releases for Ferragamo, Rochas, and Roberto Cavalli [6][7] - The company will also introduce an exclusive fragrance duo for Karl Lagerfeld and new collections for DKNY, MCM, and Ungaro [6] - A significant milestone will be the launch of Solferino, Inter Parfums' first proprietary fragrance brand, enhancing its market presence [7] Group 3: Strategic Acquisitions - The acquisition of Maison Goutal allows Inter Parfums to expand its footprint in the high-end fragrance sector [8] - The extension of the exclusive worldwide license agreement with Coach for fragrances has been extended through June 2031, following a decade of successful sales growth from less than €10 million in 2015 to nearly €190 million in 2024 [8] Group 4: Financial Challenges - In 2024, selling, general and administrative (SG&A) expenses accounted for 44.7% of net sales, reflecting a 10 basis point increase from the previous year [9] - Advertising and promotion expenses totaled $281 million, up 7% from 2023, aimed at enhancing brand awareness [9] - Rising tariffs and potential increases in production costs due to reliance on imported materials could impact profitability [10]