Satisfactory performance in 2009 first half
Net sales: €121.3 million
A challenging economic environment
The economic environment in the 2009 first half was particularly
challenging (worldwide downturn in consumption and
significant reductions by distributors of inventories) with
revenue down 10% to 20% for certain players or divisions of
large groups. On this basis, Inter Parfums registered a modest
decline of 5% in relation to the same period last year with
consolidated sales of €121.3 million. This result reflected:
• a satisfactory commercial performance (with growth in sales
in the 2009 second quarter),
• a favourable currency effect (amplified by the positive impact
of exchange rate hedges implemented in late 2008)
Millions of euros |
H1 08 |
H1 09 |
09/08 |
Burberry |
87.7 |
77.8 |
-11% |
Lanvin |
15.2 |
19.0 |
+25% |
Van Cleef & Arpels |
9.0 |
9.4 |
+4% |
Paul Smith |
6.2 |
5.4 |
-13% |
S.T. Dupont |
3.5 |
5.2 |
+50% |
Quiksilver/Roxy |
4.3 |
2.2 |
ns |
Nickel |
1.5 |
1.1 |
-26% |
Autres |
0.9 |
1.2 |
ns |
Total |
128.3 |
121.3 |
-5.5% |
Highlights by brand
• Despite an unfavourable comparison base (19% growth in the 2008 first half from the launch of the women's fragrance line Burberry The Beat), Burberry fragrances had sales approaching €78 million, fueled by performances of the Burberry Brit and Burberry The Beat lines.
• Lanvin fragrances delivered excellent results with sales of €19 million (+25%) on growth by the Eclat d'Arpège line (+8%), initial order renewals of Jeanne Lanvin launched in fall 2008 and the positive response to the Lanvin L'Homme Sport line in spring 2009.
• A significant decline by Paul Smith fragrances in Asia masked good performances at points of sale for UK retailers.
Highlights by region
Certain markets remain adversely impacted by local economic conditions (notably the United States, United Kingdom, Spain, Brazil, Argentina) while others maintained satisfactory performances for sales (notably France, China, Saudi Arabia) or improved in relation to the start of the year (Russia).
First half sales benefited from several factors:
• Good performances in Asia and Western Europe on continued growth by Lanvin fragrances;
• Sustained growth in France (+12%) in a declining market;
• Strong gains in the Middle East (+28%) on robust performances by Lanvin and S.T. Dupont fragrances.
Results
With its flexible cost structure, tight control over expenses and the positive impact of currency hedges, the net margin for the 2009 first half should remain generally in line with the same period last year.
Outlook
The mixed nature of information received from different markets reduces visibility for sales. Under these conditions, the company anticipates a marginal decline in 2009 full-year sales in relation to the prior year.
Renewed growth in sales is anticipated in 2010 based on a sustained program of launches including notably:
• Burberry Sport fragrance lines for men and women;
• A make-up line under the Burberry brand;
• Women's and men's fragrance lines under the Van Cleef & Arpels brand;
• A women's fragrance line under the Lanvin brand.
Paris, July 23, 2009
| Upcoming events | Résultats du 1er semestre 2009 7 septembre 2009 (après clôture de la Bourse de Paris) |
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| Shareholder information Tel.: +33 1 53 77 00 99 |
Investor relations - Inter Parfums SA |
Media relations - RLPV Conseil Cyril Levy-Pey, tel.: +33 1 42 70 31 29 clevypey@inter-parfums.fr |
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| www.inter-parfums.fr | Codes : Reuters IPAR.PA, Bloomberg ITP, ISIN FR0004024222-ITP Indices : CAC Small 90 et SBF 250 |
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