Inter Parfums, Inc. announced that net sales for the first quarter of 2009 were approximately $90.4 million, down 27% from $123.2 million in the same period in 2008. At comparable foreign currency exchange rates, net sales for the first quarter were down 21%. The company plans to issue its first quarter 2009 results on May 11, 2009, after the close of the market, and conduct a conference call on the following day.
European-based operations generated sales of $82.0 million, compared to $110.6 million in the same period last year. First quarter sales by U.S. operations declined to $8.4 million from $12.6 million.
“As we previously indicated, year-over-year first quarter sales comparisons were impacted by several factors. The continued strength of the U.S. dollar relative to the euro had the net effect of depressing 2009 first quarter sales by about 6% as compared to last year," said Jean Madar, chairman and CEO, Inter Parfums. "Additionally, last year’s first quarter included our largest ever global launch for our largest licensed brand, Burberry The Beat for women, pushing European-based sales up 46% as compared to the first quarter of 2007. With regard to U.S. operations, the comparable quarter sales decline also factors in an exceptionally strong first quarter in 2008, with sales up 31% from the first quarter of 2007. These factors combined with the impact of the global economic crisis on discretionary consumer spending produced the first quarter sales decline.”
Assuming the dollar remains at current levels, Inter Parfums continues to expect 2009 net sales of $390 million, with net income of approximately $21.0 million or $0.70 per diluted share.