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Interparfums Q4 Sales Up 10% Year Over Year, Key Brands Boost Growth

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Interparfums, Inc. (IPAR - Free Report) announced its sales results for the fourth quarter and full year, which ended Dec. 31, 2024, highlighting strong performance driven by the strength of its brands. Looking ahead, the company remains optimistic about its prospects for 2025.

IPAR’s Solid Sales Numbers

For the fourth quarter of 2024, Interparfums achieved a 10% increase in net sales, reaching $362 million, marking its best-ever fourth-quarter performance. On a full-year basis, too, net sales rose 10% to $1.452 billion, in line with the company’s most recent predictions.

Interparfums saw solid growth, driven by strong demand for its key brands. GUESS, the company’s top-performing U.S.-based brand, is on track to become the third-largest brand, with expected annual sales exceeding $200 million soon, supported by the brand’s growing momentum and the strength of the partnership.

The company’s top six brands, which account for about 70% of net sales, experienced a 5% increase in the fourth quarter and a 4% rise for the full year. The newer additions, Lacoste and Roberto Cavalli, made significant contributions to sales growth, accounting for 8% of quarterly sales growth and 9% of full-year growth.

IPAR’s Europe-Based Sales Performance

Europe-based net sales were $214 million in the fourth quarter, a 6% increase from the prior period, and reached $953 million for the full year, up 10% from 2023. This growth was driven by the strong performance of Jimmy Choo, the addition of Lacoste and effective execution across smaller brands.

Interparfums saw a notable 11% increase in sales for Jimmy Choo during the fourth quarter and 7% for the full year. The company’s newest European brand, Lacoste, surpassed expectations, achieving $85 million in sales during its first year.

IPAR’s US-Based Metrics

In the fourth quarter of 2024, Interparfums’ U.S. based net sales reached $149 million, indicating a robust 16% year-over-year increase. For the full year, U.S. based net sales rose 12% to $511 million from the prior year. This growth was fueled by strong performances from GUESS, Donna Karan/DKNY and the addition of Roberto Cavalli.

GUESS fragrances saw sales climb 17% in the fourth quarter and 13% for the full year. This success was driven by enduring demand for legacy scents. For Donna Karan/DKNY, sales increased 10% in the fourth quarter and 9% for the full year.

Italian brands, which are managed by U.S. based operations, Ferragamo and Roberto Cavalli, also performed well during the fourth quarter. Ferragamo fragrances achieved 13% sales growth in the quarter and remained stable for the year after an impressive 21% increase in 2023. Meanwhile, Roberto Cavalli exceeded expectations in its first year, generating $31 million in net sales.

Interparfums’ Growth Strategy

Interparfums has successfully achieved its sales target of $1.45 billion for 2024, which places the company well to meet its full-year 2024 earnings per share target of $5.15. This forecast excludes a non-recurring, non-cash impairment charge of approximately 7 cents per share related to trademarks.

Looking ahead to 2025, management acknowledges potential geopolitical and economic uncertainties that may impact visibility. However, the company remains optimistic, driven by growing demand for premium products, expanding e-commerce channels and a strong pipeline of new product launches across its prestige portfolio. As a result, Interparfums is poised to achieve another record-setting year in 2025.

This Zacks Rank #3 (Hold) stock has gained 19.1% in the past three months, outpacing the industry’s rise of 2.8%.

IPAR Price Performance vs. Industry

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