NASDAQ$IPAR

Inter Parfums Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Inter Parfums reported record third quarter results and affirmed FY2023 net sales guidance while increasing FY2023 net earnings guidance.

Inter Parfums reported a record third quarter with net income attributable to Inter Parfums, Inc. increasing 28% to $53 million, or $1.66 per diluted share. The company is affirming its FY2023 net sales guidance of $1.3 billion and increasing its earnings per diluted share guidance to $4.75.

  • Record quarterly net sales and strong earnings were achieved due to favorable trends in the fragrance industry, high brand demand, and successful launches, extensions, and distribution.
  • North America was the largest market with a 29% sales increase, followed by Western Europe with 24% growth, and Asia with 20% growth.
  • The company has been able to increase sell-out in China, particularly on Coach, Montblanc, and Ferragamo, enabling management of stock-in-trade levels.
  • A major investment in advertising and promotion is planned for the fourth quarter, targeting 21% of annual net sales to drive retail sell-out and build brand awareness.

Headline financials

Total Revenue

$368M

Previous: $280M+31.2%
EPS (adj)

$1.66

Previous: $1.30+27.7%
Capital Expenditures

-$4.57M

Previous: -$32.6M+86.0%
Free Cash Flow

$48.6M

Previous: $8.81M+452.2%
Net Income

$53.2M

Previous: $41.4M+28.5%
Operating Income

$87.2M

Previous: $64.5M+35.2%
Gross Profit

$235M

Previous: $182M+29.2%
Cash & Equivalents

$79.8M

Previous: $41.3M+93.2%
Total Assets

$1.39B

Previous: $1.11B+25.5%
Stock-Based Comp

$622K

Previous: $476K+30.7%

Revenue & EPS history

Inter Parfums · Revenue · Quarterly

$368M

Q3 2023+31.2%vs Q3 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

Inter Parfums is affirming its FY2023 net sales guidance of $1.3 billion, representing 20% growth from FY2022. The company is increasing its earnings per diluted share guidance to $4.75, a 26% increase from $3.78 for FY 2022.

Tailwinds

  • Ongoing strength in the market.
  • Year-to-date performance provides confidence.
  • Net sales guidance of $1.3 billion affirmed.
  • Earnings per diluted share guidance increased to $4.75.
  • Growth of 26% from $3.78 for FY 2022 expected.

Headwinds

  • Geopolitical tensions.
  • Very high fourth quarter 2022 base.
  • Guidance assumes the dollar/euro average exchange rate remains at current levels.
  • Only modest sales from China are included.
  • Newly acquired fragrance licenses, Roberto Cavalli and Lacoste, are not included.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-1.1%

Avg return

Earnings day

-0.6%

Avg return

5 days after

-1.3%

Avg return

30 days after

37%

24 / 65 earnings

Positive

+19.2%

Q3 2020

Best reaction

-13.1%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.2%+5.3%-1.0%
Q4 2025-4.5%-3.7%-12.1%
Q3 2025-4.0%-3.9%-9.3%
Q1 2025+8.8%+7.8%+23.8%
Q4 2024+3.9%-2.9%-15.7%
Q3 2024-0.5%+1.9%+7.9%
Q2 2024+3.7%+2.4%-4.4%
Q1 2024-1.1%+1.9%+0.2%
Q4 2023-4.8%-4.5%-7.8%
Q3 2023+0.1%-4.2%+3.6%
Q2 2023-9.2%-9.7%-11.1%
Q1 2023-12.0%-10.3%-11.9%
Q4 2022+9.3%+16.5%+18.2%
Q3 2022-1.7%+2.4%+15.2%
Q2 2022-5.4%-3.4%-8.7%
Q1 2022-13.1%-7.5%-10.4%
Q4 2021-1.7%-7.3%-5.2%
Q3 2021-0.9%-2.0%+0.5%
Q2 2021-2.2%-6.7%-7.4%
Q1 2021-5.7%+1.0%+2.8%
Q4 2020-1.4%-2.3%-3.1%
Q3 2020+19.2%+16.6%+21.8%
Q2 2020+0.7%+4.3%-6.5%
Q1 2020-6.3%-11.5%+6.9%
Q4 2019-4.4%-6.2%-32.9%
Q3 2019+0.2%-1.1%-8.3%
Q2 2019-1.6%-1.0%-4.9%
Q1 2019-5.2%-5.2%-10.6%
Q4 2018+4.3%+4.0%+1.3%
Q3 2018+2.1%+1.7%-1.6%
Q2 2018+3.2%-0.8%+4.4%
Q1 2018-7.3%-5.1%+5.6%
Q4 2017-0.5%+2.9%+0.2%
Q3 2017-1.3%-1.5%+0.7%
Q2 2017+0.9%-0.9%+2.5%
Q1 2017-3.1%-4.1%-8.1%
Q4 2016+3.6%+8.9%+2.0%
Q3 2016+2.1%+3.0%+13.2%
Q2 2016+0.4%+1.2%-1.7%
Q1 2016-6.3%
Q4 2015-1.5%
Q3 2015+1.2%
Q2 2015-8.3%
Q1 2015+4.7%
Q4 2014+7.3%
Q3 2014-0.3%
Q2 2014+5.2%
Q1 2014-10.1%
Q4 2013-3.1%
Q3 2013-1.7%
Q2 2013-6.6%
Q1 2013+1.2%
Q4 2012-5.9%
Q4 2009-5.9%
Q3 2012-4.5%
Q2 2012+2.8%
Q1 2011+1.1%
Q1 2012-0.6%
Q4 2011-0.6%
Q3 2010-0.4%
Q3 2011-0.4%
Q2 2010-4.5%
Q4 2010-4.5%
Q2 2011-4.5%
Q1 2010+9.1%

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