Inter Parfums, Inc. Reports Record Third Quarter Net Sales - Seite 3

Mr. Madar also noted, “With the recent addition of Ferragamo fragrances and the forthcoming addition of Donna Karan and DKNY fragrances next summer, we look forward to accelerating our sales growth with expectations of attaining $1 billion in net sales within two to three years. Further enriching our portfolio with other compatible brands remains a high priority, especially in Italy where our newly established business has a broad bench of operational experience in all relevant functions – encompassing product development, sourcing, manufacturing, inventory management, packaging, marketing, and distribution.”

Mr. Madar noted, “We achieved record sales in the third quarter despite the near absence of travel retail business and major supply chain disruptions affecting the procurement of components, the ability to transport goods, and related cost increases. These disruptions have continued into the fourth quarter at a time when demand for our product lines has never been stronger or more sustained. We have been addressing this issue since the beginning of the year, by ordering well in advance of need and in larger quantities. Going forward, we aim to carry more inventory overall, source the same components from multiple suppliers and when possible, manufacture products closer to where they are sold. We currently expect supply chain bottlenecks to begin lifting early in the new year.”

Russell Greenberg, Executive Vice President & CFO noted, “We are once again increasing our 2021 guidance due to better than expected third quarter sales, coupled with modest initial Ferragamo fragrance sales during this transitional period. We now look for 2021 sales to come in at a record $810 million, resulting in net income of $75 million or $2.35 per diluted share. Our previous guidance called for net sales of $750 million and diluted net income per share of $1.95. Based upon year-to-date sales, we are taking a conservative approach to fourth quarter sales, which is overwhelmingly due to bottlenecks in the supply chain, rather than lack of demand. Additionally, we plan to issue our initial guidance for 2022 in November 2021. Guidance assumes that the average dollar/euro average exchange rate remains at current levels, and there is no significant resurgence of the COVID-19 pandemic.”