Inter Parfums, Inc. Reports 2020 Second Quarter Results

About this update from Interparfums, Inc.

[{"type":"text","content":" NEW YORK--(BUSINESS WIRE)--\nInter Parfums, Inc. (NASDAQ GS: IPAR) today reported results for the second quarter ended June 30, 2020. The average dollar/euro exchange rate for the current second quarter was 1.10 compared to 1.12 in the second quarter of 2019.\n\n\nSecond Quarter 2020 Compared to Second Quarter 2019:\n\n\n\nNet sales were $49.5 million, down 70.2% compared to $166.2 million, at comparable foreign currency exchange rates, net sales declined 69.8%;\n\n\nNet sales by European based operations declined 68.6% to $39.4 million from $125.6 million;\n\n\nNet sales by U.S. based operations declined 75.2% to $10.1 million from $40.6 million;\n\n\nGross margin was 54.2% compared to 64.4%;\n\n\nS,G&A expenses as a percentage of net sales were 65.4% compared to 50.8%;\n\n\nThe operating loss was $5.5 million compared to operating income of $22.5 million;\n\n\nOperating margin dropped to 11.2% compared to 13.5%;\n\n\nThere was an income tax benefit of $2.1 million, as compared to the prior year period, where the effective income tax rate was 29.5%; and,\n\n\nNet loss attributable to Inter Parfums, Inc. was $3.1 million or $0.10 per diluted share compared to net income attributable to Inter Parfums of $12.3 million or $0.39 per diluted share.\n\n\n\nThus for the first half of 2020, net sales declined 43.6% to $194.3 million from $344.5 million for the corresponding period of the prior year. At comparable foreign currency exchange rates, net sales declined 43.0%. Net income attributable to Inter Parfums, Inc. declined 77.8% to $6.9 million from $31.2 million, while net income attributable to Inter Parfums, Inc. per diluted share decreased 77.8% to $0.22 from $0.99. For the six months ended June 30, 2020 and 2019, the average U.S. dollar/euro exchange rate was 1.10 and 1.13, respectively.\n\n\nJean Madar, Chairman & CEO of Inter Parfums, Inc. noted, “Business has picked up since the April lows, but not near normalized levels. In recent months, sales and new orders have been moving in a positive direction, especially from Europe and Asia. While we are hopeful that this will continue, we recognize that the road ahead will be uneven, with starts and stops along the way.”\n\n\nHe continued, “With regard to the first half of the year, our net sales in North America, Western Europe, Asia, Middle East and Eastern Europe were down 38.9%...

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