The company said that the second quarter sales grew by 7 per cent to reach €77.4m, although this figure was negatively impacted by currency translations, which meant that actual sales grew by just 2.5 per cent.
“This year in progress is atypical in terms of results with very high margins in the first six months followed by internationally lower levels in the second half linke to significant marketing and advertising investment planned for the launch campaign in the fall for Burberry Body lines,” said Philippe Benacin, Inter Parfums CEO.
For the first six months of the financial year sales grew by 8 percent at constant exchange rates to reach €163.0m, compared to €150.7m in the corresponding period in 2010.
Paul Smith, Lanvin and Jimmy Chooo
In particular sales of Paul Smith Fragrances grew by 19 per cent to €7.1m during the six month period, while Lanvin fragrances chalked up growth of 14 per cent to €26.2m and Jimmy Choo sales grew 13.1m following its launch at the end of last year..
The increase in sales for the Lanvin brand was attributed to the three women’s fragrances – Eclat d/ Arpege, Jeanne Lanvin and Marry Me! – which all provided ‘steady sources of revenue’.
It was also interesting to note that licenses for the Burberry brand, which has traditionally been a strong growth driver for the company, registered a fall in sales of13 per cent to €85.3m – a figure that still represents the biggest individual sales by far.
Gains come on top of big growth in 2010
The company pointed out that the sales performance for teh frist six month was achieved despite a high comparison figure in the corresponding six month period in 2010, when the Burberry Sport and Oriens fragrances helped drive consolidated .sales growth of 9.6 per cent at constant exchange rates.
On a regional basis, the results highlighted the potential for further growth from new markets, with constant sales gains for the first six months in South Africa registering 19 per cent, 16 per cent for Eastern Europe and 14 per cent for Asia.
Likewise Western Europe maintained steady constant sales growth during the period of 8 per cent, whereas the constant sales growth for the US market was more sober at 3 per cent, reflecting challenging trading conditions.