0000822663 false 0000822663 2020-04-22 2020-04-22 iso4217:USD xbrli:shares iso4217:USD xbrli:shares

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

 Date of Report (Date of Earliest Event Reported):
April 22, 2020

 

Inter Parfums, Inc.
(Exact name of Registrant as specified in its charter)

 

Delaware   0-16469   13-3275609
(State or other jurisdiction of
incorporation or organization)
  Commission File Number   (I.R.S. Employer
Identification No.)

 

551 Fifth Avenue, New York, New York 10176
(Address of Principal Executive Offices)

 

212. 983.2640
(Registrant’s Telephone number, including area code)

 

 

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (see General Instruction A.2 below):

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

Soliciting Material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 280.14a-12)

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 280.14d-2(b))

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 280.13e-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§280.12b-2 of this chapter).

 

Emerging growth company

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class   Trading Symbol(s)   Name of each exchange on which registered
Common Stock, $.001 par value per share   IPAR   The Nasdaq Stock Market

 

 

 

 

 

 

Item 2.02 Results of Operations and Financial Condition

 

Certain portions of our press release dated April 22, 2020, a copy of which is annexed hereto as Exhibit no. 99.1, are incorporated by reference herein and are filed pursuant to this Item 2.02. They are as follows:

 

  Portions of the 1st paragraph relating to consolidated net sales for the first quarter ended March 31, 2020

 

  The 2nd paragraph (table), the 3rd paragraph and the 4th all relating to net sales for the first quarter ended March 31, 2020

 

  Portions of 5th paragraph relating to balance sheet matters

 

Item 7.01 Regulation FD Disclosure

 

Certain portions of our press release dated April 22, 2020, a copy of which is annexed hereto as Exhibit no. 99.1, are incorporated by reference herein and are filed pursuant to this Item 7.01 and Regulation FD. They are as follows:

 

  Portions of the 1st paragraph relating to plans to release results

 

  Portions of 5th paragraph relating to preparations for business rebound
     
  The last sentence of the 6th paragraph relating to the potential reinstitution of the quarterly cash dividend
     
  The 7th paragraph relating to absence of 2020 guidance

 

  The 9th paragraph relating to forward looking information

 

  The balance of such press release not otherwise incorporated by reference in Item 2.02 or Item 8.1.

 

Item 8.01 Other Matters

 

  Portions of the 6th paragraph relating to the temporary suspension of the quarterly cash dividend

 

Item 9.01 Financial Statements and Exhibits.

 

99.1   Our press release dated April 22, 2020

 

1

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused and authorized this report to be signed on its behalf by the undersigned.

 

Dated: April 22, 2020

 

  Inter Parfums, Inc.
   
  By:  /s/ Russell Greenberg
    Russell Greenberg,
    Executive Vice President
    and Chief Financial Officer

 

 

2

 

 

Exhibit 99.1

 

 

FOR IMMEDIATE RELEASE

 

INTER PARFUMS, INC. REPORTS 2020 FIRST QUARTER SALES

 

New York, New York, April 22, 2020: Inter Parfums, Inc. (NASDAQ GS: IPAR) today reported that for the three months ended March 31, 2020, net sales declined 18.7% to $144.8 million from $178.2 million in the first quarter of 2019. At comparable foreign currency exchange rates, consolidated first quarter net sales declined 17.8%. The average dollar/euro exchange rate for the current and prior year’s first quarter was 1.10 and 1.14, respectively. Inter Parfums plans to issue results for the 2020 first quarter on or about May 11, 2020.

 

Net Sales:

 

   Three months ended March 31, 
(in millions)  2020   2019   % Change 
             
European based product sales   $114.1   $143.7    (20.6)%
United States based product sales    30.7    34.5    (10.9)%
   $144.8   $178.2    (18.7)%

 

Jean Madar, Chairman & CEO of Inter Parfums noted, “The exceptional sales growth by two of our largest brands, Coach and GUESS, helped offset the decline in most other brand sales. The launch of Coach Dreams early in the year helped boost brand sales by 35.9% and for GUESS, sales of existing scents and brand extensions launched in 2019 accounted for most of the 28.9% increase. Comparable quarter sales declined for our other major brands following the closure of virtually all points of sale throughout the world due to the global Covid-19 pandemic. In addition, for certain major brands like Montblanc and Jimmy Choo, the 9.9% and 25.8% respective increases in brand sales for the 2019 first quarter established a high benchmark in 2020.”

 

Discussing operations Mr. Madar continued, “We have taken steps to minimize expenses and protect cash flow. Our operating cost structure, of which variable costs accounts for over two-thirds, should enable us to minimize the impact of reduced sales on our bottom line. In that regard, we have postponed the launch of several programs originally scheduled for this year until 2021 and moved related advertising and promotion expenses to 2021 as well. That includes our planned launches for the Kate Spade New York, Jimmy Choo, Anna Sui and GUESS brands.”

 

He continued, “Our solid financial situation and highly adaptable business model should allow us to endure this crisis until we can once again grow our business. Having entered 2020 with $253 million in cash, cash equivalents and short-term investments, and only $10.7 million of long-term debt, we have significant resources to meet our present and future obligations. We are now keenly focused on safeguarding our relationships with our partners, in particular our suppliers and customers. We are prepared for a rapid rebound as soon as this is possible, probably in stages until we are back in business with the 120 countries where our products are sold. More recently, we have seen a few encouraging signs of recovery in certain countries in Asia; however, much of our efforts are directed and mobilized on 2021.”

 

Mr. Madar also noted, “We entered the second quarter with over $200 million of net cash and $47 million in untapped credit facilities, but due to lack of visibility at this time, our Board of Directors has authorized a temporary suspension of our quarterly cash dividend. Philippe Benacin and I, the co-founders of Inter Parfums, Inc. and owners of approximately 45% of the outstanding shares, fully support the Board’s decision to preserve cash to assure our readiness when retail markets reopen. We will revisit this issue with an eye towards reinstitution of the dividend when the business environment is more favorable.”

 

 

 

 

GUIDANCE

 

Russell Greenberg, Executive Vice President and Chief Financial Officer again noted, “Due to the many uncertainties associated with global COVID-19 pandemic, we are not prepared to issue 2020 full year guidance at this time. As we gain greater visibility, we will revisit this subject.”

 

Founded in 1982, Inter Parfums, Inc. develops, manufactures and distributes prestige perfumes and cosmetics as the exclusive worldwide licensee for Abercrombie & Fitch, Anna Sui, Boucheron, Coach, Dunhill, Graff, GUESS, Hollister, Jimmy Choo, Karl Lagerfeld, Kate Spade New York, MCM, Montblanc, Oscar de la Renta, Paul Smith, Repetto, S.T. Dupont and Van Cleef & Arpels. Inter Parfums is also the owner of Lanvin fragrances and the Rochas brand. Through its global distribution network, the Company’s products are sold in over 120 countries.

 

Statements in this release which are not historical in nature are forward-looking statements. Although we believe that our plans, intentions and expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such plans, intentions or expectations will be achieved. In some cases you can identify forward-looking statements by forward-looking words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “will,” and “would,” or similar words. You should not rely on forward-looking statements, because actual events or results may differ materially from those indicated by these forward-looking statements as a result of a number of important factors. These factors include, but are not limited to, the risks and uncertainties discussed under the headings “Forward Looking Statements” and “Risk Factors” in Inter Parfums’ annual report on Form 10-K for the fiscal year ended December 31, 2019 and the reports Inter Parfums files from time to time with the Securities and Exchange Commission. Inter Parfums does not intend to and undertakes no duty to update the information contained in this press release.

 

Contact at Inter Parfums, Inc. -or- Investor Relations Counsel
Russell Greenberg, Exec. VP & CFO   The Equity Group Inc.
(212) 983-2640   Fred Buonocore (212) 836-9607/fbuonocore@equityny.com
rgreenberg@interparfumsinc.com   Linda Latman (212) 836-9609/llatman@equityny.com
www.interparfumsinc.com   www.theequitygroup.com

 

 

 

 

 

v3.20.1
Cover
Apr. 22, 2020
Cover [Abstract]  
Document Type 8-K
Amendment Flag false
Document Period End Date Apr. 22, 2020
Entity File Number 0-16469
Entity Registrant Name Inter Parfums, Inc.
Entity Central Index Key 0000822663
Entity Tax Identification Number 13-3275609
Entity Incorporation, State or Country Code DE
Entity Address, Address Line One 551 Fifth Avenue
Entity Address, City or Town New York
Entity Address, State or Province NY
Entity Address, Postal Zip Code 10176
City Area Code 212
Local Phone Number 983.2640
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, $.001 par value per share
Trading Symbol IPAR
Security Exchange Name NASDAQ
Entity Emerging Growth Company false