Inter Parfums (IPAR) Q4 2025 Earnings Transcript

The Motley Fool
by newsfeedback@fool.com (Motley Fool Transcribing)
February 25, 2026
AI-Generated Deep Dive Summary
Inter Parfums (IPAR) delivered strong financial results for its fourth quarter and full year of 2025, showcasing robust growth across key segments and brands. Net sales reached $386 million in Q4, a 7% increase on a reported basis and 3% organically, while annual sales hit a record $1.49 billion. Despite challenges like tariff-driven costs, the company maintained profitability, with a gross margin of 63.6% for the year and a net income of $28 million in Q4, translating to a diluted EPS of $0.88—a 16% year-over-year increase. Segment performance was strong, with European sales leading the way at a 9% rise (4% organic) and key brands like Lacoste, MCM, and Montblanc showing significant growth. The company also highlighted operational efficiencies, including inventory management improvements that reduced days on hand to their lowest levels since 2022. However, challenges such as tariffs and foreign exchange fluctuations remained significant headwinds in 2026, impacting both gross margin and operating income. Inter Parfums has implemented strategies like shifting production to reduce tariff burdens, including moving GUESS fragrance production from China to Italy/EU for U.S. sales, which yielded $3.5 million in annual savings. Looking ahead, Inter Parfums provided cautious guidance for 2026, forecasting net sales of $1.48 billion and a diluted EPS of $4.85—a slight decline due to ongoing tariff impacts
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Originally published on The Motley Fool on 2/25/2026