Company: IPAR
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001753926-25-001703
Chunk: 7

Company: INTERPARFUMS INC
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 2
Chunk 7
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 periods of the prior year. United States based operations saw a moderate decline due to the negative impact of tariffs as well as brand and channel mix in the three months ended September 30, 2025. The increase in the nine months ended September 30, 2025 was mainly driven by the discontinuation of Dunhill products, which were sold at lower margins in 2024 as is customary during sell-off periods.  

Generally, we do not bill customers for shipping and handling costs, which are included in selling, general and administrative expenses in the consolidated statements of income. As such, our Company’s gross profit may not be comparable to other companies, which may include these expenses as a component of cost of goods sold.  

Selling, general and administrative expenses

Three Months Ended

Nine Months Ended

     (In millions)

September 30,

September 30,

2025

2024

2025

2024

 European based operations 

Selling, general and administrative expenses
 
$
109.8

$
108.1

$
321.7

$
306.6

Selling, general and administrative expenses as a percentage of net sales

37.2
%

38.3
%

41.1
%

41.5
%

United States based operations

Selling, general and administrative expenses
 
$
54.5

$
57.0

$
145.4

$
148.9

Selling, general and administrative expenses as a percentage of net sales

39.7
%

39.0
%

44.4
%

41.1
%

The Company’s selling, general and administrative expenses as a percentage of net sales were 38.2% and 42.4% for the three and nine months ended September 30, 2025 as compared to 38.9% and 41.8% for the three and nine months ended September 30, 2024. The decrease in the quarter was driven by the phasing of promotional and advertising activities. The increase in the first three quarters of the year was largely driven by increased overall spending on promotional and advertising activities and increased employee related costs, as well as negative foreign exchange impacts.    

For European based operations, selling, general and administrative expenses increased 1.5% and 4.9% for the three and nine months ended September 30, 2025, respectively as compared to the corresponding periods