Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 11, 2016 | Jun. 30, 2015 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | INTER PARFUMS INC | ||
Entity Central Index Key | 822,663 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Public Float | $ 576,800,567 | ||
Trading Symbol | IPAR | ||
Entity Common Stock, Shares Outstanding | 31,037,915 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 176,967 | $ 90,138 |
Short-term investments | 82,847 | 190,152 |
Accounts receivable, net | 95,082 | 90,124 |
Inventories | 98,346 | 102,326 |
Receivables, other | 2,422 | 1,542 |
Other current assets | 5,811 | 4,504 |
Income taxes receivable | 100 | 929 |
Deferred tax assets | 7,182 | 6,848 |
Total current assets | 468,757 | 486,563 |
Equipment and leasehold improvements, net | 9,333 | 9,187 |
Trademarks, licenses and other intangible assets, net | 201,335 | 98,531 |
Other assets | 8,234 | 10,225 |
Total assets | 687,659 | 604,506 |
Current liabilities: | ||
Loans payable - banks | 0 | 298 |
Current portion of long-term debt | 22,163 | 0 |
Accounts payable - trade | 50,636 | 46,646 |
Accrued expenses | 46,890 | 49,194 |
Income taxes payable | 7,359 | 3,773 |
Dividends payable | 4,035 | 3,717 |
Total current liabilities | 131,083 | $ 103,628 |
Long-term debt, less current portion | 76,443 | |
Deferred tax liability | $ 3,746 | $ 2,154 |
Commitments and contingencies | ||
Inter Parfums, Inc. shareholders’ equity: | ||
Preferred stock, $0.001 par value. Authorized 1,000,000 shares; none issued | ||
Common stock, $0.001 par value. Authorized 100,000,000 shares; outstanding, 31,037,915 and 30,977,293 shares at December 31, 2015 and 2014, respectively | $ 31 | $ 31 |
Additional paid-in capital | 62,030 | 60,200 |
Retained earnings | 388,434 | 374,121 |
Accumulated other comprehensive loss | (48,091) | (15,823) |
Treasury stock, at cost, 9,880,058 and 9,897,995 common shares at December 31, 2015 and 2014, respectively | (36,817) | (36,464) |
Total Inter Parfums, Inc. shareholders’ equity | 365,587 | 382,065 |
Noncontrolling interest | 110,800 | 116,659 |
Total equity | 476,387 | 498,724 |
Total liabilities and equity | $ 687,659 | $ 604,506 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Preferred stock, par | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares outstanding | 31,037,915 | 30,977,293 |
Treasury shares, shares | 9,880,058 | 9,897,995 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Net sales | $ 468,540 | $ 499,261 | $ 563,579 |
Cost of sales | 179,069 | 212,224 | 234,800 |
Gross margin | 289,471 | 287,037 | 328,779 |
Selling, general, and administrative expenses | 228,268 | 233,634 | 250,025 |
Income from operations | 61,203 | 53,403 | 78,754 |
Other expenses (income): | |||
Interest expense | 2,826 | 1,478 | 1,380 |
(Gain) loss on foreign currency | 876 | (902) | 1,168 |
Interest and dividend income | (2,995) | (3,888) | (4,440) |
Other expenses (income) | 707 | (3,312) | (1,892) |
Income before income taxes | 60,496 | 56,715 | 80,646 |
Income taxes | 21,527 | 19,370 | 29,680 |
Net income | 38,969 | 37,345 | 50,966 |
Less: Net income attributable to the noncontrolling interest | 8,532 | 7,909 | 11,755 |
Net income attributable to Inter Parfums, Inc. | $ 30,437 | $ 29,436 | $ 39,211 |
Net income attributable to Inter Parfums, Inc. common shareholders: | |||
Basic | $ 0.98 | $ 0.95 | $ 1.27 |
Diluted | $ 0.98 | $ 0.95 | $ 1.27 |
Weighted average number of shares outstanding: | |||
Basic | 30,996,137 | 30,931,308 | 30,763,955 |
Diluted | 31,100,215 | 31,060,326 | 30,953,882 |
Dividends declared per share | $ 0.52 | $ 0.48 | $ 0.96 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Comprehensive income: (loss) | |||
Net income | $ 38,969 | $ 37,345 | $ 50,966 |
Other comprehensive income (loss): | |||
Transfer from OCI into earnings | 0 | 0 | (327) |
Translation adjustments, net of tax | (44,346) | (57,806) | 19,027 |
Net derivative instrument loss, net of tax | (44,346) | (57,806) | 18,700 |
Comprehensive income (loss) | (5,377) | (20,461) | 69,666 |
Comprehensive income (loss) attributable to noncontrolling interests: | |||
Net income | 8,532 | 7,909 | 11,755 |
Transfer from OCI into earnings | 0 | 0 | (87) |
Translation adjustments, net of tax | (12,078) | (16,123) | 5,425 |
Comprehensive income (loss) attributable to the noncontrolling interests | (3,546) | (8,214) | 17,093 |
Comprehensive income (loss) attributable to Inter Parfums Inc.: | $ (1,831) | $ (12,247) | $ 52,573 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Common stock [Member] | Additional paid-in capital [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Treasury stock [Member] | Noncontrolling interest [Member] |
Balance at Dec. 31, 2012 | $ 54,679 | $ 349,672 | $ 12,498 | $ (35,404) | $ 118,505 | ||
Net income | $ 50,966 | 39,211 | 11,755 | ||||
Foreign currency translation adjustment, net of tax | 13,602 | 5,425 | |||||
Transfer from OCI into earnings | (240) | (87) | |||||
Shares issued upon exercise of stock options | 700 | 2,882 | 203 | ||||
Shares received as proceeds of option exercises | (815) | ||||||
Sale of subsidiary shares to noncontrolling interest | (173) | 830 | |||||
Dividends | (29,582) | (8,341) | |||||
Stock-based compensation | 489 | 158 | 58 | ||||
Balance at Dec. 31, 2013 | 535,356 | $ 31 | 57,877 | 359,459 | 25,860 | (36,016) | 128,145 |
Net income | 37,345 | 29,436 | 7,909 | ||||
Foreign currency translation adjustment, net of tax | (41,683) | (16,123) | |||||
Transfer from OCI into earnings | 0 | 0 | |||||
Shares issued upon exercise of stock options | 600 | 1,981 | 219 | ||||
Shares received as proceeds of option exercises | (667) | ||||||
Sale of subsidiary shares to noncontrolling interest | (335) | 1,365 | |||||
Dividends | (14,855) | (4,667) | |||||
Stock-based compensation | 677 | 81 | 30 | ||||
Balance at Dec. 31, 2014 | 498,724 | 31 | 60,200 | 374,121 | (15,823) | (36,464) | 116,659 |
Net income | 38,969 | 30,437 | 8,532 | ||||
Foreign currency translation adjustment, net of tax | (32,268) | (12,078) | |||||
Transfer from OCI into earnings | 0 | 0 | |||||
Shares issued upon exercise of stock options | 500 | 1,234 | 140 | ||||
Shares received as proceeds of option exercises | (493) | ||||||
Sale of subsidiary shares to noncontrolling interest | (192) | 1,523 | |||||
Dividends | (16,124) | (3,836) | |||||
Stock-based compensation | 788 | 0 | 0 | ||||
Balance at Dec. 31, 2015 | $ 476,387 | $ 31 | $ 62,030 | $ 388,434 | $ (48,091) | $ (36,817) | $ 110,800 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | |||
Net income | $ 38,969 | $ 37,345 | $ 50,966 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 9,078 | 10,166 | 11,110 |
Provision for doubtful accounts | 442 | 412 | 574 |
Noncash stock compensation | 787 | 856 | 838 |
Excess tax benefits from stock-based compensation arrangements | (260) | (670) | (700) |
Deferred tax expense (benefit) | 829 | (557) | 4,844 |
Change in fair value of derivatives | 903 | 355 | (157) |
Changes in: | |||
Accounts receivable | (12,573) | (19,607) | 71,776 |
Inventories | (4,354) | 4,344 | 29,240 |
Other assets | (1,622) | 425 | 583 |
Accounts payable and accrued expenses | 12,973 | (4,996) | (33,156) |
Income taxes, net | 4,912 | 8,540 | (86,724) |
Net cash provided by operating activities | 50,084 | 36,613 | 49,194 |
Cash flows from investing activities: | |||
Purchases of short-term investments | (62,415) | (245,810) | (381,843) |
Proceeds from sale of short-term investments | 151,771 | 212,762 | 207,082 |
Purchase of equipment and leasehold improvements | (4,158) | (3,302) | (5,015) |
Payment for intangible assets acquired | (119,788) | (922) | (7,769) |
Proceeds from sale of equipment | 0 | 0 | 2,801 |
Proceeds from sale of trademark | 0 | 0 | 3,481 |
Net cash used in investing activities | (34,590) | (37,272) | (181,263) |
Cash flows from financing activities: | |||
Proceeds from (repayments of) loans payable - banks | 0 | (5,765) | (21,835) |
Proceeds from issuance of long-term debt | 110,970 | 0 | 0 |
Repayment of long-term debt | (11,761) | 0 | 0 |
Purchase of treasury stock | (32) | (90) | (98) |
Proceeds from exercise of options | 653 | 953 | 1,668 |
Excess tax benefits from stock-based compensation arrangements | 260 | 670 | 700 |
Proceeds from sale of stock of subsidiary | 1,327 | 1,030 | 657 |
Dividends paid | (15,806) | (14,841) | (28,331) |
Dividends paid to noncontrolling interests | (3,836) | (4,667) | (8,341) |
Net cash provided by (used in) financing activities | 81,775 | (22,710) | (55,580) |
Effect of exchange rate changes on cash | (10,440) | (12,143) | 5,964 |
Net increase (decrease) in cash and cash equivalents | 86,829 | (35,512) | (181,685) |
Cash and cash equivalents - beginning of year | 90,138 | 125,650 | 307,335 |
Cash and cash equivalents - end of year | 176,967 | 90,138 | 125,650 |
Cash paid for: | |||
Interest | 2,400 | 1,508 | 1,524 |
Income taxes | $ 19,668 | $ 10,430 | $ 104,992 |
The Company and its Significant
The Company and its Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Significant Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | (1) The Company and its Significant Accounting Policies Inter Parfums, Inc. and its subsidiaries (the “Company”) are in the fragrance business, and manufacture and distribute a wide array of fragrances and fragrance related products. Substantially all of our prestige fragrance brands are licensed from unaffiliated third parties, and our business is dependent upon the continuation and renewal of such licenses. Until early 2013, Burberry was our most significant license as Burberry products represented 23 Year Ended December 31, 2015 2014 2013 Montblanc 21 % 22 % 15 % Lanvin 15 % 18 % 15 % Jimmy Choo 20 % 16 % 13 % No other brand represented 10% or more of consolidated net sales. The consolidated financial statements include the accounts of the Company, including 73 51 49 Management makes assumptions and estimates to prepare financial statements in conformity with accounting principles generally accepted in the United States of America. Those assumptions and estimates directly affect the amounts reported and disclosures included in the consolidated financial statements. Actual results could differ from those assumptions and estimates. Significant estimates for which changes in the near term are considered reasonably possible and that may have a material impact on the financial statements are disclosed in these notes to the consolidated financial statements. For foreign subsidiaries with operations denominated in a foreign currency, assets and liabilities are translated to U.S. dollars at year-end exchange rates. Income and expense items are translated at average rates of exchange prevailing during the year. Gains and losses from translation adjustments are accumulated in a separate component of shareholders’ equity. All highly liquid investments purchased with a maturity of three months or less are considered to be cash equivalents. From time to time, the Company has short-term investments which consist of certificates of deposit with maturities greater than three months. The Company monitors concentrations of credit risk associated with financial institutions with which the Company conducts significant business. The Company believes its credit risk is minimal, as the Company primarily conducts business with large, well-established financial institutions. Substantially all cash and cash equivalents are held at financial institutions outside the United States and are readily convertible into U.S. dollars. Accounts receivable represent payments due to the Company for previously recognized net sales, reduced by allowances for sales returns and doubtful accounts or balances which are estimated to be uncollectible, which aggregated $ 5.9 6.9 Inventories, including promotional merchandise, only include inventory considered saleable or usable in future periods, and is stated at the lower of cost or market, with cost being determined on the first-in, first-out method. Cost components include raw materials, direct labor and overhead (e.g., indirect labor, utilities, depreciation, purchasing, receiving, inspection and warehousing) as well as inbound freight. Promotional merchandise is charged to cost of sales at the time the merchandise is shipped to the Company’s customers. All derivative instruments are recorded as either assets or liabilities and measured at fair value. The Company uses derivative instruments to principally manage a variety of market risks. For derivatives designated as hedges of the exposure to changes in fair value of the recognized asset or liability or a firm commitment (referred to as fair value hedges), the gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item attributable to the risk being hedged. The effect of that accounting is to include in earnings the extent to which the hedge is not effective in achieving offsetting changes in fair value. For cash flow hedges, the effective portion of the derivative’s gain or loss is initially reported in equity (as a component of accumulated other comprehensive income) and is subsequently reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. The ineffective portion of the gain or loss of a cash flow hedge is reported in earnings immediately. The Company also holds certain instruments for economic purposes that are not designated for hedge accounting treatment. For these derivative instruments, changes in their fair value are recorded in earnings immediately. Equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are provided using the straight-line method over the estimated useful lives for equipment, which range between three and ten years and the shorter of the lease term or estimated useful asset lives for leasehold improvements. Depreciation provided on equipment used to produce inventory, such as tools and molds, is included in cost of sales. Indefinite-lived intangible assets principally consist of trademarks which are not amortized. The Company evaluates indefinite-lived intangible assets for impairment at least annually during the fourth quarter, or more frequently when events occur or circumstances change, such as an unexpected decline in sales, that would more likely than not indicate that the carrying value of an indefinite-lived intangible asset may not be recoverable. When testing indefinite-lived intangible assets for impairment, the evaluation requires a comparison of the estimated fair value of the asset to the carrying value of the asset. The fair values used in our evaluations are estimated based upon discounted future cash flow projections using a weighted average cost of capital of 8.02 Intangible assets subject to amortization are evaluated for impairment testing whenever events or changes in circumstances indicate that the carrying amount of an amortizable intangible asset may not be recoverable. If impairment indicators exist for an amortizable intangible asset, the undiscounted future cash flows associated with the expected service potential of the asset are compared to the carrying value of the asset. If our projection of undiscounted future cash flows is in excess of the carrying value of the intangible asset, no impairment charge is recorded. If our projection of undiscounted future cash flows is less than the carrying value of the intangible asset, an impairment charge would be recorded to reduce the intangible asset to its fair value. The Company sells its products to department stores, perfumeries, specialty stores, mass-market retailers, supermarkets and domestic and international wholesalers and distributors. Sales of such products by our domestic subsidiaries are denominated in U.S. dollars, and sales of such products by our foreign subsidiaries are primarily denominated in either euro or U.S. dollars. The Company recognizes revenues when merchandise is shipped and the risk of loss passes to the customer. Net sales are comprised of gross revenues less returns, trade discounts and allowances. The Company does not bill its customers’ freight and handling charges. All shipping and handling costs, which aggregated $ 4.7 5.2 6.1 10 Generally, the Company does not permit customers to return their unsold products. However, for U.S. based customers, we allow returns if properly requested, authorized and approved. The Company regularly reviews and revises, as deemed necessary, its estimate of reserves for future sales returns based primarily upon historic trends and relevant current data including information provided by retailers regarding their inventory levels. In addition, as necessary, specific accruals may be established for significant future known or anticipated events. The types of known or anticipated events that we consider include, but are not limited to, the financial condition of our customers, store closings by retailers, changes in the retail environment and our decision to continue to support new and existing products. The Company records estimated reserves for sales returns as a reduction of sales, cost of sales and accounts receivable. Returned products are recorded as inventories and are valued based upon estimated realizable value. The physical condition and marketability of returned products are the major factors we consider in estimating realizable value. Actual returns, as well as estimated realizable values of returned products, may differ significantly, either favorably or unfavorably, from our estimates, if factors such as economic conditions, inventory levels or competitive conditions differ from our expectations. The Company records revenues generated from purchase with purchase and gift with purchase promotions as sales and the costs of its purchase with purchase and gift with purchase promotions as cost of sales. Certain other incentive arrangements require the payment of a fee to customers based on their attainment of pre-established sales levels. These fees have been recorded as a reduction of net sales. Advertising and promotional costs are expensed as incurred and recorded as a component of cost of goods sold (in the case of free goods given to customers) or selling, general and administrative expenses. Advertising and promotional costs included in selling, general and administrative expenses were $ 83.8 86.7 94.0 25.4 24.4 25.7 15.2 16.5 Package development costs associated with new products and redesigns of existing product packaging are expensed as incurred. The Company recognizes rent expense from operating leases with various step rent provisions, rent concessions and escalation clauses on a straight-line basis over the applicable lease term. The Company considers lease renewals in the useful life of its leasehold improvements when such renewals are reasonably assured. In the event the Company receives capital improvement funding from its landlord, these amounts are recorded as deferred liabilities and amortized over the remaining lease term as a reduction of rent expense. The Company’s license agreements generally provide the Company with worldwide rights to manufacture, market and sell fragrance and fragrance related products using the licensors’ trademarks. The licenses typically have an initial term of approximately 5 15 1 16 5 10 In certain cases, the Company may pay an entry fee to acquire, or enter into, a license where the licensor or another licensee was operating a pre-existing fragrance business. In those cases, the entry fee is capitalized as an intangible asset and amortized over its useful life. Most license agreements require minimum royalty payments, incremental royalties based on net sales levels and minimum spending on advertising and promotional activities. Royalty expenses are accrued in the period in which net sales are recognized while advertising and promotional expenses are accrued at the time these costs are incurred. In addition, the Company is exposed to certain concentration risk. Substantially all of our prestige fragrance brands are licensed from unaffiliated third parties, and our business is dependent upon the continuation and renewal of such licenses. The Company accounts for income taxes using an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in its financial statements or tax returns. The net deferred tax assets assume sufficient future earnings for their realization, as well as the continued application of currently enacted tax rates. Included in net deferred tax assets is a valuation allowance for deferred tax assets, where management believes it is more-likely-than-not that the deferred tax assets will not be realized in the relevant jurisdiction. If the Company determines that a deferred tax asset will not be realizable, an adjustment to the deferred tax asset will result in a reduction of net earnings at that time. The difference between the Company’s share of the proceeds received by the subsidiary and the carrying amount of the portion of the Company’s investment deemed sold, is reflected as an equity adjustment in the consolidated balance sheets. The Board of Directors may authorize share repurchases of the Company’s common stock (Share Repurchase Authorizations). Share repurchases under Share Repurchase Authorizations may be made through open market transactions, negotiated purchase or otherwise, at times and in such amounts within the parameters authorized by the Board. Shares repurchased under Share Repurchase Authorizations are held in treasury for general corporate purposes, including issuances under various employee stock option plans. Treasury shares are accounted for under the cost method and reported as a reduction of equity. Share Repurchase Authorizations may be suspended, limited or terminated at any time without notice. In February 2016, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (‘ASU”) which requires lessees to recognize lease assets and lease liabilities arising from operating leases on the balance sheet. This ASU is effective for annual and interim reporting periods beginning after December 15, 2018 using a modified retrospective approach, with early adoption permitted. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In November 2015, the FASB issued an ASU that requires all deferred tax liabilities and assets to be classified as noncurrent on the balance sheet. This ASU is effective for annual and interim reporting periods beginning after December 15, 2016, with early adoption permitted. In addition, this guidance can be applied either prospectively or retrospectively to all periods presented. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In July 2015, the FASB issued an ASU modifying the accounting for inventory. Under this ASU, the measurement principle for inventory will change from lower of cost or market value to lower of cost and net realizable value. The ASU defines net realizable value as the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The ASU is applicable to inventory that is accounted for under the first-in, first-out method and is effective for reporting periods after December 15, 2016, with early adoption permitted. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In May 2014, the FASB issued an ASU which supersedes the most current revenue recognition requirements. The new revenue recognition standard requires entities to recognize revenue in a way that depicts the transfer of goods or services to customers in an amount that reflects the consideration which the entity expects to be entitled to in exchange for those goods or services. This guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted for annual periods after December 31, 2016. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. There are no other recent accounting pronouncements issued but not yet adopted that would have a material effect on our consolidated financial statements. |
Termination of Burberry License
Termination of Burberry License | 12 Months Ended |
Dec. 31, 2015 | |
Termination of Burberry License [Abstract] | |
Collaborative And License Arrangement Disclosure [Text Block] | (2) Termination of Burberry License Burberry exercised its option to buy-out the license rights effective December 31, 2012. In October 2012, the Company and Burberry entered into a transition agreement that provided for certain license rights and obligations to continue through March 31, 2013. The Company continued to operate certain aspects of the business for the brand including product development, testing, and distribution during the transition period. |
Recent Agreements
Recent Agreements | 12 Months Ended |
Dec. 31, 2015 | |
Recent Agreements [Abstract] | |
Recent Agreements [Text Block] | (3) Recent Agreements Montblanc In October 2015, the Company, through its majority owned Paris-based subsidiary, Interparfums SA, extended its license agreement with Montblanc by five years. The original agreement, signed in 2010, provided Interparfums SA with the exclusive worldwide license rights to create, produce and distribute fragrances and fragrance related products under the Montblanc brand through December 31, 2020. The new 10 French Connection In September 2015, the Company entered into a 12 Rochas In May 2015, the Company, through its majority owned Paris-based subsidiary, Interparfums SA, acquired the Rochas brand from The Procter & Gamble Company. This transaction includes all brand names and registered trademarks for Rochas (Femme, Madame, Eau de Rochas 106 118 5.4 21 4.4 Coach In April 2015, the Company, through its majority owned Paris-based subsidiary, Interparfums SA, entered into an 11 Abercrombie & Fitch and Hollister In December 2014, the Company entered into a 7 Oscar de la Renta In October 2013, the Company entered into a 12 5.0 Agent Provocateur In July 2013, the Company entered into a 10.5 Shanghai Tang In July 2013, the Company created a wholly-owned Hong Kong subsidiary, Inter Parfums USA Hong Kong Limited, which entered into a 12 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2015 | |
Inventories [Abstract] | |
Inventory Disclosure [Text Block] | (4) Inventories December 31, 2015 2014 Raw materials and component parts $ 30,569 $ 36,383 Finished goods 67,777 65,943 $ 98,346 $ 102,326 Overhead included in inventory aggregated $ 3.7 3.3 6.6 6.0 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value Disclosures [Text Block] | (5) Fair Value of Financial Instruments (In thousands) Fair Value Measurements at December 31, 2015 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Total (Level 1) (Level 2) (Level 3) Assets: Short-term investments $ 82,847 $ $ 82,847 $ Foreign currency forward exchange contracts not accounted for using hedge accounting 123 123 $ 82,970 $ $ 82,970 $ Liabilities: Interest rate swaps $ 1,026 $ $ 1,026 $ Fair Value Measurements at December 31, 2014 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Total (Level 1) (Level 2) (Level 3) Assets: Short-term investments $ 190,152 $ $ 190,152 $ Liabilities: Foreign currency forward exchange contracts not accounted for using hedge accounting $ 355 $ $ 355 $ The carrying amount of cash and cash equivalents including money market funds, short-term investments, accounts receivable, other receivables, accounts payable and accrued expenses approximates fair value due to the short terms to maturity of these instruments. The carrying amount of loans payable approximates fair value as the variable interest rates on the Company’s indebtedness approximate current market rates. Foreign currency forward exchange contracts are valued based on quotations from financial institutions and the value of interest rate swaps are the discounted net present value of the swaps using third party quotes from financial institutions. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Financial Instruments [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | (6) Derivative Financial Instruments The Company enters into foreign currency forward exchange contracts to hedge exposure related to receivables denominated in a foreign currency and occasionally to manage risks related to future sales expected to be denominated in a foreign currency. In connection with the Rochas acquisition, $ 108 108 1.067 Gains and losses in derivatives not designated as hedges are included in (gain) loss on foreign currency on the accompanying income statements and were immaterial in each of the years in the three-year period ended December 31, 2015. For the year ended December 31, 2015, interest expense includes a loss of $ 1.0 All derivative instruments are reported as either assets or liabilities on the balance sheet measured at fair value. The valuation of interest rate swaps resulted in a liability which is included in long-term debt on the accompanying balance sheet as of December 31, 2015. The valuation of foreign currency forward exchange contracts not accounted for using hedge accounting in 2015 resulted in an asset and is included in other current assets, and at December 31, 2014, such valuation resulted in a liability and is included in accrued expenses on the accompanying balance sheet. Generally, increases or decreases in the fair value of derivative instruments will be recognized as gains or losses in earnings in the period of change. If the derivative instrument is designated and qualifies as a cash flow hedge, the changes in fair value of the derivative instrument will be recorded as a separate component of shareholders’ equity. At December 31, 2015, the Company had foreign currency contracts in the form of forward exchange contracts with notional amounts of approximately U.S. $ 12.8 1.6 50.0 |
Equipment and Leasehold Improve
Equipment and Leasehold Improvements | 12 Months Ended |
Dec. 31, 2015 | |
Equipment and Leasehold Improvements [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | (7) Equipment and Leasehold Improvements December 31, 2015 2014 Equipment $ 27,757 $ 26,006 Leasehold improvements 1,631 1,581 29,388 27,587 Less accumulated depreciation and amortization 20,055 18,400 $ 9,333 $ 9,187 Depreciation and amortization expense was $ 3.3 4.9 |
Trademarks, Licenses and Other
Trademarks, Licenses and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets, Net (Excluding Goodwill) [Abstract] | |
Intangible Assets Disclosure [Text Block] | (8) Trademarks, Licenses and Other Intangible Assets 2015 Gross Accumulated Net Book Amount Amortization Value Trademarks (indefinite lives) $ 119,459 $ $ 119,459 Trademarks (finite lives) 42,046 61 41,985 Licenses (finite lives) 66,082 28,994 37,088 Other intangible assets (finite lives) 12,366 9,563 2,803 Subtotal 120,494 38,618 81,876 Total $ 239,953 $ 38,618 $ 201,335 2014 Gross Accumulated Net Book Amount Amortization Value Trademarks (indefinite lives) $ 4,252 $ $ 4,252 Trademarks (finite lives) 46,889 53 46,836 Licenses (finite lives) 72,171 26,976 45,195 Other intangible assets (finite lives) 11,572 9,324 2,248 Subtotal 130,632 36,353 94,279 Total $ 134,884 $ 36,353 $ 98,531 Amortization expense was $5.8 million, $ 6.6 6.2 6.0 4.9 18 14 2 14 There were no impairment charges for trademarks with indefinite useful lives in 2015, 2014 and 2013. The fair values used in our evaluations are estimated based upon discounted future cash flow projections using a weighted average cost of capital of 8.02 The cost of trademarks, licenses and other intangible assets with finite lives is being amortized by the straight-line method over the term of the respective license or the intangible assets estimated useful life which range from three to twenty years. If the residual value of a finite life intangible asset exceeds its carrying value, then the asset is not amortized. The Company reviews intangible assets with finite lives for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Trademarks (finite lives) primarily represent Lanvin brand names and trademarks and in connection with their purchase, Lanvin was granted the right to repurchase the brand names and trademarks in 2025 for the greater of 70 76 |
Loans Payable - Banks
Loans Payable - Banks | 12 Months Ended |
Dec. 31, 2015 | |
Loans Payable - Banks [Abstract] | |
Debt Disclosure [Text Block] | (9) Loans Payable Banks Loans payable banks consist of the following: The Company and its domestic subsidiaries have available a $ 20 0.5 3.5 The Company’s foreign subsidiaries have available credit lines, including several bank overdraft facilities totaling approximately $ 27 0.5 0.8 0.1 0.3 The weighted average interest rate on short-term borrowings was zero as of December 31, 2015 and 0.8 |
Long-term Debt
Long-term Debt | 12 Months Ended |
Dec. 31, 2015 | |
Loans Payable - Banks [Abstract] | |
Long-term Debt [Text Block] | (10) Long-term Debt In June 2015, the Company financed its Rochas brand acquisition with a $ 111 5 1.2 22 11 |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2015 | |
Commitments [Abstract] | |
Commitments Disclosure [Text Block] | (11) Commitments Leases The Company leases its office and warehouse facilities under operating leases which are subject to various step rent provisions, rent concessions and escalation clauses expiring at various dates through 2023. Escalation clauses are not material and have been excluded from minimum future annual rental payments. Rental expense, which is calculated on a straight-line basis, amounted to $ 9.9 10.1 10.8 Minimum future annual rental payments are as follows: 2016 $ 5,512 2017 5,285 2018 4,913 2019 4,470 2020 3,765 Thereafter 8,743 $ 32,688 License Agreements The Company is party to a number of license and other agreements for the use of trademarks and rights in connection with the manufacture and sale of its products expiring at various dates through 2032. In connection with certain of these license agreements, the Company is subject to minimum annual advertising commitments, minimum annual royalties and other commitments as follows: 2016 $ 101,067 2017 114,136 2018 109,995 2019 113,091 2020 114,100 Thereafter 353,070 $ 905,459 Future advertising commitments are estimated based on planned future sales for the license terms that were in effect at December 31, 2015, without consideration for potential renewal periods. The above figures do not reflect the fact that our distributors share our advertising obligations. Royalty expense included in selling, general, and administrative expenses, aggregated $ 33.8 35.6 40.5 7.2 7.1 7.2 |
Equity
Equity | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | (12) Equity Share-Based Payments: The Company maintains a stock option program for key employees, executives and directors. The plans, all of which have been approved by shareholder vote, provide for the granting of both nonqualified and incentive options. Options granted under the plans typically have a six four five 0.8 0.7 Compensation cost, net of estimated forfeitures, is recognized on a straight-line basis over the requisite service period for the entire award. Forfeitures are estimated based on historic trends. Number of Shares Weighted Average Grant Nonvested options beginning of year 385,505 $ 7.14 Nonvested options granted 158,300 $ 5.99 Nonvested options vested or forfeited (128,955) $ 6.65 Nonvested options end of year 414,850 $ 6.86 Year Ended December 31, 2015 2014 2013 Income before income taxes $ 800 $ 900 $ 800 Net income attributable to Inter Parfums, Inc. 500 500 500 Diluted earnings per share attributable to Inter Parfums, Inc. 0.01 0.01 0.01 Year ended December 31, 2015 2014 2013 Options Weighted Options Weighted Options Weighted Shares under option - beginning of year 639,495 $ 23.19 643,595 $ 19.58 716,235 $ 14.41 Options granted 158,300 23.79 139,250 27.93 136,350 34.84 Options exercised (80,685) 13.82 (136,640) 11.19 (204,240) 11.68 Options forfeited (7,810) 27.77 (6,710) 19.37 (4,750) 17.47 Shares under option - end of year 709,300 24.34 639,495 23.19 643,595 19.58 At December 31, 2015, options for 178,045 1.7 2.7 five The weighted average fair values of options granted by Inter Parfums, Inc. during 2015, 2014 and 2013 were $ 5.99 7.42 9.20 Year Ended December 31, 2015 2014 2013 Weighted-average expected stock-price volatility 33 % 34 % 37 % Weighted-average expected option life 5.0 years 5.0 years 5.0 years Weighted-average risk-free interest rate 1.7 % 1.7 % 1.7 % Weighted-average dividend yield 2.1 % 1.8 % 2.7 % Expected volatility is estimated based on historic volatility of the Company’s common stock. The expected term of the option is estimated based on historic data. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of the grant of the option and the dividend yield reflects the assumption that the dividend payout as authorized by the Board of Directors would maintain its current payout ratio as a percentage of earnings. Year Ended December 31, 2015 2014 2013 Proceeds from stock options exercised, excluding cashless exercise of $0.5 million, $0.6 million and $0.7 million in 2015, 2014 and 2013, respectively $ 653 $ 953 $ 1,668 Tax benefits $ 260 $ 670 $ 700 Intrinsic value of stock options exercised $ 1,137 $ 2,733 $ 4,088 Options outstanding Number weighted average remaining Options Exercise prices outstanding contractual life exercisable $15.59 92,880 2.00 years 71,380 $17.07 2,000 1.08 years 1,125 $19.03 - $19.33 189,370 2.14 years 142,290 $21.76 3,000 2.09 years 1,000 $22.20 4,000 3.09 years 1,600 $23.61 144,300 6.00 years $25.82 14,000 4.80 years $27.80 130,100 5.00 years 26,020 $29.36 2,000 3.69 years 500 $32.12 3,500 3.09 years 875 $35.75 124,150 4.00 years 49,660 Totals 709,300 3.82 years 294,450 As of December 31, 2015, the weighted average exercise price of options exercisable was $ 21.93 2.54 1.3 The Chief Executive Officer and the President each exercised 19,000 32,875 28,500 0.5 0.6 0.7 18,764 19,656 18,880 1,299 3,112 2,573 Dividends The quarterly dividend of $ 4.0 0.13 15 0.60 0.15 April 15, 2016 March 31, 2016 |
Net Income Attributable to Inte
Net Income Attributable to Inter Parfums, Inc. Common Shareholders | 12 Months Ended |
Dec. 31, 2015 | |
Net Income Attributable to Inter Parfums, Inc. Common Shareholders [Abstract] | |
Earnings Per Share [Text Block] | (13) Net Income Attributable to Inter Parfums, Inc. Common Shareholders Net income attributable to Inter Parfums, Inc. per common share (“basic EPS”) is computed by dividing net income attributable to Inter Parfums, Inc. by the weighted average number of shares outstanding. Net income attributable to Inter Parfums, Inc. per share assuming dilution (“diluted EPS”), is computed using the weighted average number of shares outstanding, plus the incremental shares outstanding assuming the exercise of dilutive stock options and warrants using the treasury stock method. The reconciliation between the numerators and denominators of the basic and diluted EPS computations is as follows: Year ended December 31, 2015 2014 2013 Numerator for diluted earings per share $ 30,437 $ 29,436 $ 39,211 Denominator: Weighted average shares 30,996,137 30,931,308 30,763,955 Effect of dilutive securities: Stock options 104,078 129,018 189,927 Denominator for diluted earnings per share 31,100,215 31,060,326 30,953,882 Earnings per share: Net income attributable to Inter Parfums, Inc. common shareholders: Basic $ 0.98 $ 0.95 $ 1.27 Diluted 0.98 0.95 1.27 Not included in the above computations is the effect of anti-dilutive potential common shares, which consist of outstanding options to purchase 272,000 130,000 32,000 |
Segments and Geographic Areas
Segments and Geographic Areas | 12 Months Ended |
Dec. 31, 2015 | |
Segments and Geographic Areas [Abstract] | |
Segment Reporting Disclosure [Text Block] | (14) Segments and Geographic Areas The Company manufactures and distributes one product line, fragrances and fragrance related products. The Company Year ended December 31, 2015 2014 2013 Net sales: United States $ 105,851 $ 105,270 $ 99,158 Europe 362,911 394,164 464,562 Eliminations of intercompany sales (222) (173) (141) $ 468,540 $ 499,261 $ 563,579 Net income attributable to Inter Parfums, Inc.: United States $ 7,640 $ 8,069 $ 6,806 Europe 22,797 21,367 32,392 Eliminations 13 $ 30,437 $ 29,436 $ 39,211 Depreciation and amortization expense: United States $ 1,583 $ 1,554 $ 1,216 Europe 7,495 8,612 9,894 $ 9,078 $ 10,166 $ 11,110 Interest and dividend income: United States $ 18 $ 3 $ 16 Europe 2,977 3,885 4,424 $ 2,995 $ 3,888 $ 4,440 Interest expense: United States $ 2 $ 73 $ 13 Europe 2,824 1,405 1,367 $ 2,826 $ 1,478 $ 1,380 Income tax expense: United States $ 3,923 $ 4,643 $ 4,512 Europe 17,604 14,727 25,159 Eliminations 9 $ 21,527 $ 19,370 $ 29,680 December 31, 2015 2014 2013 Total assets: United States $ 80,761 $ 78,740 $ 76,980 Europe 616,199 535,049 596,153 Eliminations of investment in subsidiary (9,301) (9,283) (9,075) $ 687,659 $ 604,506 $ 664,058 Additions to long-lived assets: United States $ 1,283 $ 1,165 $ 7,629 Europe 122,663 3,059 5,155 $ 123,946 $ 4,224 $ 12,784 Total long-lived assets: United States $ 13,133 $ 13,433 $ 13,823 Europe 197,535 94,285 112,864 $ 210,668 $ 107,718 $ 126,687 Deferred tax assets: United States $ 365 $ 396 $ 341 Europe 6,817 6,452 6,916 Eliminations - - - $ 7,182 $ 6,848 $ 7,257 United States export sales were approximately $ 66.3 61.0 58.8 Year ended December 31, 2015 2014 2013 North America $ 125,700 $ 125,900 $ 145,900 Europe 170,600 177,900 215,700 Central and South America 41,100 57,700 50,600 Middle East 41,900 40,300 43,300 Asia 78,200 85,600 98,700 Other 11,000 11,900 9,400 $ 468,500 $ 499,300 $ 563,600 Year Ended December 31, 2015 2014 2013 United States $ 122,000 $ 119,000 $ 142,000 United Kingdom $ 32,000 $ 37,000 $ 46,000 France $ 34,000 $ 50,000 $ 47,000 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Income Tax Disclosure [Text Block] | (15) Income Taxes The Company or its subsidiaries file income tax returns in the U.S. federal, and various states and foreign jurisdictions. The Company assessed its uncertain tax positions and determined that it has no uncertain tax position at December 31, 2015. The components of income before income taxes consist of the following: Year ended December 31, 2015 2014 2013 U.S. operations $ 11,564 $ 12,712 $ 11,340 Foreign operations 48,932 44,003 69,306 $ 60,496 $ 56,715 $ 80,646 The provision for current and deferred income tax expense (benefit) consists of the following: Year ended December 31, 2015 2014 2013 Current: Federal $ 3,660 $ 4,374 $ 3,638 State and local 220 323 454 Foreign 16,806 15,229 20,744 20,686 19,926 24,836 Deferred: Federal 30 (84) 370 State and local 1 30 59 Foreign 810 (502) 4,415 841 (556) 4,844 Total income tax expense $ 21,527 $ 19,370 $ 29,680 The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are as follows: December 31, 2015 2014 Net deferred tax assets: Foreign net operating loss carry-forwards $ 296 $ 419 Inventory and accounts receivable 2,321 2,655 Profit sharing 2,442 2,570 Stock option compensation 717 545 Effect of inventory profit elimination 2,170 1,757 Other (468) (679) Total gross deferred tax assets, net 7,478 7,267 Valuation allowance (296) (419) Net deferred tax assets 7,182 6,848 Deferred tax liabilities (long-term): Trademarks and licenses (3,746) (2,154) Other Total deferred tax liabilities (3,746) (2,154) Net deferred tax assets $ 3,436 $ 4,694 Valuation allowances are provided for foreign net operating loss carry-forwards, as future profitable operations from certain foreign subsidiaries might not be sufficient to realize the full amount of net operating loss carry-forwards. No other valuation allowances have been provided as management believes that it is more likely than not that the asset will be realized in the reduction of future taxable income. The French Tax Authorities have examined the 2012 tax return of Interparfums, SA and issued a $ 6.9 The Company is no longer subject to U.S. federal, state, and local or non-U.S. income tax examinations by tax authorities for years before 2012. The Company has not provided for U.S. deferred income taxes on $ 352 Differences between the United States Federal statutory income tax rate and the effective income tax rate were as follows: Year ended December 31, 2015 2014 2013 Statutory rates 34.0 % 34.0 % 34.0 % State and local taxes, net of Federal benefit 0.2 0.1 0.4 Effect of foreign taxes greater than U.S. statutory rates 1.6 0.4 2.0 Other (0.2) (0.3) 0.4 Effective rates 35.6 % 34.2 % 36.8 % |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | (16) Accumulated Other Comprehensive Income (Loss) Year ended December 31, 2015 2014 2013 Net derivative instruments, beginning of year $ $ $ 240 Transfer from OCI into earnings (240) Net derivative instruments, end of year Cumulative translation adjustments, beginning of year (15,823) 25,860 12,258 Translation adjustments (32,268) (41,683) 13,602 Cumulative translation adjustments, end of year (48,091) (15,823) 25,860 Accumulated other comprehensive income (loss) $ (48,091) $ (15,823) $ 25,860 |
Net Income Attributable to In24
Net Income Attributable to Inter Parfums, Inc. and Transfers from the Noncontrolling Interest | 12 Months Ended |
Dec. 31, 2015 | |
Net Income Attributable to Inter Parfums, Inc. and Transfers from the Noncontrolling Interest [Abstract] | |
Noncontrolling Interest Disclosure [Text Block] | (17) Net Income Attributable to Inter Parfums, Inc. and Transfers from the Noncontrolling Interest Year ended December 31, 2015 2014 2013 Net income attributable to Inter Parfums, Inc. $ 30,437 $ 29,436 $ 39,211 Decrease in Inter Parfums, Inc.'s additional paid-in capital for subsidiary share transactions (192) (335) (173) Change from net income attributable to Inter Parfums, Inc. and transfers from noncontrolling interest $ 30,245 $ 29,101 $ 39,038 |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2015 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | Valuation and Qualifying Accounts (In thousands) Column A Column B Column C Column D Column E Additions (1) (2) Charged to Balance at Charged to other beginning of costs and accounts Deductions Balance at Description period expenses describe describe end of period Allowance for doubtful accounts: Year ended December 31, 2015 $ 1,609 442 (164) (d) 64 (a) 1,823 Year ended December 31, 2014 $ 2,533 412 (233) (d) 1,103 (a) 1,609 Year ended December 31, 2013 $ 6,074 574 123 (d) 4,238 (a) 2,533 Sales return accrual: Year ended December 31, 2015 $ 5,309 3,490 - 4,752 (b) 4,047 Year ended December 31, 2014 $ 3,843 5,258 - 3,792 (b) 5,309 Year ended December 31, 2013 $ 4,526 3,751 - 4,434 (b) 3,843 Inventory reserve: Year ended December 31, 2015 $ 5,970 5,563 (499) (d) 4,393 (c) 6,641 Year ended December 31, 2014 $ 6,791 5,077 (644) (d) 5,254 (c) 5,970 Year ended December 31, 2013 $ 19,923 6,794 323 (d) 20,249 (c) 6,791 (a) Write-off of bad debts. (b) Write-off of sales returns. (c) Disposal of inventory (d) Foreign currency translation adjustment |
The Company and its Significa26
The Company and its Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Significant Accounting Policies [Abstract] | |
Business Description and Accounting Policies [Text Block] | Business of the Company Inter Parfums, Inc. and its subsidiaries (the “Company”) are in the fragrance business, and manufacture and distribute a wide array of fragrances and fragrance related products. Substantially all of our prestige fragrance brands are licensed from unaffiliated third parties, and our business is dependent upon the continuation and renewal of such licenses. Until early 2013, Burberry was our most significant license as Burberry products represented 23 Year Ended December 31, 2015 2014 2013 Montblanc 21 % 22 % 15 % Lanvin 15 % 18 % 15 % Jimmy Choo 20 % 16 % 13 % No other brand represented 10% or more of consolidated net sales. |
Basis of Accounting, Policy [Policy Text Block] | Basis of Preparation The consolidated financial statements include the accounts of the Company, including 73 51 49 |
Use of Estimates, Policy [Policy Text Block] | Management Estimates Management makes assumptions and estimates to prepare financial statements in conformity with accounting principles generally accepted in the United States of America. Those assumptions and estimates directly affect the amounts reported and disclosures included in the consolidated financial statements. Actual results could differ from those assumptions and estimates. Significant estimates for which changes in the near term are considered reasonably possible and that may have a material impact on the financial statements are disclosed in these notes to the consolidated financial statements. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation For foreign subsidiaries with operations denominated in a foreign currency, assets and liabilities are translated to U.S. dollars at year-end exchange rates. Income and expense items are translated at average rates of exchange prevailing during the year. Gains and losses from translation adjustments are accumulated in a separate component of shareholders’ equity. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents and Short-Term Investments All highly liquid investments purchased with a maturity of three months or less are considered to be cash equivalents. From time to time, the Company has short-term investments which consist of certificates of deposit with maturities greater than three months. The Company monitors concentrations of credit risk associated with financial institutions with which the Company conducts significant business. The Company believes its credit risk is minimal, as the Company primarily conducts business with large, well-established financial institutions. Substantially all cash and cash equivalents are held at financial institutions outside the United States and are readily convertible into U.S. dollars. |
Trade and Other Accounts Receivable, Policy [Policy Text Block] | Accounts Receivable Accounts receivable represent payments due to the Company for previously recognized net sales, reduced by allowances for sales returns and doubtful accounts or balances which are estimated to be uncollectible, which aggregated $ 5.9 6.9 |
Inventory, Policy [Policy Text Block] | Inventories Inventories, including promotional merchandise, only include inventory considered saleable or usable in future periods, and is stated at the lower of cost or market, with cost being determined on the first-in, first-out method. Cost components include raw materials, direct labor and overhead (e.g., indirect labor, utilities, depreciation, purchasing, receiving, inspection and warehousing) as well as inbound freight. Promotional merchandise is charged to cost of sales at the time the merchandise is shipped to the Company’s customers. |
Derivatives, Policy [Policy Text Block] | Derivatives All derivative instruments are recorded as either assets or liabilities and measured at fair value. The Company uses derivative instruments to principally manage a variety of market risks. For derivatives designated as hedges of the exposure to changes in fair value of the recognized asset or liability or a firm commitment (referred to as fair value hedges), the gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item attributable to the risk being hedged. The effect of that accounting is to include in earnings the extent to which the hedge is not effective in achieving offsetting changes in fair value. For cash flow hedges, the effective portion of the derivative’s gain or loss is initially reported in equity (as a component of accumulated other comprehensive income) and is subsequently reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. The ineffective portion of the gain or loss of a cash flow hedge is reported in earnings immediately. The Company also holds certain instruments for economic purposes that are not designated for hedge accounting treatment. For these derivative instruments, changes in their fair value are recorded in earnings immediately. |
Property, Plant and Equipment, Policy [Policy Text Block] | Equipment and Leasehold Improvements Equipment and leasehold improvements are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are provided using the straight-line method over the estimated useful lives for equipment, which range between three and ten years and the shorter of the lease term or estimated useful asset lives for leasehold improvements. Depreciation provided on equipment used to produce inventory, such as tools and molds, is included in cost of sales. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Long-Lived Assets Indefinite-lived intangible assets principally consist of trademarks which are not amortized. The Company evaluates indefinite-lived intangible assets for impairment at least annually during the fourth quarter, or more frequently when events occur or circumstances change, such as an unexpected decline in sales, that would more likely than not indicate that the carrying value of an indefinite-lived intangible asset may not be recoverable. When testing indefinite-lived intangible assets for impairment, the evaluation requires a comparison of the estimated fair value of the asset to the carrying value of the asset. The fair values used in our evaluations are estimated based upon discounted future cash flow projections using a weighted average cost of capital of 8.02 Intangible assets subject to amortization are evaluated for impairment testing whenever events or changes in circumstances indicate that the carrying amount of an amortizable intangible asset may not be recoverable. If impairment indicators exist for an amortizable intangible asset, the undiscounted future cash flows associated with the expected service potential of the asset are compared to the carrying value of the asset. If our projection of undiscounted future cash flows is in excess of the carrying value of the intangible asset, no impairment charge is recorded. If our projection of undiscounted future cash flows is less than the carrying value of the intangible asset, an impairment charge would be recorded to reduce the intangible asset to its fair value. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition The Company sells its products to department stores, perfumeries, specialty stores, mass-market retailers, supermarkets and domestic and international wholesalers and distributors. Sales of such products by our domestic subsidiaries are denominated in U.S. dollars, and sales of such products by our foreign subsidiaries are primarily denominated in either euro or U.S. dollars. The Company recognizes revenues when merchandise is shipped and the risk of loss passes to the customer. Net sales are comprised of gross revenues less returns, trade discounts and allowances. The Company does not bill its customers’ freight and handling charges. All shipping and handling costs, which aggregated $ 4.7 5.2 6.1 10 |
Revenue Recognition, Sales Returns [Policy Text Block] | Sales Returns Generally, the Company does not permit customers to return their unsold products. However, for U.S. based customers, we allow returns if properly requested, authorized and approved. The Company regularly reviews and revises, as deemed necessary, its estimate of reserves for future sales returns based primarily upon historic trends and relevant current data including information provided by retailers regarding their inventory levels. In addition, as necessary, specific accruals may be established for significant future known or anticipated events. The types of known or anticipated events that we consider include, but are not limited to, the financial condition of our customers, store closings by retailers, changes in the retail environment and our decision to continue to support new and existing products. The Company records estimated reserves for sales returns as a reduction of sales, cost of sales and accounts receivable. Returned products are recorded as inventories and are valued based upon estimated realizable value. The physical condition and marketability of returned products are the major factors we consider in estimating realizable value. Actual returns, as well as estimated realizable values of returned products, may differ significantly, either favorably or unfavorably, from our estimates, if factors such as economic conditions, inventory levels or competitive conditions differ from our expectations. |
Revenue Recognition, Incentives [Policy Text Block] | Payments to Customers The Company records revenues generated from purchase with purchase and gift with purchase promotions as sales and the costs of its purchase with purchase and gift with purchase promotions as cost of sales. Certain other incentive arrangements require the payment of a fee to customers based on their attainment of pre-established sales levels. These fees have been recorded as a reduction of net sales. |
Advertising Costs, Policy [Policy Text Block] | Advertising and Promotion Advertising and promotional costs are expensed as incurred and recorded as a component of cost of goods sold (in the case of free goods given to customers) or selling, general and administrative expenses. Advertising and promotional costs included in selling, general and administrative expenses were $ 83.8 86.7 94.0 25.4 24.4 25.7 15.2 16.5 |
Package Development Costs, Policy [Policy Text Block] | Package Development Costs Package development costs associated with new products and redesigns of existing product packaging are expensed as incurred. |
Lease, Policy [Policy Text Block] | Operating Leases The Company recognizes rent expense from operating leases with various step rent provisions, rent concessions and escalation clauses on a straight-line basis over the applicable lease term. The Company considers lease renewals in the useful life of its leasehold improvements when such renewals are reasonably assured. In the event the Company receives capital improvement funding from its landlord, these amounts are recorded as deferred liabilities and amortized over the remaining lease term as a reduction of rent expense. |
Commitments and Contingencies, Policy [Policy Text Block] | License Agreements The Company’s license agreements generally provide the Company with worldwide rights to manufacture, market and sell fragrance and fragrance related products using the licensors’ trademarks. The licenses typically have an initial term of approximately 5 15 1 16 5 10 In certain cases, the Company may pay an entry fee to acquire, or enter into, a license where the licensor or another licensee was operating a pre-existing fragrance business. In those cases, the entry fee is capitalized as an intangible asset and amortized over its useful life. Most license agreements require minimum royalty payments, incremental royalties based on net sales levels and minimum spending on advertising and promotional activities. Royalty expenses are accrued in the period in which net sales are recognized while advertising and promotional expenses are accrued at the time these costs are incurred. In addition, the Company is exposed to certain concentration risk. Substantially all of our prestige fragrance brands are licensed from unaffiliated third parties, and our business is dependent upon the continuation and renewal of such licenses. |
Income Tax, Policy [Policy Text Block] | Income Taxes The Company accounts for income taxes using an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in its financial statements or tax returns. The net deferred tax assets assume sufficient future earnings for their realization, as well as the continued application of currently enacted tax rates. Included in net deferred tax assets is a valuation allowance for deferred tax assets, where management believes it is more-likely-than-not that the deferred tax assets will not be realized in the relevant jurisdiction. If the Company determines that a deferred tax asset will not be realizable, an adjustment to the deferred tax asset will result in a reduction of net earnings at that time. |
Consolidation, Subsidiary Stock Issuances, Policy [Policy Text Block] | Issuance of Common Stock by Consolidated Subsidiary The difference between the Company’s share of the proceeds received by the subsidiary and the carrying amount of the portion of the Company’s investment deemed sold, is reflected as an equity adjustment in the consolidated balance sheets. |
Treasury Stock Policy [Policy Text Block] | Treasury Stock The Board of Directors may authorize share repurchases of the Company’s common stock (Share Repurchase Authorizations). Share repurchases under Share Repurchase Authorizations may be made through open market transactions, negotiated purchase or otherwise, at times and in such amounts within the parameters authorized by the Board. Shares repurchased under Share Repurchase Authorizations are held in treasury for general corporate purposes, including issuances under various employee stock option plans. Treasury shares are accounted for under the cost method and reported as a reduction of equity. Share Repurchase Authorizations may be suspended, limited or terminated at any time without notice. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (‘ASU”) which requires lessees to recognize lease assets and lease liabilities arising from operating leases on the balance sheet. This ASU is effective for annual and interim reporting periods beginning after December 15, 2018 using a modified retrospective approach, with early adoption permitted. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In November 2015, the FASB issued an ASU that requires all deferred tax liabilities and assets to be classified as noncurrent on the balance sheet. This ASU is effective for annual and interim reporting periods beginning after December 15, 2016, with early adoption permitted. In addition, this guidance can be applied either prospectively or retrospectively to all periods presented. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In July 2015, the FASB issued an ASU modifying the accounting for inventory. Under this ASU, the measurement principle for inventory will change from lower of cost or market value to lower of cost and net realizable value. The ASU defines net realizable value as the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The ASU is applicable to inventory that is accounted for under the first-in, first-out method and is effective for reporting periods after December 15, 2016, with early adoption permitted. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. In May 2014, the FASB issued an ASU which supersedes the most current revenue recognition requirements. The new revenue recognition standard requires entities to recognize revenue in a way that depicts the transfer of goods or services to customers in an amount that reflects the consideration which the entity expects to be entitled to in exchange for those goods or services. This guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted for annual periods after December 31, 2016. We are currently evaluating the standard to determine the impact of its adoption on our consolidated financial statements. There are no other recent accounting pronouncements issued but not yet adopted that would have a material effect on our consolidated financial statements. |
The Company and its Significa27
The Company and its Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Significant Accounting Policies [Abstract] | |
Schedules of Concentration of Risk, by Risk Factor [Table Text Block] | As a percentage of net sales, product sales for the Company’s largest brands were as follows: Year Ended December 31, 2015 2014 2013 Montblanc 21 % 22 % 15 % Lanvin 15 % 18 % 15 % Jimmy Choo 20 % 16 % 13 % |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Inventories [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | December 31, 2015 2014 Raw materials and component parts $ 30,569 $ 36,383 Finished goods 67,777 65,943 $ 98,346 $ 102,326 |
Fair Value of Financial Instr29
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | The following tables present our financial assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy. The fair value hierarchy has three levels based on the reliability of the inputs used to determine fair value. (In thousands) Fair Value Measurements at December 31, 2015 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Total (Level 1) (Level 2) (Level 3) Assets: Short-term investments $ 82,847 $ $ 82,847 $ Foreign currency forward exchange contracts not accounted for using hedge accounting 123 123 $ 82,970 $ $ 82,970 $ Liabilities: Interest rate swaps $ 1,026 $ $ 1,026 $ Fair Value Measurements at December 31, 2014 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs Total (Level 1) (Level 2) (Level 3) Assets: Short-term investments $ 190,152 $ $ 190,152 $ Liabilities: Foreign currency forward exchange contracts not accounted for using hedge accounting $ 355 $ $ 355 $ |
Equipment and Leasehold Impro30
Equipment and Leasehold Improvements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equipment and Leasehold Improvements [Abstract] | |
Property, Plant and Equipment [Table Text Block] | December 31, 2015 2014 Equipment $ 27,757 $ 26,006 Leasehold improvements 1,631 1,581 29,388 27,587 Less accumulated depreciation and amortization 20,055 18,400 $ 9,333 $ 9,187 |
Trademarks, Licenses and Othe31
Trademarks, Licenses and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Intangible Assets, Net (Excluding Goodwill) [Abstract] | |
Schedule Of Intangible Assets [Table Text Block] | 2015 Gross Accumulated Net Book Amount Amortization Value Trademarks (indefinite lives) $ 119,459 $ $ 119,459 Trademarks (finite lives) 42,046 61 41,985 Licenses (finite lives) 66,082 28,994 37,088 Other intangible assets (finite lives) 12,366 9,563 2,803 Subtotal 120,494 38,618 81,876 Total $ 239,953 $ 38,618 $ 201,335 2014 Gross Accumulated Net Book Amount Amortization Value Trademarks (indefinite lives) $ 4,252 $ $ 4,252 Trademarks (finite lives) 46,889 53 46,836 Licenses (finite lives) 72,171 26,976 45,195 Other intangible assets (finite lives) 11,572 9,324 2,248 Subtotal 130,632 36,353 94,279 Total $ 134,884 $ 36,353 $ 98,531 |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Minimum future annual rental payments are as follows: 2016 $ 5,512 2017 5,285 2018 4,913 2019 4,470 2020 3,765 Thereafter 8,743 $ 32,688 |
Contractual Obligation, Fiscal Year Maturity Schedule [Table Text Block] | In connection with certain of these license agreements, the Company is subject to minimum annual advertising commitments, minimum annual royalties and other commitments as follows: 2016 $ 101,067 2017 114,136 2018 109,995 2019 113,091 2020 114,100 Thereafter 353,070 $ 905,459 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Schedule of Nonvested Share Activity [Table Text Block] | Number of Shares Weighted Average Grant Nonvested options beginning of year 385,505 $ 7.14 Nonvested options granted 158,300 $ 5.99 Nonvested options vested or forfeited (128,955) $ 6.65 Nonvested options end of year 414,850 $ 6.86 |
Schedule of Share-based Compensation, Activity [Table Text Block] | Year Ended December 31, 2015 2014 2013 Income before income taxes $ 800 $ 900 $ 800 Net income attributable to Inter Parfums, Inc. 500 500 500 Diluted earnings per share attributable to Inter Parfums, Inc. 0.01 0.01 0.01 |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Year ended December 31, 2015 2014 2013 Options Weighted Options Weighted Options Weighted Shares under option - beginning of year 639,495 $ 23.19 643,595 $ 19.58 716,235 $ 14.41 Options granted 158,300 23.79 139,250 27.93 136,350 34.84 Options exercised (80,685) 13.82 (136,640) 11.19 (204,240) 11.68 Options forfeited (7,810) 27.77 (6,710) 19.37 (4,750) 17.47 Shares under option - end of year 709,300 24.34 639,495 23.19 643,595 19.58 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The assumptions used in the Black-Scholes pricing model are set forth in the following table: Year Ended December 31, 2015 2014 2013 Weighted-average expected stock-price volatility 33 % 34 % 37 % Weighted-average expected option life 5.0 years 5.0 years 5.0 years Weighted-average risk-free interest rate 1.7 % 1.7 % 1.7 % Weighted-average dividend yield 2.1 % 1.8 % 2.7 % |
Schedule of Cash Proceeds Received from Share-based Payment Awards [Table Text Block] | Year Ended December 31, 2015 2014 2013 Proceeds from stock options exercised, excluding cashless exercise of $0.5 million, $0.6 million and $0.7 million in 2015, 2014 and 2013, respectively $ 653 $ 953 $ 1,668 Tax benefits $ 260 $ 670 $ 700 Intrinsic value of stock options exercised $ 1,137 $ 2,733 $ 4,088 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | Options outstanding Number weighted average remaining Options Exercise prices outstanding contractual life exercisable $15.59 92,880 2.00 years 71,380 $17.07 2,000 1.08 years 1,125 $19.03 - $19.33 189,370 2.14 years 142,290 $21.76 3,000 2.09 years 1,000 $22.20 4,000 3.09 years 1,600 $23.61 144,300 6.00 years $25.82 14,000 4.80 years $27.80 130,100 5.00 years 26,020 $29.36 2,000 3.69 years 500 $32.12 3,500 3.09 years 875 $35.75 124,150 4.00 years 49,660 Totals 709,300 3.82 years 294,450 |
Net Income Attributable to In34
Net Income Attributable to Inter Parfums, Inc. Common Shareholders (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Net Income Attributable to Inter Parfums, Inc. Common Shareholders [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The reconciliation between the numerators and denominators of the basic and diluted EPS computations is as follows: Year ended December 31, 2015 2014 2013 Numerator for diluted earings per share $ 30,437 $ 29,436 $ 39,211 Denominator: Weighted average shares 30,996,137 30,931,308 30,763,955 Effect of dilutive securities: Stock options 104,078 129,018 189,927 Denominator for diluted earnings per share 31,100,215 31,060,326 30,953,882 Earnings per share: Net income attributable to Inter Parfums, Inc. common shareholders: Basic $ 0.98 $ 0.95 $ 1.27 Diluted 0.98 0.95 1.27 |
Segments and Geographic Areas (
Segments and Geographic Areas (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segments and Geographic Areas [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Information on the Company’s operations by segments is as follows: Year ended December 31, 2015 2014 2013 Net sales: United States $ 105,851 $ 105,270 $ 99,158 Europe 362,911 394,164 464,562 Eliminations of intercompany sales (222) (173) (141) $ 468,540 $ 499,261 $ 563,579 Net income attributable to Inter Parfums, Inc.: United States $ 7,640 $ 8,069 $ 6,806 Europe 22,797 21,367 32,392 Eliminations 13 $ 30,437 $ 29,436 $ 39,211 Depreciation and amortization expense: United States $ 1,583 $ 1,554 $ 1,216 Europe 7,495 8,612 9,894 $ 9,078 $ 10,166 $ 11,110 Interest and dividend income: United States $ 18 $ 3 $ 16 Europe 2,977 3,885 4,424 $ 2,995 $ 3,888 $ 4,440 Interest expense: United States $ 2 $ 73 $ 13 Europe 2,824 1,405 1,367 $ 2,826 $ 1,478 $ 1,380 Income tax expense: United States $ 3,923 $ 4,643 $ 4,512 Europe 17,604 14,727 25,159 Eliminations 9 $ 21,527 $ 19,370 $ 29,680 December 31, 2015 2014 2013 Total assets: United States $ 80,761 $ 78,740 $ 76,980 Europe 616,199 535,049 596,153 Eliminations of investment in subsidiary (9,301) (9,283) (9,075) $ 687,659 $ 604,506 $ 664,058 Additions to long-lived assets: United States $ 1,283 $ 1,165 $ 7,629 Europe 122,663 3,059 5,155 $ 123,946 $ 4,224 $ 12,784 Total long-lived assets: United States $ 13,133 $ 13,433 $ 13,823 Europe 197,535 94,285 112,864 $ 210,668 $ 107,718 $ 126,687 Deferred tax assets: United States $ 365 $ 396 $ 341 Europe 6,817 6,452 6,916 Eliminations - - - $ 7,182 $ 6,848 $ 7,257 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | Consolidated net sales to customers by region are as follows: Year ended December 31, 2015 2014 2013 North America $ 125,700 $ 125,900 $ 145,900 Europe 170,600 177,900 215,700 Central and South America 41,100 57,700 50,600 Middle East 41,900 40,300 43,300 Asia 78,200 85,600 98,700 Other 11,000 11,900 9,400 $ 468,500 $ 499,300 $ 563,600 |
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block] | Consolidated net sales to customers in major countries are as follows: Year Ended December 31, 2015 2014 2013 United States $ 122,000 $ 119,000 $ 142,000 United Kingdom $ 32,000 $ 37,000 $ 46,000 France $ 34,000 $ 50,000 $ 47,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | The components of income before income taxes consist of the following: Year ended December 31, 2015 2014 2013 U.S. operations $ 11,564 $ 12,712 $ 11,340 Foreign operations 48,932 44,003 69,306 $ 60,496 $ 56,715 $ 80,646 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The provision for current and deferred income tax expense (benefit) consists of the following: Year ended December 31, 2015 2014 2013 Current: Federal $ 3,660 $ 4,374 $ 3,638 State and local 220 323 454 Foreign 16,806 15,229 20,744 20,686 19,926 24,836 Deferred: Federal 30 (84) 370 State and local 1 30 59 Foreign 810 (502) 4,415 841 (556) 4,844 Total income tax expense $ 21,527 $ 19,370 $ 29,680 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are as follows: December 31, 2015 2014 Net deferred tax assets: Foreign net operating loss carry-forwards $ 296 $ 419 Inventory and accounts receivable 2,321 2,655 Profit sharing 2,442 2,570 Stock option compensation 717 545 Effect of inventory profit elimination 2,170 1,757 Other (468) (679) Total gross deferred tax assets, net 7,478 7,267 Valuation allowance (296) (419) Net deferred tax assets 7,182 6,848 Deferred tax liabilities (long-term): Trademarks and licenses (3,746) (2,154) Other Total deferred tax liabilities (3,746) (2,154) Net deferred tax assets $ 3,436 $ 4,694 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Differences between the United States Federal statutory income tax rate and the effective income tax rate were as follows: Year ended December 31, 2015 2014 2013 Statutory rates 34.0 % 34.0 % 34.0 % State and local taxes, net of Federal benefit 0.2 0.1 0.4 Effect of foreign taxes greater than U.S. statutory rates 1.6 0.4 2.0 Other (0.2) (0.3) 0.4 Effective rates 35.6 % 34.2 % 36.8 % |
Accumulated Other Comprehensi37
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The components of accumulated other comprehensive income (loss) consists of the following: Year ended December 31, 2015 2014 2013 Net derivative instruments, beginning of year $ $ $ 240 Transfer from OCI into earnings (240) Net derivative instruments, end of year Cumulative translation adjustments, beginning of year (15,823) 25,860 12,258 Translation adjustments (32,268) (41,683) 13,602 Cumulative translation adjustments, end of year (48,091) (15,823) 25,860 Accumulated other comprehensive income (loss) $ (48,091) $ (15,823) $ 25,860 |
Net Income Attributable to In38
Net Income Attributable to Inter Parfums, Inc. and Transfers From the Noncontrolling Interest (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Net Income Attributable to Inter Parfums, Inc. and Transfers from the Noncontrolling Interest [Abstract] | |
Net Income Attributable to Parent and Transfers from Noncontrolling Interest [Table Text Block] | Year ended December 31, 2015 2014 2013 Net income attributable to Inter Parfums, Inc. $ 30,437 $ 29,436 $ 39,211 Decrease in Inter Parfums, Inc.'s additional paid-in capital for subsidiary share transactions (192) (335) (173) Change from net income attributable to Inter Parfums, Inc. and transfers from noncontrolling interest $ 30,245 $ 29,101 $ 39,038 |
The Company and its Significa39
The Company and its Significant Accounting Policies (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Concentration Risk [Line Items] | |||
Percentage | 10.00% | 10.00% | 10.00% |
Montblanc [Member] | |||
Concentration Risk [Line Items] | |||
Percentage | 21.00% | 22.00% | 15.00% |
Lanvin [Member] | |||
Concentration Risk [Line Items] | |||
Percentage | 15.00% | 18.00% | 15.00% |
Jimmy Choo [Member] | |||
Concentration Risk [Line Items] | |||
Percentage | 20.00% | 16.00% | 13.00% |
The Company and its Significa40
The Company and its Significant Accounting Policies (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Ownership percentage in Interparfums SA | 73.00% | ||
Allowances for sales returns and doubtful accounts | $ 5.9 | $ 6.9 | |
Shipping and handling costs | 4.7 | 5.2 | $ 6.1 |
Advertising costs | 83.8 | 86.7 | 94 |
Customer incentives cost | $ 25.4 | $ 24.4 | $ 25.7 |
Weighted average cost of capital | 8.02% | ||
Royalty expense, percentage of net sales | 7.20% | 7.10% | 7.20% |
Accrued Advertising, Current | $ 15.2 | $ 16.5 | |
Concentration Risk, Percentage | 10.00% | 10.00% | 10.00% |
Parfums Rochas [Member] | |||
Ownership percentage in Interparfums SA | 51.00% | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 49.00% | ||
Burberry [Member] | Sales Revenue, Net [Member] | |||
Concentration Risk, Percentage | 23.00% | ||
Minimum [Member] | |||
Estimated useful life | 3 years | ||
License agreement term | 5 years | ||
License agreement renewal term | 1 year | ||
Royalty expense, percentage of net sales | 5.00% | ||
Maximum [Member] | |||
Estimated useful life | 10 years | ||
License agreement term | 15 years | ||
License agreement renewal term | 16 years | ||
Royalty expense, percentage of net sales | 10.00% |
Recent Agreements (Details Text
Recent Agreements (Details Textual) € in Millions, $ in Millions | 1 Months Ended | |||||||
Oct. 31, 2015 | Sep. 30, 2015 | May. 31, 2015USD ($) | May. 31, 2015EUR (€) | Apr. 30, 2015 | Dec. 31, 2014 | Oct. 31, 2013USD ($) | Jul. 31, 2013 | |
Montblanc [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 10 years | |||||||
French Connection [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 12 years | |||||||
Rochas [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Payment for related inventory | $ 4.4 | |||||||
Abercrombie Fitch and Hollister [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 7 years | |||||||
Oscar De La Renta [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 12 years | |||||||
License entry fee | $ 5 | |||||||
Agent Provocateur [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 10 years 6 months | |||||||
Shanghai Tang [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 12 years | |||||||
Coach [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
License Agreement Term | 11 years | |||||||
Trademarks [Member] | Rochas [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Acquired intangible assets with indefinite lives | 118 | € 106 | ||||||
Acquisition related expenses | 5.4 | |||||||
Fashion Trademarks [Member] | Rochas [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Acquisition related expenses | $ 21 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Inventory [Line Items] | ||
Raw materials and component parts | $ 30,569 | $ 36,383 |
Finished goods | 67,777 | 65,943 |
Inventories | $ 98,346 | $ 102,326 |
Inventories (Details textual)
Inventories (Details textual) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Inventory [Line Items] | ||
Cost of Goods Sold, Overhead | $ 3.7 | $ 3.3 |
Inventory Valuation Reserves | $ 6.6 | $ 6 |
Fair Value of Financial Instr44
Fair Value of Financial Instruments (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Assets: | ||
Short-term investments | $ 82,847 | $ 190,152 |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 123 | |
Total assets | 82,970 | |
Liabilities: | ||
Interest rate swaps | 1,026 | |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 355 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Assets: | ||
Short-term investments | 0 | 0 |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 0 | |
Total assets | 0 | |
Liabilities: | ||
Interest rate swaps | 0 | |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 0 | |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Short-term investments | 82,847 | 190,152 |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 123 | |
Total assets | 82,970 | |
Liabilities: | ||
Interest rate swaps | 1,026 | |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 355 | |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets: | ||
Short-term investments | 0 | 0 |
Foreign currency forward exchange contracts not accounted for using hedge accounting | 0 | |
Total assets | 0 | |
Liabilities: | ||
Interest rate swaps | $ 0 | |
Foreign currency forward exchange contracts not accounted for using hedge accounting | $ 0 |
Derivative Financial Instrume45
Derivative Financial Instruments (Details Textual) ¥ in Millions, £ in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015USD ($) | Dec. 31, 2015GBP (£) | Dec. 31, 2015JPY (¥) | |
Derivative Financial Instruments [Line Items] | |||
Maximum maturity period | 1 year | 1 year | 1 year |
Cash paid for acquisition and financed by loan, amount | $ 111 | ||
Cash paid for acquisition and financed by loan, term | 5 years | 5 years | 5 years |
Foreign Exchange Contract [Member] | |||
Derivative Financial Instruments [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net, Total | $ 12.8 | £ 1.6 | ¥ 50 |
Interest Rate Swap [Member] | |||
Derivative Financial Instruments [Line Items] | |||
Derivative, Gain (Loss) on Derivative, Net, Total | 1 | ||
Rochas brand [Member] | Trademarks [Member] | Term Loan [Member] | |||
Derivative Financial Instruments [Line Items] | |||
Cash paid for acquisition and financed by loan, amount | $ 108 | ||
Cash paid for acquisition and financed by loan, term | 5 years | 5 years | 5 years |
Rochas brand [Member] | Trademarks [Member] | Term Loan [Member] | Foreign Exchange Contract [Member] | |||
Derivative Financial Instruments [Line Items] | |||
Notional amount | $ 108 | ||
Exchange rate (dollar per euro) | 1.067 |
Equipment and Leasehold Impro46
Equipment and Leasehold Improvements (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Equipment and leasehold improvements | $ 29,388 | $ 27,587 |
Less accumulated depreciation and amortization | 20,055 | 18,400 |
Property, Plant and Equipment, Net, Total | 9,333 | 9,187 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment and leasehold improvements | 27,757 | 26,006 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Equipment and leasehold improvements | $ 1,631 | $ 1,581 |
Equipment and Leasehold Impro47
Equipment and Leasehold Improvements (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation, Depletion and Amortization, Total | $ 3.3 | $ 3.3 | $ 4.9 |
Trademarks, Licenses and Othe48
Trademarks, Licenses and Other Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 120,494 | $ 130,632 |
Accumulated Amortization | 38,618 | 36,353 |
Net Book Value | 81,876 | 94,279 |
Total Gross Amount | 239,953 | 134,884 |
Total Accumulated Amortization | 38,618 | 36,353 |
Total Net Book Value | 201,335 | 98,531 |
Trademarks (indefinite lives) [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 119,459 | 4,252 |
Accumulated Amortization | 0 | 0 |
Net Book Value | 119,459 | 4,252 |
Trademarks (finite lives) [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 42,046 | 46,889 |
Accumulated Amortization | 61 | 53 |
Net Book Value | 41,985 | 46,836 |
Licenses (finite lives) [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 66,082 | 72,171 |
Accumulated Amortization | 28,994 | 26,976 |
Net Book Value | 37,088 | 45,195 |
Other intangible assets (finite lives) [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 12,366 | 11,572 |
Accumulated Amortization | 9,563 | 9,324 |
Net Book Value | $ 2,803 | $ 2,248 |
Trademarks, Licenses and Othe49
Trademarks, Licenses and Other Intangible Assets (Details Textual) € in Millions, $ in Millions | 12 Months Ended | |||
Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015EUR (€) | |
Licensing Agreements Line Terms [Line Items] | ||||
Amortization expense | $ 5.8 | $ 6.6 | $ 6.2 | |
Future amortization expense: | ||||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 6 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 6 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 4.9 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 4.9 | |||
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | $ 4.9 | |||
Amortization period | 14 years | |||
Weighted average cost of capital | 8.02% | |||
Repurchase price | $ 76 | € 70 | ||
Maximum [Member] | ||||
Future amortization expense: | ||||
Amortization period | 20 years | |||
Minimum [Member] | ||||
Future amortization expense: | ||||
Amortization period | 3 years | |||
Trademarks [Member] | ||||
Future amortization expense: | ||||
Amortization period | 18 years | |||
Licenses [Member] | ||||
Future amortization expense: | ||||
Amortization period | 14 years | |||
Other Intangible Assets [Member] | ||||
Future amortization expense: | ||||
Amortization period | 2 years |
Loans Payable - Banks (Details
Loans Payable - Banks (Details Textual) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Line of Credit Facility [Line Items] | ||
Weighted average interest rate on short-term borrowings | 0.00% | 0.80% |
Foreign Subsidiaries [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, maximum borrowing amount | $ 27 | |
Line of credit, amount outstanding | $ 0 | $ 0.3 |
Foreign Subsidiaries [Member] | EURIBOR [Member] | ||
Line of Credit Facility [Line Items] | ||
Variable rate | 0.10% | |
Foreign Subsidiaries [Member] | Minimum [Member] | EURIBOR [Member] | ||
Line of Credit Facility [Line Items] | ||
Basis spread over variable interest rate | 0.50% | |
Foreign Subsidiaries [Member] | Maximum [Member] | EURIBOR [Member] | ||
Line of Credit Facility [Line Items] | ||
Basis spread over variable interest rate | 0.80% | |
Parent and Domestic Subsidiaries [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit, maximum borrowing amount | $ 20 | |
Line of credit, amount outstanding | $ 0 | $ 0 |
Maturity | Dec. 18, 2016 | |
Parent and Domestic Subsidiaries [Member] | Prime Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Basis spread over variable interest rate | 0.50% | |
Variable rate | 3.50% |
Long-term Debt (Details Textual
Long-term Debt (Details Textual) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Debt Instrument [Line Items] | |
Debt Instrument, Face Amount | $ 111 |
Debt Instrument, Term | 5 years |
Debt Instrument, Interest Rate During Period | 1.20% |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 22 |
Long-term Debt, Maturities, Repayments of Principal in Year Two | 22 |
Long-term Debt, Maturities, Repayments of Principal in Year Three | 22 |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 22 |
Long-term Debt, Maturities, Repayments of Principal in Year Five | $ 11 |
Commitments (Details)
Commitments (Details) $ in Thousands | Dec. 31, 2015USD ($) |
Future minimum annual commitments: | |
2,016 | $ 5,512 |
2,017 | 5,285 |
2,018 | 4,913 |
2,019 | 4,470 |
2,020 | 3,765 |
Thereafter | 8,743 |
Total | $ 32,688 |
Commitments (Details 1)
Commitments (Details 1) $ in Thousands | Dec. 31, 2015USD ($) |
Minimum future annual rental payments: | |
2,016 | $ 101,067 |
2,017 | 114,136 |
2,018 | 109,995 |
2,019 | 113,091 |
2,020 | 114,100 |
Thereafter | 353,070 |
Total | $ 905,459 |
Commitments (Details Textual)
Commitments (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Rent Expense | $ 9.9 | $ 10.1 | $ 10.8 |
Royalty expense, percentage of net sales | 7.20% | 7.10% | 7.20% |
Royalty Expense | $ 33.8 | $ 35.6 | $ 40.5 |
Equity (Details)
Equity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Nonvested Options, Number of Shares | |||
Beginning of period | 385,505 | ||
Options granted | 158,300 | 139,250 | 136,350 |
Vested or forfeited | (128,955) | ||
End of period | 414,850 | 385,505 | |
Weighted Average Grant Date Fair Value | |||
Beginning of period | $ 7.14 | ||
Granted | 5.99 | ||
Vested or forfeited | 6.65 | ||
End of period | $ 6.86 | $ 7.14 |
Equity (Details 1)
Equity (Details 1) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Income before income taxes | $ 60,496 | $ 56,715 | $ 80,646 |
Net income attributable to Inter Parfums, Inc. | $ 30,437 | $ 29,436 | $ 39,211 |
Diluted earnings per share attributable to Inter Parfums, Inc. | $ 0.98 | $ 0.95 | $ 1.27 |
Operating Income (Loss) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Income before income taxes | $ 800 | $ 900 | $ 800 |
Net income attributable to Inter Parfums, Inc. | $ 500 | $ 500 | $ 500 |
Diluted earnings per share attributable to Inter Parfums, Inc. | $ 0.01 | $ 0.01 | $ 0.01 |
Equity (Details 2)
Equity (Details 2) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Shares | |||
Outstanding, beginning balance | 639,495 | 643,595 | 716,235 |
Options granted | 158,300 | 139,250 | 136,350 |
Options exercised | (80,685) | (136,640) | (204,240) |
Options forfeited | (7,810) | (6,710) | (4,750) |
Outstanding, ending balance | 709,300 | 639,495 | 643,595 |
Weighted Average Exercise Price | |||
Outstanding, beginning balance | $ 23.19 | $ 19.58 | $ 14.41 |
Options granted | 23.79 | 27.93 | 34.84 |
Options exercised | 13.82 | 11.19 | 11.68 |
Options forfeited | 27.77 | 19.37 | 17.47 |
Outstanding, ending balance | $ 24.34 | $ 23.19 | $ 19.58 |
Equity (Details 3)
Equity (Details 3) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average expected stock-price volatility | 33.00% | 34.00% | 37.00% |
Weighted-average expected option life | 5 years | 5 years | 5 years |
Weighted-average risk-free interest rate | 1.70% | 1.70% | 1.70% |
Weighted-average dividend yield | 2.10% | 1.80% | 2.70% |
Equity (Details 4)
Equity (Details 4) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Proceeds from stock options exercised, excluding cashless exercise of $0.5 million, $0.6 million and $0.7 million in 2015, 2014 and 2013, respectively | $ 653 | $ 953 | $ 1,668 |
Tax benefits | 260 | 670 | 700 |
Intrinsic value of stock options exercised | $ 1,137 | $ 2,733 | $ 4,088 |
Equity (Details 5)
Equity (Details 5) | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 709,300 |
Options outstanding weighted average remaining contractual life | 3 years 9 months 25 days |
Options exercisable | 294,450 |
$15.59 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 92,880 |
Options outstanding weighted average remaining contractual life | 2 years |
Options exercisable | 71,380 |
Exercise price range, maximum | $ / shares | $ 15.59 |
$17.07 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 2,000 |
Options outstanding weighted average remaining contractual life | 1 year 29 days |
Options exercisable | 1,125 |
Exercise price range, maximum | $ / shares | $ 17.07 |
$19.03 - $19.33 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 189,370 |
Options outstanding weighted average remaining contractual life | 2 years 1 month 20 days |
Options exercisable | 142,290 |
Exercise price range, minimum | $ / shares | $ 19.03 |
Exercise price range, maximum | $ / shares | $ 19.33 |
$21.76 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 3,000 |
Options outstanding weighted average remaining contractual life | 2 years 1 month 2 days |
Options exercisable | 1,000 |
Exercise price range, maximum | $ / shares | $ 21.76 |
$22.20 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 4,000 |
Options outstanding weighted average remaining contractual life | 3 years 1 month 2 days |
Options exercisable | 1,600 |
Exercise price range, maximum | $ / shares | $ 22.20 |
$23.61 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 144,300 |
Options outstanding weighted average remaining contractual life | 6 years |
Options exercisable | 0 |
Exercise price range, maximum | $ / shares | $ 23.61 |
$25.82 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 14,000 |
Options outstanding weighted average remaining contractual life | 4 years 9 months 18 days |
Options exercisable | 0 |
Exercise price range, maximum | $ / shares | $ 25.82 |
$27.80 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 130,100 |
Options outstanding weighted average remaining contractual life | 5 years |
Options exercisable | 26,020 |
Exercise price range, maximum | $ / shares | $ 27.80 |
$29.36 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 2,000 |
Options outstanding weighted average remaining contractual life | 3 years 8 months 8 days |
Options exercisable | 500 |
Exercise price range, maximum | $ / shares | $ 29.36 |
$32.12 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 3,500 |
Options outstanding weighted average remaining contractual life | 3 years 1 month 2 days |
Options exercisable | 875 |
Exercise price range, maximum | $ / shares | $ 32.12 |
$35.75 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Number outstanding | 124,150 |
Options outstanding weighted average remaining contractual life | 4 years |
Options exercisable | 49,660 |
Exercise price range, maximum | $ / shares | $ 35.75 |
Equity (Details Textual)
Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Weighted average grant date fair value | $ 5.99 | |||
Shares issued upon exercise of stock options, shares | 80,685 | 136,640 | 204,240 | |
Exercises, aggregate exercise prices | $ 1,137 | $ 2,733 | $ 4,088 | |
Dividends Payable | $ 4,000 | |||
Dividends Payable, Amount Per Share | $ 0.13 | |||
Common Stock, Dividends, Per Share, Declared | $ 0.52 | $ 0.48 | $ 0.96 | |
Stock Issued During Period, Value, Stock Options Exercised | $ 500 | $ 600 | $ 700 | |
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |||
Subsequent Event [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Dividends Payable, Amount Per Share | $ 0.15 | |||
Percentage of Increase in Annual Dividend | 15.00% | |||
Common Stock, Dividends, Per Share, Declared | $ 0.60 | |||
Dividends Payable, Date to be Paid | Apr. 15, 2016 | |||
Dividends Payable, Date of Record | Mar. 31, 2016 | |||
Chief Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued upon exercise of stock options, shares | 19,000 | 32,875 | 28,500 | |
Exercises, aggregate exercise prices | $ 500 | $ 600 | $ 700 | |
Shares Paid For Stock Options Exercised | 18,764 | 19,656 | 18,880 | |
Shares tendered for tax withholding | 1,299 | 3,112 | 2,573 | |
President [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued upon exercise of stock options, shares | 19,000 | 32,875 | 28,500 | |
Exercises, aggregate exercise prices | $ 500 | $ 600 | $ 700 | |
Shares Paid For Stock Options Exercised | 18,764 | 19,656 | 18,880 | |
Equity Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee stock options, fair value of shares vested | $ 800 | $ 700 | ||
Number of shares available for grant | 178,045 | |||
Aggregate intrinsic value of options outstanding | $ 1,700 | |||
Unrecognized compensation cost related to stock options | $ 2,700 | |||
Term | 6 years | |||
Unrecognized compensation cost, recognition period | 5 years | |||
Weighted average grant date fair value | $ 5.99 | $ 7.42 | $ 9.20 | |
Options exercisable, weighted average exercise price | $ 21.93 | |||
Weighted average remaining contractual life of options outstanding, options exercisable | 2 years 6 months 14 days | |||
Aggregate intrinsic value of exercisable options | $ 1,300 |
Net Income Attributable to In62
Net Income Attributable to Inter Parfums, Inc. Common Shareholders (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Numerator: | |||
Numerator for diluted earnings per share | $ 30,437 | $ 29,436 | $ 39,211 |
Denominator: | |||
Weighted average shares | 30,996,137 | 30,931,308 | 30,763,955 |
Effect of dilutive securities: Stock options | 104,078 | 129,018 | 189,927 |
Denominator for diluted earnings per share | 31,100,215 | 31,060,326 | 30,953,882 |
Earnings per share: | |||
Basic | $ 0.98 | $ 0.95 | $ 1.27 |
Diluted | $ 0.98 | $ 0.95 | $ 1.27 |
Net Income Attributable to In63
Net Income Attributable to Inter Parfums, Inc. Common Shareholders (Details Textual) - shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 272,000 | 130,000 | 32,000 |
Segment and Geographic Areas (D
Segment and Geographic Areas (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 468,540 | $ 499,261 | $ 563,579 |
Net income attributable to Inter Parfums, Inc. | 30,437 | 29,436 | 39,211 |
Depreciation and amortization expense | 9,078 | 10,166 | 11,110 |
Interest and dividend income | 2,995 | 3,888 | 4,440 |
Interest expense | 2,826 | 1,478 | 1,380 |
Income tax expense | 21,527 | 19,370 | 29,680 |
Total assets | 687,659 | 604,506 | 664,058 |
Additions to long-lived assets | 123,946 | 4,224 | 12,784 |
Total long-lived assets | 210,668 | 107,718 | 126,687 |
Deferred tax assets | 7,182 | 6,848 | 7,257 |
Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | (222) | (173) | (141) |
Net income attributable to Inter Parfums, Inc. | 0 | 0 | 13 |
Income tax expense | 0 | 0 | 9 |
Total assets | (9,301) | (9,283) | (9,075) |
Deferred tax assets | 0 | 0 | 0 |
United States [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 105,851 | 105,270 | 99,158 |
Net income attributable to Inter Parfums, Inc. | 7,640 | 8,069 | 6,806 |
Depreciation and amortization expense | 1,583 | 1,554 | 1,216 |
Interest and dividend income | 18 | 3 | 16 |
Interest expense | 2 | 73 | 13 |
Income tax expense | 3,923 | 4,643 | 4,512 |
Total assets | 80,761 | 78,740 | 76,980 |
Additions to long-lived assets | 1,283 | 1,165 | 7,629 |
Total long-lived assets | 13,133 | 13,433 | 13,823 |
Deferred tax assets | 365 | 396 | 341 |
Europe [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 362,911 | 394,164 | 464,562 |
Net income attributable to Inter Parfums, Inc. | 22,797 | 21,367 | 32,392 |
Depreciation and amortization expense | 7,495 | 8,612 | 9,894 |
Interest and dividend income | 2,977 | 3,885 | 4,424 |
Interest expense | 2,824 | 1,405 | 1,367 |
Income tax expense | 17,604 | 14,727 | 25,159 |
Total assets | 616,199 | 535,049 | 596,153 |
Additions to long-lived assets | 122,663 | 3,059 | 5,155 |
Total long-lived assets | 197,535 | 94,285 | 112,864 |
Deferred tax assets | $ 6,817 | $ 6,452 | $ 6,916 |
Segments and Geographic Areas65
Segments and Geographic Areas (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers [Line Items] | |||
Net sales | $ 468,540 | $ 499,261 | $ 563,579 |
North America [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | 125,700 | 125,900 | 145,900 |
Europe [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | 170,600 | 177,900 | 215,700 |
Central and South America [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | 41,100 | 57,700 | 50,600 |
Middle East [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | 41,900 | 40,300 | 43,300 |
Asia [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | 78,200 | 85,600 | 98,700 |
Other [Member] | |||
Revenues from External Customers [Line Items] | |||
Net sales | $ 11,000 | $ 11,900 | $ 9,400 |
Segments and Geographic Areas66
Segments and Geographic Areas (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Unites States [Member] | |||
Revenue, Major Customer [Line Items] | |||
Net sales | $ 122,000 | $ 119,000 | $ 142,000 |
United Kingdom [Member] | |||
Revenue, Major Customer [Line Items] | |||
Net sales | 32,000 | 37,000 | 46,000 |
France [Member] | |||
Revenue, Major Customer [Line Items] | |||
Net sales | $ 34,000 | $ 50,000 | $ 47,000 |
Segments and Geographic Areas67
Segments and Geographic Areas (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Export Sales | $ 66.3 | $ 61 | $ 58.8 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.S. operations | $ 11,564 | $ 12,712 | $ 11,340 |
Foreign operations | 48,932 | 44,003 | 69,306 |
Income before income taxes | $ 60,496 | $ 56,715 | $ 80,646 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Current: | |||
Federal | $ 3,660 | $ 4,374 | $ 3,638 |
State and local | 220 | 323 | 454 |
Foreign | 16,806 | 15,229 | 20,744 |
Current income tax expense | 20,686 | 19,926 | 24,836 |
Deferred: | |||
Federal | 30 | (84) | 370 |
State and local | 1 | 30 | 59 |
Foreign | 810 | (502) | 4,415 |
Deferred income tax (benefit) | 841 | (556) | 4,844 |
Total income tax expense | $ 21,527 | $ 19,370 | $ 29,680 |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Net deferred tax assets: | |||
Foreign net operating loss carry-forwards | $ 296 | $ 419 | |
Inventory and accounts receivable | 2,321 | 2,655 | |
Profit sharing | 2,442 | 2,570 | |
Stock option compensation | 717 | 545 | |
Effect of inventory profit elimination | 2,170 | 1,757 | |
Other | (468) | (679) | |
Total gross deferred tax assets, net | 7,478 | 7,267 | |
Valuation allowance | (296) | (419) | |
Net deferred tax assets | 7,182 | 6,848 | $ 7,257 |
Deferred tax liabilities (long-term): | |||
Trademarks and licenses | (3,746) | (2,154) | |
Other | 0 | 0 | |
Total deferred tax liabilities | (3,746) | (2,154) | |
Net deferred tax assets | $ 3,436 | $ 4,694 |
Income Taxes (Details 3)
Income Taxes (Details 3) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statutory rates | 34.00% | 34.00% | 34.00% |
State and local taxes, net of Federal benefit | 0.20% | 0.10% | 0.40% |
Effect of foreign taxes greater than U.S. statutory rates | 1.60% | 0.40% | 2.00% |
Other | (0.20%) | (0.30%) | 0.40% |
Effective rates | 35.60% | 34.20% | 36.80% |
Income Taxes (Details Textual)
Income Taxes (Details Textual) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Schedule Of Income Taxes Line Item [Line Items] | |
Deferred tax liability not recognized for undistributed earnings of foreign subsidiaries | $ 352 |
Foreign Tax Authority [Member] | |
Schedule Of Income Taxes Line Item [Line Items] | |
Tax Adjustments, Settlements, and Unusual Provisions | $ 6.9 |
Accumulated Other Comprehensi73
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning of year | $ (15,823) | $ 25,860 | |
End of year | (48,091) | (15,823) | $ 25,860 |
Net derivative instruments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning of year | 0 | 0 | 240 |
Transfer from OCI into earnings | 0 | 0 | (240) |
End of year | 0 | 0 | 0 |
Cumulative translation adjustments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning of year | (15,823) | 25,860 | 12,258 |
Other comprehensive income (loss) before transfers from OCI into earnings | (32,268) | (41,683) | 13,602 |
End of year | $ (48,091) | $ (15,823) | $ 25,860 |
Net Income Attributable to In74
Net Income Attributable to Inter Parfums, Inc and Transfers From the Noncontrolling Interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Net income attributable to Inter Parfums, Inc. | $ 30,437 | $ 29,436 | $ 39,211 |
Decrease in Inter Parfums, Inc.'s additional paid-in capital for subsidiary share transactions | (192) | (335) | (173) |
Change from net income attributable to Inter Parfums, Inc. and transfers from noncontrolling interest | $ 30,245 | $ 29,101 | $ 39,038 |
Valuation and Qualifying Acco75
Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Allowance for Doubtful Accounts [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | $ 1,609 | $ 2,533 | $ 6,074 | |
Charged to costs and expenses | 442 | 412 | 574 | |
Charged to other accounts | [1] | (164) | (233) | 123 |
Deductions | [2] | 64 | 1,103 | 4,238 |
Balance at end of period | 1,823 | 1,609 | 2,533 | |
Sales Return Accrual [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | 5,309 | 3,843 | 4,526 | |
Charged to costs and expenses | 3,490 | 5,258 | 3,751 | |
Charged to other accounts | 0 | 0 | 0 | |
Deductions | [3] | 4,752 | 3,792 | 4,434 |
Balance at end of period | 4,047 | 5,309 | 3,843 | |
Inventory Reserve [Member] | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | 5,970 | 6,791 | 19,923 | |
Charged to costs and expenses | 5,563 | 5,077 | 6,794 | |
Charged to other accounts | [1] | (499) | (644) | 323 |
Deductions | [4] | 4,393 | 5,254 | 20,249 |
Balance at end of period | $ 6,641 | $ 5,970 | $ 6,791 | |
[1] | Foreign currency translation adjustment | |||
[2] | Write-off of bad debts. | |||
[3] | Write-off of sales returns. | |||
[4] | Disposal of inventory |