Interparfums - 10-Q quarterly report FY

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

( MARK ONE )

/X/Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange Actof 1934 for the quarterly period ended June 30, 2003.

OR

/ / Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of1934 for the transition period from ___________to ________.

Commission File No. 0-16469

INTER PARFUMS, INC.
(Exact name of registrant as specified in its charter)

Delaware                                                                                                  13-3275609

(State or other jurisdiction of                                                                   (I.R.S. Employer
 incorporation or organization)                                                                 Identification No.)

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

(212) 983-2640
(Registrants telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days: Yes _X_ No ___

Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act). Yes ___ No _X_

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

At August 11, 2003 there were 19,028,042 shares of common stock, par value $.001 per share, outstanding.

  .

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See notes to financial statements.

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See notes to financial statements.

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See notes to financial statements

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2.Comprehensive Income:

3.Geographic Areas:

Segment information related to domestic and foreign operations is as follows:

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5.Inventories:

Inventories consist of the following:

6.Stock- based Compensation:

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INTER PARFUMS, INC . AND SUBSIDIARIES

6.Stock-based Compensation (continued):

The weighted average fair values of the options granted during 2003 and 2002 are estimated as $2.07 and $2.30 per share, respectively, on the date of grant using the Black-Scholes option pricing model with the following assumptions: dividend yield 1.0% in 2003 and 0.8% in 2002; volatility of 50% in both 2003 and 2002; risk-free interest rates at the date of grant, 1.70% in 2003 and 3.11% in 2002; and an expected life of the option of two years.

7.Shareholders Equity:

In April 2003, the Chief Executive Officer exercised 67,500 outstanding stock options of the Company's common stock. The aggregate exercise price of $232,475 was paid by him tendering to the Company 33,692 shares of the Company's common stock, previously owned by him, valued at $6.90 per share, the fair market value on the date of exercise. All shares issued pursuant to the option exercises were issued from treasury stock of the Company. In addition, the Chief Executive Officer tendered an additional 9,298 shares for payment of withholding taxes resulting from the option exercises. As a result of this transaction, the Company expects to receive a tax benefit of approximately $80,000, which will be reflected as an increase to additional paid-in capital in the Company's financial statements.

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INTER PARFUMS, INC . AND SUBSIDIARIES

Item 2:                  MANAGEMENTS'S DISCUSSION AND ANALYSIS OF
                              FINANCIAL CONDITION AND RESULTS OF OPERATIONS

        Introduction

We are a leading manufacturer and distributor of fragrances, cosmetics and health and beauty aids. We combine innovation and creativity to produce quality products for our customers around the world.

We operate in the fragrance and cosmetic industry, specializing in prestige perfumes and cosmetics and mass market perfumes, cosmetics and health and beauty aids:

  *Prestige products -- for each prestige brand, owned or licensed by us, we create an original concept for the perfume consistent with world market trends;

 *Mass market products -- we design, market and distribute inexpensive fragrances and personal care products including alternative designer fragrances, mass market cosmetics and health and beauty aids.

        Forward Looking Information

Statements in this document, which are not historical in nature, are forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from projected results. Given these risks, uncertainties and other factors, persons are cautioned not to place undue reliance on the forward-looking statements.

Such factors include effectiveness of sales and marketing efforts and product acceptance by consumers, dependence upon management, competition, currency fluctuation and international tariff and trade barriers, governmental regulation and possible liability for improper comparative advertising or "Trade Dress".

        Related Party Transactions

We operate under various license agreements, including two licenses that are with affiliates of our strategic partner, LV Capital USA, Inc. ("LV Capital"), a wholly-owned subsidiary of LVMH Moët Hennessy Louis Vuitton S.A. In May 2000 we entered into an exclusive worldwide license for prestige fragrances for the Celine brand, and in March 1999 we entered into an exclusive worldwide license for Christian Lacroix fragrances. Both licenses are subject to certain minimum sales requirements, advertising expenditures and royalty payments as are customary in our industry.

        Three and Six Months Ended June 30, 2003 as Compared to the Three and
        Six Months Ended June 30, 2002

Net sales for the three months ended June 30, 2003 increased 51% to a record $41.4 million, as compared to $27.4 million for the corresponding period of the prior year. At comparable foreign currency exchange rates, net sales increased 38% for the period.

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Net sales for the six months ended June 30, 2003 increased 41% to a record $79.0 million, as compared to $55.9 million for the corresponding period of the prior year. At comparable foreign currency exchange rates, net sales increased 28% for the period. The increase in net sales is attributable to increases in both our prestige and mass market product lines.

Prestige product sales were up 64% (45% in constant dollars) for the three months ended June 30, 2003 and 50% (31% in constant dollars) for the six months ended June 30, 2003, as compared to the 2002 period. The strong growth achieved in the second half of 2002 continued through the first half of 2003. For the three months ended June 30, 2003 Burberry, S.T. Dupont and Paul Smith fragrance products were responsible for the dramatic rise in second quarter prestige product sales. Also contributing to our growth were two new product launches, both seasonal scents, one by Celine and another by Christian Lacroix.

We are eagerly anticipating our two major upcoming launches where we plan to unveil a completely new Burberry fragrance line and a fragrance and beauty line under the Diane von Furstenberg label. Later this year, the international launch of Burberry Brit begins. This will be our fourth Burberry fragrance family since our 1995 introduction of Burberry London. We have high expectations for this new women's line which should play a strategic role in the future development of the Burberry fragrance business.

In terms of fashion industry recognition, Diane is a rising star, who has been instrumental in the early success we are enjoying in the reception of her beauty line. The official launch in mid-September at Henri Bendel will be followed by the addition of certain Saks Fifth Avenue and Nordstrom locations. Total US distribution will be limited to 35 of the finest specialty stores in the country.

Our mass market product line sales were up 21% for both the three and six months ended June 30, 2003, as compared to the 2002 periods. We continue to see growth in our fragrances lines as a result of our acquisition of certain fragrance brands from Tristar Corporation ("Tristar"), a Debtor-in-possession in a Chapter 11 proceeding. In May 2002, we purchased trademarks and related intellectual property of certain brands and acquired certain existing inventory. Tristar was one of our most significant competitors in mass market fragrances and the brands acquired are being sold in the same distribution channels as that of our other mass market fragrance lines. New product line extensions and an expanding distribution network continue to benefit sales volume in our Intimate health and beauty aids and our Aziza cosmetics lines.

Our new product development program for all three of our mass market product groups is well under way, and we expect to roll out new mass market products throughout 2003. In addition, we are actively pursuing other new business opportunities. However, we cannot assure you that any new license or acquisitions will be consummated.

Gross profit margins were 50% and 49% for the three and six months ended June 30, 2003, respectively, as compared to 47% for both of the 2002 periods. The effect of the declining rate of the dollar relative to the Euro puts pressure on our gross margins. This effect was mitigated during the three and six months ended June 30, 2003 by raising selling prices and as a result of our product sales mix. Gross profit margins remain well ahead of our target rates of 45% to 46%.

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INTER PARFUMS, INC . AND SUBSIDIARIES

Selling, general and administrative expenses aggregated $14.9 million for the three months ended June 30, 2003, as compared to $9.2 million for the corresponding period of the prior year. Selling, general and administrative expenses aggregated $28.1 million for the six months ended June 30, 2003, as compared to $19.1 million for the corresponding period of the prior year. As a percentage of sales, selling, general and administrative expenses were 36% for the three and six months ended June 30, 2003, as compared to 34% for the 2002 periods.

Our mass market sales do not require extensive advertising and therefore, more of our selling, general and administrative expenses are fixed rather than variable. As a result, the increase in mass market sales enables us to spread our fixed costs over a larger net sales base. On the other hand, promotion and advertising are prerequisites for sales of designer products. We develop a complete marketing and promotional program to support our growing portfolio of prestige fragrance brands and to build upon each brand's awareness. In addition, recent increases in certain fixed costs, including insurance, rent and wages, is expected to cause a slight rise in selling, general and administrative expenses as a percentage of sales throughout 2003.

Interest expense was $31,000 and $167,000 for the three and six months ended June 30, 2003, as compared to $169,000 and $249,000 for the corresponding periods of the prior year. We use the credit lines available to us, as needed, to finance our working capital needs.

We recorded a loss on foreign currency of $200,000 and $145,000 for the three and six months ended June 30, 2003, as compared to a loss $58,000 and $57,000 for the corresponding periods of the prior year. Occasionally, we enter into foreign currency forward exchange contracts to manage exposure related to certain foreign currency commitments.

Our effective income tax rate was 34% for the three months ended June 30, 2003, as compared to 35% for the corresponding period of the prior year. Our effective income tax rate was 35% for the six months ended June 30, 2003, as compared to 36% for the corresponding period of the prior year. The small decline in our effective tax rate is the result of slightly lower foreign tax rates.

Net income increased 52% to $2.9 million for the three months ended June 30, 2003, as compared to $1.9 for the corresponding period of the prior year. Net income increased 38% to $5.4 million for the six months ended June 30, 2003, as compared to $3.9 for the corresponding period of the prior year.

Diluted earnings per share increased 50% to $0.15 for the three months ended June 30, 2003, as compared to $0.10 for the corresponding period of the prior year. Diluted earnings per share increased 35% to $0.27 for the six months ended June 30, 2003, as compared to $0.20 for the corresponding period of the prior year.

Weighted average shares outstanding aggregated 19.0 million for both the three and six month periods ended June 30, 2003, as compared to 18.8 million for both the three and six month periods ended June 30, 2002. On a diluted basis, average shares outstanding were 19.9 million for both the three and six month periods ended June 30, 2003, as compared to 20.0 million for both the three and six month periods ended June 30, 2002, respectively.

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Liquidity and Capital Resources

Profitable operating results continue to strengthen our financial position. At June 30, 2003, working capital aggregated $95 million and we had a working capital ratio of 2.9 to 1. Cash and cash equivalents aggregated $44 million and our net book value was $4.74 per outstanding share as of June 30, 2003. Furthermore, we had no long-term debt.

Our short-term financing requirements are expected to be met by available cash at June 30, 2003, cash generated by operations and short-term credit lines provided by domestic and foreign banks. The principal credit facilities for 2003 are a $12.0 million unsecured revolving line of credit provided by a domestic commercial bank and approximately $12.0 million in credit lines provided by a consortium of international financial institutions.

Cash provided by operating activities aggregated $3.7 million for the six months ended June 30, 2003 as compared to $1.0 million for the corresponding period of the prior year. In constant dollars, accounts receivable and inventories were up 11% and 38%, respectively, as compared to December 31, 2002. These increases are very reasonable considering the 28% constant dollar sales increase for the period and the inventory buildup needed for our upcoming Burberry fragrance and Diane von Furstenberg beauty launches. Cash provided by operating activities continues to be the primary source of funds to finance operating needs and investments in new ventures.

Commencing in March 2002, our Board of Directors authorized our first cash dividend of $.06 per share, approximately $1.1 million per annum, payable $.015 per share quarterly. In March 2003, our board of directors increased the cash dividend to $.08 per share, approximately $1.5 million per annum, payable $.02 per share on a quarterly basis. This increased cash dividend represents a small part of our cash position and is not expected to have any significant impact on our financial position.

We believe that funds generated from operations, supplemented by our present cash position and available credit facilities, will provide us with sufficient resources to meet all present and reasonably foreseeable future operating needs.

Inflation rates in the U.S. and foreign countries in which we operate have not had a significant impact on operating results for the three months ended June 30, 2003.

Discussion of Critical Accounting Policies

We make estimates and assumptions in the preparation of our financial statements in conformity with accounting principles generally accepted in the United States of America. Actual results could differ significantly from those estimates under different assumptions and conditions. We believe that the following discussion addresses our most critical accounting policies, which are those that are most important to the portrayal of our financial condition and results of operations and which require our management's most difficult and subjective judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. The following is a brief discussion of the more critical accounting policies that we employ.

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INTER PARFUMS, INC . AND SUBSIDIARIES

    Revenue Recognition

We sell our products to department stores, perfumeries, mass market retailers, supermarkets and domestic and international wholesalers and distributors. Sales of such products by domestic subsidiaries are denominated in U.S. dollars and sales of such products by foreign subsidiaries are primarily denominated in either Euros or U.S. dollars. Accounts receivable reflect the granting of credit to these customers. We generally grant credit based upon analysis of the customer's financial position and previously established buying patterns. We do not generally bill customers for shipping and handling costs and, accordingly, classify such costs as selling and administrative expenses. Revenues are recognized when merchandise is shipped and the risk of loss passes to the customer. Net sales are comprised of gross revenues less returns and trade discounts and allowances.

We do not generally allow customers to return their unsold products. However, on a case-by-case basis we occasionally allow customer returns. We regularly review and revise, as deemed necessary, our estimate of reserves for future sales returns based primarily upon historic trends and relevant current data. We record 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 on 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 estimates if factors such as economic conditions, inventory levels or competitive conditions differ from expectations.

    Promotional Allowances

We have various performance-based arrangements with retailers to reimburse them for all or a portion of their promotional activities related to our products. These arrangements primarily allow customers to take deductions against amounts owed to us for product purchases.

Estimated accruals for promotions and co-operative advertising programs are recorded in the period in which the related revenue is recognized. We review and revise the estimated accruals for the projected costs for these promotions. Actual costs incurred may differ significantly, either favorably or unfavorably, from estimates if factors such as the level and success of the retailers' programs or other conditions differ from our expectations.

    Inventories

Inventories are stated at the lower of cost or market value. Cost is principally determined by the first-in, first-out method. We record adjustments to the cost of inventories based upon our sales forecast and the physical condition of the inventories. These adjustments are estimates, which could vary significantly, either favorably or unfavorably, from actual requirements if future economic conditions or competitive conditions differ from our expectations.

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    Equipment

Equipment, which includes tools and molds, is recorded at cost and is depreciated on a straight-line basis over the estimated useful lives of such assets. Changes in circumstances such as technological advances, changes to our business model or changes in our capital spending strategy can result in the actual useful lives differing from our estimates. In those cases where we determine that the useful life of equipment should be shortened, we would depreciate the net book value in excess of the salvage value, over its revised remaining useful life, thereby increasing depreciation expense. Factors such as changes in the planned use of equipment could result in shortened useful lives.

    Other Long-Lived Assets

Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of any such asset may not be recoverable. If the sum of the undiscounted cash flows (excluding interest) is less than the carrying value, we recognize an impairment loss, measured as the amount by which the carrying value exceeds the fair value of the asset. The estimate of undiscounted cash flow is based upon, among other things, certain assumptions about expected future operating performance. Our estimates of undiscounted cash flow may differ from actual cash flow due to, among other things, economic conditions, changes to our business model or changes in consumer acceptance of our products. In those cases where we determine that the useful life of other long-lived assets should be shortened, we would depreciate the net book value in excess of the salvage value (after testing for impairment as described above), over the revised remaining useful life of such asset thereby increasing amortization expense.

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Item 3: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

General

We address certain financial exposures through a controlled program of risk management that primarily consists of the use of derivative financial instruments. We primarily enter into foreign currency forward exchange contracts in order to reduce the effects of fluctuating foreign currency exchange rates. We do not engage in the trading of foreign currency forward exchange contracts or interest rate swaps.

Foreign Exchange Risk Management

We periodically enter into foreign currency forward exchange contracts to hedge exposure related to receivables denominated in a foreign currency and to manage risks related to future sales expected to be denominated in a foreign currency. We enter into these exchange contracts for periods consistent with our identified exposures. The purpose of the hedging activities is to minimize the effect of foreign exchange rate movements on the receivables and cash flows of Inter Parfums, S.A., our French subsidiary, whose functional currency is the Euro. All foreign currency contracts are denominated in currencies of major industrial countries and are with large financial institutions, which are rated as strong investment grade.

All derivative instruments are required to be reflected as either assets or liabilities in the balance sheet measured at fair value. Generally, increases or decreases in fair value of derivative instruments will be recognized as gains or losses in earnings in the period of change. If the derivative is designated and qualifies as a cash flow hedge, the changes in fair value of the derivative instrument will be recorded in other comprehensive income.

Before entering into a derivative transaction for hedging purposes, we determine that the change in the value of the derivative will effectively offset the change in the fair value of the hedged item from a movement in foreign currency rates. Then, we measure the effectiveness of each hedge throughout the hedged period. Any hedge ineffectiveness is recognized in the income statement.

We believe that our risk of loss as the result of nonperformance by any of such financial institutions is remote and in any event would not be material. The contracts have varying maturities with none exceeding one year. Costs associated with entering into such contracts have not been material to our financial results. At June 30, 2003, we had foreign currency contracts in the form of forward exchange contracts in the amount of approximately U.S. $5.5 million and GB Pounds 2.1 million.

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Item 4. CONTROLS AND PROCEDURES

    Evaluation of Disclosure Controls and Procedures

Our Chief Executive Officer and Chief Financial Officer have reviewed and evaluated the effectiveness of our disclosure controls and procedures (as defined in the Securities Exchange Act of 1934 Rule 13a-14(c)) as of the end of the period covered by this quarterly report on Form 10-Q (the "Evaluation Date"). Based on their review and evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that, as of the Evaluation Date, our Company's disclosure controls and procedures were adequate and effective to ensure that material information relating to our Company and its consolidated subsidiaries would be made known to them by others within those entities, so that such material information is recorded, processed and reported in a timely manner, particularly during the period in which this quarterly report on Form 10-Q was being prepared, and that no changes were required at this time.

    Changes in Internal Controls

There were no significant changes in our Company's internal controls or in other factors that could significantly affect our internal controls after the Evaluation Date, or any significant deficiencies or material weaknesses in such internal controls requiring corrective actions. As a result, no corrective actions were taken.

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Part II. Other Information

    Items 1 and 3 are omitted as they are either not applicable or have been included in Part I.

    Item 2. Changes in Securities and Use of Proceeds

The information contained in note 7 at page 7 relating to the exercise of an outstanding stock option is incorporated by reference herein. The transaction was exempt from the registration requirements of Section 5 of the Securities Act under Sections 4(2) and 4(6) of the Securities Act. The option holder agreed to purchase the common stock for investment and not for resale to the public.

    Item 4. Submission of Matters to a Vote of Security Holders

(a) The Annual Meeting of Stockholders of Inter Parfums, Inc. was held on 8 August 2003 at 10:00 a.m., local time, at the offices of the Company, 551 Fifth Avenue, New York, New York 10176.

(b) The following individuals were nominated for election as members of the Board of Directors to hold office for a term of one (1) year until the next annual meeting of stockholders and until their successors are elected and qualify: Jean Madar, Philippe Benacin, Russell Greenberg, Francois Heilbronn, Joseph A. Caccamo, Jean Levy, Robert Bensoussan-Torres, Daniel Piette, Jean Cailliau, Philippe Santi and Serge Rosinoer.

The results of the voting were as set forth below. A plurality of the votes having been cast in favor of each of the above-named Directors, they were duly elected to serve a one (1) year term.

    Item 5. Other Information

In accordance with Section 10A(i)(2) of the Securities Exchange Act of 1934, as added by Section 202 of the Sarbanes-Oxley Act of 2002, our Company is responsible for disclosing the "non-audit services" to be performed by our auditors that were approved by our Company's Audit Committee during the quarterly period covered by this report. Non-audit services are defined in the law as services other than those provided in connection with an audit or a review of the financial statements of the Company.

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During the quarterly period covered by this report, the Audit Committee did not authorize any non-audit services to be performed by our auditors.

    Item 6. Exhibits and Reports on Form 8-K.

(a) Exhibits:

The following documents are filed herewith:

(b) We filed the following Current Reports on Form 8-K:

        (1) Date of event - May 6, 2003, reporting Items 7 and 12;
        (2) Date of event - July 10, 2003, reporting Items 7 and 12 and
        (3) Date of event - August 6, 2003, reporting Items 7 and 12.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized on the 13 day of August 2003.

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Exhibit 31

CERTIFICATIONS

I, Jean Madar, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Inter Parfums, Inc.

2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:

a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared;

b) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent function):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 13, 2003

/s/ Jean Madar
Jean Madar
Chief Executive Officer

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CERTIFICATIONS

I, Russell Greenberg, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Inter Parfums, Inc.

2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:

a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this quarterly report is being prepared;

b) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent function):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 13, 2003

/s/ Russell Greenberg
Russell Greenberg
Chief Financial Officer

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Exhibit 32

CERTIFICATION

Each of the undersigned hereby certifies, in accordance with 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, in his capacity as an officer of Inter Parfums, Inc., that the Quarterly Report of Inter Parfums, Inc. on Form 10-Q for the period ended June 30, 2003, fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 and that the information contained in such report fairly presents, in all material respects, the financial condition and results of operation of Inter Parfums, Inc.

A signed original of this written statement required by Section 906 has been provided to Inter Parfums, Inc. and will be retained by Inter Parfums, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

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