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Bellport, NY 800.228.3489 www.perfumaniaholdings.com Sales: $248 million for fragrances. Corporate sales: $542 million. Key Personnel: Stephen Nussdorf, executive chairman of the board, Perfumania Holdings, Inc.; Michael Katz, president and chief executive officer, Perfumania Holdings, Inc.; Donald Loftus, president, Parlux Ltd. and executive vice president, Perfumania, Inc.; Anthony D’Agostino, chief financial officer, Parlux; Paolo Rosellini, vice president, international, Parlux and Five Star Fragrance; Diana Espino, vice president, global marketing and brand development, Parlux and Five Star Fragrance; Pat Beh Werblin, vice president, advertising and PR, Parlux and Five Star Fragrance; Allan Katz, senior vice president, sales, Quality Fragrance Group & Scents of Worth; Holli Westby, senior vice president, domestic sales, Parlux and Five Star Fragrance. Major Products: Fine fragrances. New Products: Bella Vince Camuto, Capri Vince Camuto, Kenneth Cole Mankind Hero, Tommy Bahama St. Kitts. Comments: Perfumania’s net sales fell 7.2% to $542 million in fiscal 2015 due to a decrease in retail sales that was partially offset by an increase in its wholesale business. Specifically, retail sales decreased 14.8% and wholesale sales rose by 3.8% from the prior year, which was attributable to the transition of a consignment account to a wholesale account, higher customer demand and additional brand distribution of owned and licensed brands, the company said. Total gross profit decreased 5.0% from $271.1 million in fiscal 2014 to $257.6 million in fiscal 2015, due to the company’s retail division. It appears Perfumania is taking stock and making changes. According to CEO Michael Katz, the firm completed a “comprehensive review” of its retail footprint to identify under-performing stores that it expects to close when leases run out. In addition, he said, “ongoing strategic initiative to leverage the value of our unique vertically integrated operations will allow us to improve overall returns from our retail store footprint by re-evaluating under-performing locations thereby allowing us to better allocate our operating, marketing, merchandising and financial resources to create a more compelling customer experience.” Consistent with this approach, in the fourth quarter the company closed 10 stores, bringing the total stores closed in fiscal 2015 to 16, while opening nine during the fiscal year. As for its own fine fragrance stable, Perfumania is looking to shift toward designer and heritage fragrances, which Katz contends will allow the company “to increase top-line growth due to their longer-lasting consumer appeal while further improving our gross margin relative to non-owned or licensed brands.” To that end, Katz revealed that his firm has signed an agreement with a “world-renowned fashion designer” that he expected to reveal in the coming months.
Bellport, NY 800.228.3489 www.perfumaniaholdings.com
Sales: $248 million for fragrances. Corporate sales: $542 million.
Perfumania’s net sales fell 7.2% to $542 million in fiscal 2015 due to a decrease in retail sales that was partially offset by an increase in its wholesale business. Specifically, retail sales decreased 14.8% and wholesale sales rose by 3.8% from the prior year, which was attributable to the transition of a consignment account to a wholesale account, higher customer demand and additional brand distribution of owned and licensed brands, the company said.
Total gross profit decreased 5.0% from $271.1 million in fiscal 2014 to $257.6 million in fiscal 2015, due to the company’s retail division.
It appears Perfumania is taking stock and making changes. According to CEO Michael Katz, the firm completed a “comprehensive review” of its retail footprint to identify under-performing stores that it expects to close when leases run out. In addition, he said, “ongoing strategic initiative to leverage the value of our unique vertically integrated operations will allow us to improve overall returns from our retail store footprint by re-evaluating under-performing locations thereby allowing us to better allocate our operating, marketing, merchandising and financial resources to create a more compelling customer experience.”
Consistent with this approach, in the fourth quarter the company closed 10 stores, bringing the total stores closed in fiscal 2015 to 16, while opening nine during the fiscal year.
As for its own fine fragrance stable, Perfumania is looking to shift toward designer and heritage fragrances, which Katz contends will allow the company “to increase top-line growth due to their longer-lasting consumer appeal while further improving our gross margin relative to non-owned or licensed brands.”
To that end, Katz revealed that his firm has signed an agreement with a “world-renowned fashion designer” that he expected to reveal in the coming months.
Bellport, NY 631.866.4100 www.perfumaniaholdingsinc.com
Sales: $223 million for fragrances. Net sales $575.8 million for fiscal year ended Feb. 1 2014.
Perfumania Holdings Inc., Bellport, NY, is an independent, vertically integrated wholesale distributor and specialty retailer of perfumes and fragrances. The company’s wholesale business includes QFG, Parlux and Five Star.
Through those operations it distributes fragrances nearly everywhere consumers can buy a scent—from mass market retailers like Walmart to drug chain stores like Walgreens to retail wholesale clubs to departments stores like Kohl’s, Dillards, Macy’s and Nordstrom to military bases throughout the US to its own retail unit, Perfumania. In addition, Parlux fulfills a selection of fragrances for several online retailers, shipping directly to their customers and billing the retailers. Five Star also manufactures, on behalf of Perfumania, the Jerome Privee product line, which includes bath and body products and which is sold exclusively in Perfumania’s retail stores.
On the retail side, as of February 1, 2014, there were 329 Perfumania stores open for business.
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