Pandora grows on new markets

Pandora traveling the world. But, unlike the Pandora’s box of Greek mythology, which contained all the evils that have poured into the world, the Danish jewelery brand of the same name distributes more and more bracelets and rings, necklaces and earrings on the globe. The economic results of the second quarter 2023 indicate an organic growth of 5%. Analyzing the result, it emerges that the growth on a like-for-like basis is +2%, while the +4% is due to the expansion of the network, i.e. the opening of new points of sale.

Business is not going the same way everywhere: in Europe sales are substantially the same as last year and in the United States Pandora has to resign itself to -4%, although it is improving. What is strong is the rest of the world, growing by +12%. The financial data also indicate a gross margin up to 78.1%, an increase compared to the corresponding period of 2022, but an Ebit (gross profit) of 20.2%, down by almost 2% compared to the previous year, due to a redistribution of costs and investments foreseen for growth. The company expects that at the end of the year it will be broadly in line with that of 2022.

The Danish company has released the data together with the guidelines of its strategy. Phoenix is the name given to the journey to make Pandora a global brand of affordable jewelry. The new jewels, according to the management, have a positive response. In particular, the geometric mesh bracelet is in good demand and supports the resilience of Moments, which neither grows nor decreases. Other platforms continue to post solid growth, with Pandora Me posting another double-digit quarter (+17%) and Timeless +7% LFL. Also arriving are new collections of diamonds produced in the laboratory. For the whole of 2023, Pandora expects organic growth between +2% and +5%, with EBIT at around 25%.