It seems that the anti-covid vaccine works great for Pandora too. Judging by the second quarter accounts, the Danish jewelry group is doing excellent business despite some of its stores still suffering from known health safety issues. To be precise, in the second quarter of 2021 Pandora achieved organic growth of 13% compared to 2019 (+ 84% compared to the corresponding period 2020). On average, in the second quarter of the year 15% of physical stores were temporarily closed and in August 2021 about 8% are temporarily closed.
Growth, the company says, is driven by the strategically very important US market. The continued positive performance is further accelerated by government incentive packages. Performance in China, on the other hand, remains weak and Pandora has initiatives in the pipeline for the second half of the year. Good results, on the other hand, come from online, with sales up 132% compared to 2019.
Our strong momentum continues into the second quarter of 2021 as well, and we are pleased to have seen solid growth compared to 2019. Performance in the US and online continued to be strong, and in Europe most of our stores have reopened. Following the launch of Phoenix, our new strategy, we are looking forward to hosting our Capital Markets Day in September. On this occasion, the Executive Leadership Team will present how Pandora will drive sustainable and profitable long-term growth, taking advantage of the great untapped opportunities within our current business.
Alexander Lacik, President and CEO of Pandora
The debut of the top line, Pandora Brilliance, underway in the United Kingdom, is also positive. The decision on a possible global launch will be made at the end of 2021, creating a potential new platform of lab-created diamond products. In general, Pandora has an EBIT margin (gross profit) of 25.2%. The company expects organic growth of 16-18% for 2021, an increase compared to previous forecasts, provided that the pandemic does not return to claiming victims among those who are not vaccinated.
