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Pandora delivers 18% organic growth in Q1 – raises 2024 revenue guidance

05-02-2024

Financial highlights

  • The second phase of Pandora’s Phoenix strategy is off to a strong start. Increased investments are elevating brand desirability and showcasing Pandora’s position as a full jewellery brand.
  • Continued momentum, helped by the early restaging of the brand, drives strong Q1 2024 trading; organic growth ends at 18% with Like-for-like (LFL) growth of 11% and network expansion of 5%.
  • In absolute terms, revenue increased by DKK 1.0 billion compared to Q1 2023.
  • LFL growth in key European markets of 9%, US remaining solid at 9% and Rest of Pandora at 18%.
  • The gross margin reached a new record-high of 79.4%, +190bp vs Q1 2023, supported by channel mix, pricing and efficiencies, as well as some tailwind from silver prices and foreign exchange rates.
  • The Q1 2024 EBIT margin landed at 22.0%, +50bp ahead of last year, reflecting the strong growth which more than offset the planned step-up in marketing investments as part of the restaging of the brand.
  • Leverage remains low at a NIBD/EBITDA of 1.3x. Early February, Pandora initiated a new DKK 4.0 billion share buyback programme, and in Q1 2024 EPS increased 18% compared to last year.

Phoenix strategy highlights

  • Pandora’s brand strategy, which centres on transforming the perception of Pandora into a full jewellery brand, was ignited in Q1 through the launch of the new multi-season “BE LOVE” marketing campaign.
  • The strategy is resonating with consumers and drove LFL growth across Pandora’s collections. The Core segment delivered 3% LFL growth whilst Fuel with more delivered 34% LFL growth. Within the Fuel with more segment, Timeless continued its momentum with 43% growth, while Pandora Lab-Grown Diamonds also saw progress with 87% growth.

2024 Guidance and current trading

  • The organic growth guidance is upgraded to “8-10%” (previously “6-9%”). The EBIT margin guidance remains unchanged at “around 25%”.
  • Current trading in Q2 2024 has so far remained healthy with high single-digit LFL growth.

Alexander Lacik, President and CEO of Pandora, says:
“We are very pleased with our start to the year, as we embark on the next chapter of Phoenix. Whilst jewellery markets around us generally remain subdued, our ongoing brand investments allow us to take market share. We raise our revenue guidance and look forward to keep fuelling our growth with exciting strategic initiatives over the coming years.”  

DKK millionQ1 2024Q1 2023FY 2023FY 2024 guidance
Revenue6,8345,85028,136 
Organic growth, %18%1%8%8-10%
Like-for-like, %11%0%6% 
Operating profit (EBIT) 1,5071,2567,039 
EBIT margin, %22.0%21.5%25.0%Around 25%


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