PANDORA Q1 Revenue +9% To $755M; Pre-Tax Earnings +7% To $275M

A Story by gemkonnect

Danish mass-market jewellery retailer PANDORA reported that in a year-on-year comparison, revenue grew 9 percent to $754.67 million (DKK 5.16 billion)

Danish mass-market jewellery retailer PANDORA reported that in a year-on-year comparison, revenue grew 9 percent to $754.67 million (DKK 5.16 billion), while pre-tax earnings rose 7 percent to $274.86 million (DKK 1.88 billion) in the first quarter of 2017.

The performance was in line with the company’s projections of single-digit growth and PANDORA said that its guidance for the year remained unchanged, with estimated earnings of$3.36-$3.51 billion (DKK 23-24 billion) and a pre-tax earnings margin of 38 percent.

Revenue from PANDORA-owned retail outlets increased 39 percent and represented 38 percent of group revenue. Like-for-like sales growth for PANDORA owned concept stores was 8 percent.

Revenue from Europe, the Middle East and Africa (EMEA) increased 5 percent, driven by good performance in France and Italy, but impacted by the depreciation of the British pound.

Revenue from the Americas decreased 5 percent, including a negative impact from network restructuring in the US. This was offset by a strong performance in important growth markets in Asia Pacific, with revenue up 44 percent. Asia Pacific now accounts for 25 percent of group revenue.

PANDORA said its full jewellery brand ambition remained on track as revenue from rings, earrings and necklaces & pendants all grew more than 40 percent, with the three categories now representing 25 percent of group revenue.

Commenting on the results, PANDORA CEO Anders Colding Friis said, “We are satisfied with this quarter’s results, having delivered good sales growth, including 8 percent like-for-like growth in our PANDORA-owned concept stores, and continued strong profitability.”

He added, “We are very pleased with the performance in our important growth markets, with Italy, France and China continuing to show strong sales growth. Additionally, some of our most developed markets continue to perform, with revenue from Australia up 27 percent. However, the retail climate in the US remains difficult, which was reflected in our performance in the US for the quarter.”

https://www.gemkonnect.com/news/pandora-q1-revenue-9-755m-pre-tax-earnings-7-275m