Financial highlights

• The Pandora brand keeps strengthening. This leads to higher traffic into the stores and drives revenue growth.
• Q2 2024 organic growth was 15%, comprising of Like-for-like (LFL) growth of 8%, network expansion of 6% and 1% phasing of sell-in to partners and other. 
• LFL growth in key European markets remained solid at 10%, the US remained robust at 5% whilst Rest of Pandora continued double-digit growth at 13%.
• The Q2 gross margin reached another all-time high of 80.2%, +210bp vs. Q2 2023, supported by Pandora’s vertically integrated business model, price increases and cost efficiencies.
• The Q2 EBIT margin remained solid at 19.8%, -40bp vs. Q2 2023 as previously flagged, reflecting non-recurring cost related to forward integration.  
• Leverage remains low at a NIBD/EBITDA of 1.4x. As of August 9, Pandora has bought back DKK 2.0 billion worth of shares as part of its DKK 4.0 billion share buyback programme.

Phoenix strategy highlights

• Pandora continued to invest across the value chain to drive brand desirability and transform the perception of Pandora into a full jewellery brand. This includes, not the least, investments behind the “BE LOVE” marketing campaign which continues to resonate with consumers.
• The “Core” segment delivered 1% LFL growth whilst the “Fuel with more” segment delivered 29% LFL growth.
• As part of the Phoenix strategy, Pandora is expanding into selected, new design aesthetics. During Q2 2024, Pandora launched the PANDORA ESSENCE collection globally. Initial results have been encouraging.  
• Combining Pandora’s value accretive network expansion strategy with consistent brand elevation, Pandora opened its first ever global flagship store in Copenhagen, Pandora’s largest store to date globally.

2024 Guidance and current trading

• The organic growth guidance is upgraded to “9-12%” (previously “8-10%”). The EBIT margin guidance remains unchanged at “around 25%”.
• Current trading in Q3 remains healthy with an underlying LFL growth at mid-single digit levels.

Alexander Lacik, President and CEO of Pandora, says:
“Our strategy continues to take Pandora to new heights despite general consumer spending being somewhat sluggish. We have successfully started the journey to make Pandora known as a full jewellery brand, and our results show that consumers like what they see. Thanks to our strong performance, we are again raising revenue guidance for 2024 and look to the second half of the year with optimism.”