Policies & IssuesApr 10, 2025
Trump Presses Pause on Higher Tariffs for 90 DaysAn across-the-board tariff of 10 percent remains in place for all U.S. trading partners, except China.
FinancialsMay 07, 2019
Pandora to Close 50 Stores Following Weak Q1 Results
Quarterly revenue in the United States fell 12 percent as charm demand waned.
A sterling silver “Knotted Heart T-Bar Necklace” ($275) from Pandora. While its charms segment performed poorly, Pandora’s necklaces and pendants segment saw double-digit growth.
Copenhagen, Denmark—Pandora had a rough start to its fiscal year, reporting weak first quarter results as slowing demand for its charms sent like-for-like sales tumbling.
Quarterly revenue totaled 4.80 billion Danish kroner ($719 million), slipping 6 percent compared with 5.12 billion kroner ($820.5 million) in the previous first quarter.
Like-for-like in-store sales were down 10 percent as foot traffic fell 14 percent.
The in-store sales decline mainly occurred at jewelry stores and other outlets that carry Pandora, rather than at the company’s own stores, Q1 results show.
Revenue from company-owned retail outlets was up 16 percent in the quarter, accounting for 64 percent of its total sales. Wholesale, which accounted for 31 percent of total sales, decreased 34 percent in the quarter.
Online sales rose 7 percent. Pandora’s online store generated 10 percent of total revenue in the quarter with almost 1 million orders placed.
On a regional basis, quarterly revenue in the U.S. dipped 12 percent to 977 million DKK ($146 million).
Revenue in the Americas overall, which includes Canada, Latin America and the Caribbean as well as the United States, was down 5 percent.
Revenue from the EMEA region, which includes Europe, the Middle East, and Africa, declined 11 percent while sales in the Asia-Pacific region fell 6 percent.
China was one of the only regions to see revenue growth, up 15 percent in the first quarter. Pandora released a 15-piece Peach Blossom collection, exclusively available in China, in April.
Breaking it down by category, Pandora’s charms are still its bread and butter, accounting for 51 percent of its sales, but their popularity seemingly continues to wane.
Revenue from its charms segment sank 17 percent in the first quarter, while the necklaces and pendants segment saw double-digit growth, up 14 percent in the quarter.
Revenue from rings and earrings were also on the rise in the low-to-mid single digits while bracelets, a carrier for the charms, saw a slight dip in revenue.
Pandora is in the midst of Programme NOW, its two-year turnaround plan that aims to cut costs and revitalize the brand.
On Tuesday, the company announced it will close 50 “low-margin” concept stores, including those that are not profitable or diluting margins.
“The brand as well as the company has reached a point of maturity and it is not without some serious challenges,” new CEO Alexander Lacik said in the company’s earnings release. “The recently announced transformation Programme NOW, which I fully support, is a
great transition into the future.”
Also as part of the transformation plan, Pandora will reduce the size of its sell-in packages, buy back inventory from wholesale partners and run fewer sales.
The company said it has saved 100 million DKK so far, scaling back on everything from consultancy costs and employee benefits to workforce scheduling and lease agreements.
Pandora Chief Financial Officer Anders Boyer noted that while the first quarter “emphasizes the need for our planned brand relaunch,” the company’s initial commercial pilots and marketing tests show “good results.”
The company’s fiscal year financial guidance remains the same, with organic growth expected to decline 3-7 percent with like-for-like sales improving slightly.
Also as part of the transformation plan, Pandora will reduce the size of its sell-in packages, buy back inventory from wholesale partners and run fewer sales.
The company said it has saved 100 million DKK so far, scaling back on everything from consultancy costs and employee benefits to workforce scheduling and lease agreements.
Pandora Chief Financial Officer Anders Boyer noted that while the first quarter “emphasizes the need for our planned brand relaunch,” the company’s initial commercial pilots and marketing tests show “good results.”
The company’s fiscal year financial guidance remains the same, with organic growth expected to decline 3-7 percent with like-for-like sales improving slightly.
More on Financials
The Latest
MajorsApr 10, 2025
Brilliant Earth Taps Influencers, Their Moms for Mother’s Day CampaignBrigette Pheloung and Tania Sarin, and their mothers, star in the campaign wearing medallions they co-designed.
MajorsApr 10, 2025
Pary LeVian, Matriarch of the LeVian Family, Dies at 96LeVian is remembered for her unwavering commitment to her family, community, and helping others.
Events & AwardsApr 10, 2025
Hamptons Jewelry Show to Debut This SummerThe retail show is open to the public and will run July 24-27.
Weekly QuizApr 11, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
EditorsApr 09, 2025
Tariffs: What We Know Right Now Editor-in-Chief Michelle Graff answers questions about how the new taxes levied on countries like India and China will impact the industry.
MajorsApr 09, 2025
Tiffany & Co. Opens Flagship in BrazilThe new store in the upscale Iguatemi São Paulo mall is the storied brand’s first flagship in Brazil.
Brought to you by
The Heart of the Industry: Giving Bench Jewelers the Recognition They DeserveBench jewelers spend years honing their skills, Jewelers of America’s Certification validates their talents.
AuctionsApr 09, 2025
Bonhams to Offer Selection of Chaumet JewelsThe pieces span from the Art Deco period to the 1970s and will go up for auction at the Paris Jewels sale later this month.
MajorsApr 09, 2025
Pandora Names Tyla as Its New Brand AmbassadorThe Grammy-winning singer-songwriter, who is set to perform at Coachella this month, also debuted a curated selection from the brand.
GradingApr 08, 2025
GIA Expands Overseas Services as Tariffs Kick InGIA’s labs in Dubai and Hong Kong are now accepting larger diamonds in light of the “logistical challenges” presented by the new tariffs.
WatchesApr 08, 2025
Here Are the New Rolex Watches for 2025The introductions include the Land-Dweller, Rolex’s first new model since 2012, as well as several new dials for its classic timepieces.
MajorsApr 08, 2025
Willis Cowlishaw, Zale Executive and Mentor to Many, Dies at 98Cowlishaw earned a degree in horology after serving in World War II, working at one of the first Zales stores in Tulsa, Oklahoma.
AuctionsApr 07, 2025
182-Carat Paraíba-Type Tourmaline Heading to Auction in Hong KongBonhams will offer the “Kat Florence Lumina” at its May 22 jewelry auction.
CrimeApr 07, 2025
Third Man Involved in $2.7M Smash-and-Grab Is SentencedIn March 2022, the men went into a jewelry store in Beverly Hills and smashed the display cases with sledgehammers and crowbars.
AuctionsApr 07, 2025
Sotheby’s ‘Area_51’ Watch Auction Totals $1.6MThe 51 unique watches from Sotheby’s three-day sale and immersive exhibition all found buyers, with the top lot selling for $229,955.
MajorsApr 07, 2025
Jewelers Mutual Expands to Australia Via New AcquisitionThe company has acquired Australian jewelry insurance provider Jewellers Loop.
Events & AwardsApr 07, 2025
Converge Taps Neuroscientist as Opening Keynote SpeakerBeau Lotto’s immersive presentation will be a blend of neuroscience, art, and entertainment.
AuctionsApr 04, 2025
25-Carat Burmese Sapphire Brooch Sells for $101KA pink topaz Belle Époque pendant-brooch and a Victorian Egyptian Revival choker were also highlights at a recent Anderson & Garland sale.
SourcingApr 04, 2025
Mason-Kay Jade to Hold Inaugural International Jade SummitThe event, which will co-locate with the Monterey Bay Jade Festival, will bring education sessions focused on jade to the United States.
CollectionsApr 04, 2025
Piece of the Week: Heather B. Moore’s ‘Lily of the Valley’ CharmThe charm is a celebration of springtime as April showers bring May flowers with the piece’s cluster of diamond raindrops.
SurveysApr 03, 2025
2025 Retail Sales to Grow More Slowly Amid ‘Uncertainty,’ Says NRFThe National Retail Federation expects retail sales growth to return to pre-pandemic levels as consumers continue to face inflation.
TrendsApr 03, 2025
Tallulah Willis Imbues Antique Engagement Ring With MagicThe 4-carat, old mine brilliant-cut diamond engagement ring was co-designed by Willis and New York City-based brand Karina Noel.
SourcingApr 03, 2025
Canadian Mine Produces 158-Carat Yellow Diamond Rio Tinto unearthed the diamond at its Diavik mine in Canada’s Northwest Territories.
CollectionsApr 03, 2025
Buccellati to Open Immersive Exhibition in MilanThe multisensory experience, open April 8-13, will feature the brand’s silver creations among dream-like scenes of natural landscapes.
Policies & IssuesApr 03, 2025
Jewelers of America to Hold Webinar on TariffsThe virtual event will take place April 7 at 3 p.m.
