Pandora, the renowned Danish jewelry brand, has surpassed expectations and achieved remarkable sales in the first quarter of 2022. As a result, the company has raised its sales guidance, indicating a positive outlook. However, Pandora also acknowledges the presence of heightened uncertainty that may impact its annual forecasts. The CEO, Alexander Lacik, expressed satisfaction with the strong start to the year and the accomplishment of recording the highest-ever revenue for a first quarter.
Pandora now predicts a full-year organic growth rate of 4% to 6%, surpassing its previous forecast range of 3% to 6%. Nevertheless, the company recognizes that this prediction is subject to “elevated uncertainty” due to multiple factors such as inflationary pressures, the ongoing coronavirus pandemic, and the conflict in Ukraine.
Despite the aforementioned challenges, Pandora has upheld its forecast for earnings before interest and tax margin (EBIT) growth, which is expected to range between 25% and 25.5%. The company has a track record of effectively managing cost increases through efficiency and cost-saving initiatives, and it remains committed to mitigating the impact of inflation and rising costs for energy, transportation, and raw materials like silver and gold.
Regarding the geopolitical landscape, Pandora reported negligible effects from Russia’s invasion of Ukraine during the first quarter. In 2021, revenue from Russia, Belarus, and Ukraine amounted to a mere 1% of the company’s total revenue.
Pandora’s Q1 sales soared to 5.7 billion Danish crowns (€766 million), marking a remarkable 21% increase compared to the same period last year. This exceptional sales figure surpassed the average of 5.2 billion Danish crowns predicted by analysts surveyed by the company in April.
Despite its positive performance and impressive sales figures, Pandora remains cautious about the future due to the unpredictability caused by external factors. The company will continue to monitor and navigate these challenges while preserving its growth and profitability.
Useful links:
– For more information about Pandora and its products, visit their official website: https://www.pandora.net/
– Stay updated on the latest news and developments in the jewelry industry by visiting this informative website: https://www.nationaljeweler.com/
