On August 15, Danish jewelry brand Pandora released its financial results for the second quarter of fiscal year 2025: on an organic basis, revenue grew 8% year-on-year to DKK 7.075 billion (approximately USD 1.02 billion), and 3% on a comparable basis. Operating profit (EBIT) reached DKK 1.29 billion (approximately USD 186 million), while the EBIT margin declined by 160 basis points year-on-year to 18.2%. In the Chinese market, revenue fell 15% year-on-year to DKK 95 million (approximately USD 13.7 million), and the brand plans to close more than 100 stores in the country.
Last month, Reuters cited two sources familiar with the matter reporting that Pandora is considering restructuring its operations in China due to the continued decline in omnichannel sales in the market. According to the sources, Pandora is in discussions with several local Chinese funds and e-commerce partners to potentially license or transfer the brand and all its assets, including current inventory, to them for a five-year period.
Pandora stated that it will continue investing in its four strategic pillars—brand, design, marketing, and personalization—aiming to position itself as a full-spectrum jewelry brand.
Alexander Lacik, President and CEO of Pandora, commented, “In these turbulent times, we are satisfied with yet another quarter of high single-digit organic growth and strong profitability. The results show that our brand and unique storytelling proposition continue to attract more consumers and that our global footprint enables us to balance ups and downs across the markets. Despite the macroeconomic challenges to top and bottom line, we are confident that we will deliver on our targets for the year driven by an exciting product pipeline, new marketing campaigns and operational agility.”
In the second half of fiscal 2025, Pandora is launching two new collections: Pandora Talisman and Minis, updating its core charm and clutch products with fresh styles while reinforcing its accessible price positioning.
Pandora will also invest in cultivating locally relevant talent in specific markets to enhance cultural resonance and boost social engagement, thereby inspiring consumers.
Following the release of the earnings report, Pandora’s share price fell 18.3% on August 15 to DKK 844.6 per share, bringing its current market capitalization to approximately DKK 67.94 billion (approximately USD 9.8 billion).
As of June 30, key financial figures for Pandora in Q2 are as follows:
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Organic revenue grew 8% year-on-year to DKK 7.075 billion (approximately USD 1.02 billion), and 3% on a comparable basis
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EBIT reached DKK 1.29 billion (approximately USD 186 million)
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EBIT margin was 18.2%
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Gross profit was DKK 5.607 billion (approximately USD 808 million), up 8% at constant exchange rates
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Gross margin was 79.3%
By Product Segment:
Core:
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Moments collection: DKK 4.413 billion (approximately USD 636 million), down 1% YoY, accounting for 62% of total revenue
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Collabs collection: DKK 643 million (approximately USD 93 million), up 19% YoY, accounting for 9%
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ME collection: DKK 258 million (approximately USD 37 million), up 6% YoY, accounting for 4%
Fuel with more:
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Timeless collection: DKK 1.299 billion (approximately USD 187 million), up 2% YoY, accounting for 18%
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Signature collection: DKK 147 million (approximately USD 21 million), down 27% YoY, accounting for 2%
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Pandora Essence collection: DKK 230 million (approximately USD 33 million), up 102% YoY, accounting for 3%
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Pandora Lab-Grown Diamonds collection: DKK 85 million (approximately USD 12 million), up 36% YoY, accounting for 1%
By Market:
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United States: DKK 2.374 billion (approximately USD 342 million), up 8% YoY, accounting for 34% of total revenue
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China: DKK 95 million (approximately USD 13.7 million), down 15% YoY, accounting for 1%
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United Kingdom: DKK 659 million (approximately USD 95 million), down 9% YoY, accounting for 9%
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Italy: DKK 529 million (approximately USD 76 million), down 8% YoY, accounting for 7%
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Australia: DKK 229 million (approximately USD 33 million), up 7% YoY, accounting for 3%
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France: DKK 256 million (approximately USD 37 million), down 7% YoY, accounting for 4%
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Germany: DKK 472 million (approximately USD 68 million), down 6% YoY, accounting for 7%
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Total Key Markets: DKK 4.615 billion (approximately USD 665 million), up 1% YoY, accounting for 65% of total revenue
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Rest of Pandora: DKK 2.46 billion (approximately USD 355 million), up 6% YoY, accounting for 35%
| Source: Official Financial Report
| Image Credit: Pandora Official Instagram
| Editor: LeZhi
