Denmark-based jewellery manufacturer and retailer Pandora has reported a total revenue of DKr5.57bn ($798.33m) in the third quarter (Q3) of 2023, compared with DKr5.26bn in Q3 2022.
Driven by the Phoenix strategy, the company delivered organic growth of 11% in Q3 2023. The like-for-like (LFL) growth rate was 9%.
Regionally, Pandora posted 4% LFL growth across Europe and 5% in the US. Growth in the rest of the markets was 22% LFL.
During the quarter, the retailer’s gross margin was 79.0%, an all-time high of 230 basis points versus the same period in 2022.
According to the company, the growth has been driven by channel mix, cost efficiencies and price rise.
Its operating profit was DKr920m in Q3 FY23, down from DKr978m in the corresponding period a year ago.
The company’s earnings before interest and taxes (EBIT) margin was 16.5% over the quarter, compared to 18.6% in Q3 FY22.
Pandora president and CEO Alexander Lacik said: “We are very pleased with our results this quarter. Our investments in the brand are attracting more consumers into our stores. We have delivered strong broad-based growth whilst our all-time high gross margin underpins our unique earnings model.”
For the full year of 2023, Pandora raised its organic growth expectation range from 5% to 6% from the previous range of 2% to 5%.
The retailer kept its EBIT guidance unchanged at around 25%.
Alexander Lacik added: “We raise our guidance for the full year and continue to see very exciting opportunities ahead for Pandora as we embark on the next chapter of our growth strategy.”
