Brand momentum drives strong underlying performance - Recent COVID-19 escalation creates new uncertainty about the peak season trading

News Details

Brand momentum drives strong underlying performance - Recent COVID-19 escalation creates new uncertainty about the peak season trading

November 3, 2020


  • Continued progress on the Programme NOW transformation and the underlying turnaround of the business. Sell-out growth in Q3 of -2% and organic growth was -5%. Online organic growth was 89% and accounted for 21% of revenue in the quarter
  • Q4 started in line with the trends from the second half of Q3, and October sell-out growth was +8%
  • With the recent COVID-19 lockdowns, Pandora’s assumptions behind the financial guidance are no longer fulfilled. Due to the uncertainty related to the current and future escalation of COVID-19, it is not considered meaningful to make new assumptions and announce an updated financial guidance. At this point in time, Pandora does not change the guidance but the recent lockdowns and potential further COVID-19 escalation represent a clear downside risk
  • Announced lockdowns so far entail that approximately 18% of the physical stores will be temporarily closed in November

The performance in Q3 2020 is a solid indication of the continued brand turnaround with five out of the seven key markets generating positive sell-out growth despite COVID-19. The performance demonstrates that the Programme NOW initiatives are driving traffic and engagement with the brand. The new organisational structure, including a global merchandising structure and best-practice sharing, supported a material conversion rate improvement, both online and offline. Digital initiatives and the cost program also progressed well.

Alexander Lacik, President and CEO of Pandora, says:
“Pandora continues to adapt to the challenges posed by the COVID-19 pandemic and our priority remains the safety and well-being of our employees and consumers. Pandora has shown resilience and agility during the pandemic and the double-digit growth in the US and the UK in Q3 signals that we are turning the business around. We are now facing a period with new lockdowns, but we are prepared to navigate through the heightened uncertainty, and we have the financial strength to sustain a prolonged period with lockdowns.”

Financial overview (excl. restructuring costs)

Q3 2020Q3 20199M 20209M 2019
Sell-out growth incl. temporarily closed stores, %-2%-11%-20%-11%
Like-for-like (excl. closed stores), %1%-10%-2%-10%
Organic growth, %-5%-14%-19%-11%
Revenue, DKK million4,0704,41511,11813,912
Gross margin , %78.1%78.6%77.0%76.8%
EBIT margin, %17.2%20.2%12.3%21.9%

A conference call for investors and financial analysts will be held today at 11.00 CET and can be joined online at The presentation for the call will be available on the website one hour before the call.

The following numbers can be used by investors and analysts:
DK: +45 35 44 55 77
UK (International): +44 33 33 000 804
US: +1 855 85 70 686

Please use PIN: 381 59 994#

Link to webcast:

Pandora designs, manufactures and markets hand-finished and contemporary jewellery made from high-quality materials at affordable prices. Pandora jewellery is sold in more than 100 countries on six continents through more than 7,100 points of sale, including around 2,700 concept stores.

Founded in 1982 and headquartered in Copenhagen, Denmark, Pandora employs around 28,000 people worldwide of whom more than 12,300 are located in Thailand, where the Company manufactures its jewellery. Pandora is publicly listed on the Nasdaq Copenhagen stock exchange in Denmark. In 2019, Pandora’s total revenue was DKK 21.9 billion.

For more information, please contact:

INVESTOR RELATIONS                           

Michael Bjergby
VP, Investor Relations, Tax & Treasury
+45 7219 5387

Mads Twomey-Madsen
VP, Corporate Communications & Sustainability
+45 2510 0403

Christian Møller
Investor Relations Officer
+45 7219 5361

Johan Melchior
Director, External Relations
+45 4060 1415