COPENHAGEN - Pandora, the world’s biggest jewellery maker and one of the largest employers in Thailand, presented a more upbeat business outlook than some other consumer goods companies as it continues to expand its product range. The company said on Monday that its operating profit rose to 1.34 billion Danish crowns ($196 million) in the second quarter from 1.
19 billion a year earlier. It increased its forecast for full-year organic growth again — having already raised it in May — to between 9% and 12% compared to 8-10% forecast previously. It kept its operating margin guidance at around 25%.
“We are again raising revenue guidance for 2024 and look to the second half of the year with optimism,” CEO Alexander Lacik said in a statement. A long list of company earnings reports around the world in recent weeks has pointed to a softening of pricing power or weakness in consumer spending. Luxury groups such as LVMH and Burberry have also announced disappointing sales numbers.
Pandora has invested heavily in marketing, store openings, and broadening its range of rings, necklaces, and lab-grown diamonds, though its charm bracelets ranging from $60 to more than $2,000 still make up a majority of sales. All of Pandora’s products are made in Thailand, where it first established a production centre in 1989. Today, Pandora Production Thailand (PPT) employs more than 13,200 people in Bangkok and Lamphun.
“Our strategy continues to take Pandora to new heights despite general consumer spending being somewhat sluggish,” Lacik said. “We have successfully started the journey to make Pandora known as a full jewellery brand, and our results show that consumers like what they see.”.
