Jeweller hits back claiming it acted swiftly in summer downturn.
American stock exchange NASDAQ has reprimanded jewellery giant Pandora for not informing the market in good time that it would fail to hit its annual revenue forecasts.
Pandora issued a statement in August announcing that it was reducing its yearly projections, which had originally forecast for a 30% uplift in sales, but NASDAQ believes that the jewellery company would have been aware that its original targets would not be met much earlier than this.
The reduced forecast announcement made by Pandora led to a 70% drop in its share price.
Pandora has hit back at the accusations made by NASDAQ by stating that it “it acted properly during a swift and unexpected downturn in sales by making a timely and precise announcement”.
The jewellery manufacturer added that at the beginning of July its year-to-date revenue was up 22% against the same period in 2010 and insists that overall company data continued to indicate its forecast of 30% revenue growth for the full year was still feasible.
Pandora claims that trading conditions only took a significant nosedive in July, dropping more than 30%. It claims it was only after this poor month of trading that the company felt it necessary to make an announcement to the market on August 2.