Pandora has released its interim financial report for Q2 2017 revealing positive revenue growth in the UK of 7% compared with the same quarter last year.
The company reports that group revenue in Q2 2017 reached DKK 4,825 million, (£588m) an increase of 12% compared with Q2 2016. EMEA revenue increased by 10%, with growth driven by positive performances in all main markets in the region, including the UK which increased by 12%.
Globally, revenue from Pandora-owned retail increased by 36%, while like-for-like growth for Pandora owned concept stores was 10%.
The reports also cited that the company’s full jewellery brand ambitions remained on track with revenue from rings, earrings, necklaces and pendants combined up 23%, with the three categories representing 23% of total Group revenue. Meanwhile, revenue from charms increased 6% and revenue from bracelets increased 19%
Gross margin was 73.9% in Q2 2017 (Q2 2016: 75.3%) impacted by headwind from currency.
Commenting on the results, Pandora chief executive officer, Anders Colding Friis, says: “We are pleased with the results for the second quarter delivering double digit top-line growth and continued healthy profitability. Markets like China, Italy, the UK, and Australia performed well, reflecting the significant growth potential for our product offering in both our newer and more developed markets. We also continue to make strides in improving the quality of our global store network and added net 70 new concept stores during the quarter.
“The retail environment in the US remains challenging, however, our strategy has delivered a solid improvement in the performance of the concept store network. Additionally, we are rolling out a number of initiatives to strengthen our US business even further.”
Financial guidance for FY 2017 is maintained, including expected revenue of DKK 23-24 billion (£2-2bn) and EBITDA margin of approximately 38%.