Pandora raises full-year growth outlook

Pandora, the world's largest jewelry maker, has once again raised its full-year growth outlook, signaling confidence in its ongoing expansion strategy. This move sets the company apart from many of its peers in the consumer goods sector, which have recently faced challenges in maintaining growth.

The company's operating profit climbed to 1.34 billion Danish crowns ($196.25 million) in the second quarter, up from 1.19 billion a year earlier. This result was in line with the forecasted 1.3 billion, as per a poll conducted by Pandora.

Optimistic growth projections amid industry challenges

Pandora has revised its full-year organic growth guidance upwards to a range of 9% to 12%, following an earlier increase in May. The company has maintained 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," said CEO Alexander Lacik in a statement.

This upward revision comes at a time when many companies are reporting a slowdown in pricing power and weakened consumer spending. Luxury giants like LVMH and Burberry have recently announced underwhelming sales figures, further highlighting Pandora's relative strength.

Pandora's broadened product range continues to drive growth

Pandora's continued investment in marketing, new store openings, and the expansion of its product range—including rings, necklaces, and lab-grown diamonds—has paid off. Despite these efforts, the company's signature charm bracelets, priced between $60 and $2,000, still constitute the majority of sales.

"Our strategy continues to take Pandora to new heights despite general consumer spending being somewhat sluggish," Lacik stated. "We have successfully started the journey to make Pandora known as a full jewelry brand, and our results show that consumers like what they see."