Revenue in Australia increased 10.2 per cent in 2013
Pandora jewellery announces record profits
Posted February 25, 2014 | By Jonathan Green
Exceptional results in all regions, including Australia, has seen
Pandora post record figures across the board and a massive 35.4 per cent
increase in group revenue for 2013.
The Denmark-based jewellery brand has again shown its global strength announcing a steep rise in total revenue to DKK9.0 billion (AU$1.85 b) for 2013, up from the DKK6.7 billion (AU$1.38 b) result in 2012.
In Australia specifically, revenue increased 10.2 per cent to DKK681 million (AU$140 m), with Pandora Australia president, David Allen, saying he was very pleased with the performance of the brand and its retailers.
“Our objectives for 2013 were to continue the priorities we established in 2012, with an added emphasis on sales, marketing and merchandising,” Allen explained.
“Our desire was to have clarity, with a strong sense of purpose and direction, and an obsession with customer service was to underpin all our actions.”
Allen also highlighted the seven product launches for 2013, which focused on seasonal collections, as well as strong support for the “primary gift giving periods” as key contributors to increased revenue.
“Our marketing has continued to strengthen brand awareness in the market place, and has supported key promotional activity and seasonal launches very effectively, bringing consumers into our stores,” he continued.
At this local level, Allen said he was pleased to report that revenue increased by more than 21 per cent in Australian currency and that same store sales for the full year rose by more than 23.5 per cent.
The global view
Positive financial results in Australia were just part of the picture for Pandora, with reported increased revenue in all major markets and an impressive group result.
“2013 has been a strong year for Pandora. We recorded our highest revenue ever and increased our profitability,” Pandora's chief executive, Allan Leighton, said in the company’s financial release.
Leighton went on to say that the group aims to surpass the DKK10 billion (AU$2.05 b) mark for 2014, and the board has decided to reward the company's shareholders with a dividend payout of DKK6.5 (AU$1.33) per share.
Gross margin was steady from 2012 at 66.6 per cent, which helped contribute to soaring profits of DKK2.22 billion (AU$456 m).
Pandora also announced plans to spend more than AU$110 million on investments at its production facilities in Thailand and open at least another 175 concept stores worldwide in 2014.
Region breakdown
The extraordinary global results were due to increases across a number of its major operating markets.
The Asia Pacific region showed an increase in revenue of 37.1 per cent to DKK1.1 billion (AU$225 m). Of that figure, Australia posted an increase of 10.2 per cent to DKK681 million (AU$140 m).
Europe increased revenue by 47.9 per cent to DKK3.76 billion (AU$772 m).
The Americas posted an increase in revenue of 25.5 per cent to DKK4.156 billion (AU$854 m).
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