The company celebrated the opening of its first flagship store in Copenhagen, marking a major milestone in its retail expansion. Additionally, Pandora introduced its lab-grown diamonds to the Danish market for the first time, reflecting its commitment to innovation and sustainability.
The new flagship store in Copenhagen, which opened in June 2024, is Pandora’s largest to date, spanning 500 square meters across two floors. This state-of-the-art location not only showcases Pandora’s extensive range of jewellery but also serves as a hub for the brand’s evolving identity as a full-fledged jewellery brand under its Phoenix strategy. This strategy emphasizes a blend of brand identity, design innovation, personalization, and a focus on core markets.
In tandem with the store opening, Pandora launched its lab-grown diamonds in Denmark, following successful introductions in Australia, the UK, and the Americas. The Danish launch is significant as it is the first time these diamonds are available in Pandora's home country. The lab-grown diamonds are produced using 100% green energy, and the bands and settings are made from recycled gold and silver, underscoring Pandora’s commitment to sustainable luxury.
Lab-grown diamonds have been gaining popularity globally due to their affordability and ethical advantages. Unlike mined diamonds, they have a lower carbon footprint and are free from the human rights issues often associated with diamond mining in countries like the Democratic Republic of Congo. Pandora’s move into lab-grown diamonds aims to make luxury more accessible and environmentally responsible.
Pandora’s CEO, Alexander Lacik, expressed enthusiasm about these developments in a recent press release. "Our lab-grown diamonds represent the future of luxury. They combine beauty and responsibility, and we are incredibly excited to bring them to Denmark. As a Danish company, it is particularly meaningful for us to introduce this innovation to our home market."
The company’s second-quarter 2024 earnings report reflected the positive impact of these expansions. Pandora reported a revenue increase to DKK 6,771 million (€907.40 million), up from DKK 5,894 million (€789.78 million) in the same period last year. This growth was driven by the network expansion and the broader product range, which also led to increased store traffic.
Operating profit for the quarter rose to DKK 1,338 million (€179.30 million), up from DKK 1,188 million (€159.19 million) in Q2 2023. For the first half of 2024, Pandora’s revenue reached DKK 13,605 million (€1,823.11 million), compared to DKK 11,745 million (€1,573.85 million) in the corresponding period last year.
As a result of these successes, Pandora has raised its full-year organic growth guidance to between 9% and 12%, up from the previous estimate of 8% to 10%. The operating margin is projected to be around 25%.
Lacik noted, "Our strategy continues to take Pandora to new heights despite general consumer spending being somewhat sluggish. 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."
With these recent developments, Pandora is well-positioned to continue its growth and innovation in the global jewellery market, particularly in its home market of Denmark.
