LONDON — Buoyed by strong third-quarter growth in group revenue and net profit, Danish jeweler Pandora has raised its full year revenue guidance to more than 11.5 billion kronor, or $1.96 billion, from more than 11 billion kronor, or $1.87 billion. The company said new store openings and strong sales gains in the Asia-Pacific region and Europe fueled growth.
Net profit for the three months to September 30 rose 18.5 percent to 725 million kronor, or $123 million, up from 612 million kronor, or $104 million. The Copenhagen-based company’s group revenues rose 26.2 percent to 2.85 billion kronor, or $484 million. Revenue in Asia-Pacific rose 43.2 percent to 345 million kronor, or $58.7 million, while Europe was up 30.4 percent to 1.34 billion kronor, or $228 million.
Dollar figures have been converted at average exchange rates for the period to which they refer.
Gross margin climbed to 70.3 percent compared with 66.2 percent last year, while EBITDA, earnings before interest, taxes, depreciation and amortization, rose 33.8 percent to 1.02 billion kronor, or $174 million.
Allan Leighton, chief executive officer of Pandora, said the results represented the firm’s “highest revenue and EBITDA in any quarter to date. All regions continued to perform well, driven by expansion of the store network, improving store execution, and continuously relevant products.”
He noted that revenue for rings in particular had doubled in the quarter. The firm plans to continue to expand its concept store network in the rest of the year, adding more than 300 stores in total 2014, up from an expected 275.