LONDON (Reuters) – The world’s largest jewelry maker, Pandora, reported fourth-quarter sales in China below expectations on Wednesday due to macroeconomic uncertainties weighing on that market.
The group is targeting overall organic growth in turnover of between 6% and 9% in 2024, she said, with sustained sales of its silver “charms” and bracelets having propelled its share price which has more than doubled since the start of last year.
The growth target for 2024 is in line with the target set in October of an annual increase of 7% to 9% between 2023 and 2026.
The group also announced a share buyback program worth 4 billion Danish crowns (536.38 million euros) after reporting high turnover and profit in the fourth quarter.
In contrast, quarterly sales in China missed expectations, falling to 116 million crowns, compared to 143 million in the same quarter the previous year.
The brand, which sold 107 million pieces of jewelry in 2023, compared to 103 million in 2022, has expanded its range of bracelets, whose prices range from 60 dollars to more than 2,000 dollars. Pandora also opened new stores and moved away from wholesale.
Pandora’s revenue in the United States, its largest market, rose 2% to 8.3 billion Danish crowns in 2023.
In China, turnover fell 9% to 564 million Danish crowns during the year.
(Reporting Helen Reid, Dagmarah Mackos, editing by Kate Entringer)
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