Pandora reports sales growth in Q1 and is bracing for US tariffs

Danish jewellery brand Pandora has reported a 7 percent organic sales growth in the first three months of 2025, but states it is “actively preparing” for the impact of US tariffs.

In a statement, Pandora said that its continued mission to execute its Phoenix strategy, to position Pandora as a full jewellery brand, is delivering “solid financial results”.

Q1 2025 organic growth rose 7 percent to 7.35 billion Danish kroner. This comprised of like-for-like (LFL) growth of 6 percent and retail network expansion bolstering sales by 4 percent.

In the US, Pandora added LFL growth accelerated to 11 percent, while the four European markets reported separately declined slightly to -2 percent, and the rest of Pandora remained solid at 8 percent. Overall, LFL growth in Europe was 4 percent fuelled by double-digit growth in several countries, including established markets like Spain and Portugal.

By channel, growth was predominantly driven by online, which saw 18 percent LFL growth in Q1 2025. Pandora’s own physical network delivered 3 percent LFL in Q1 2025.

The jewellery brand is now expecting EBIT, or earnings before interest and taxes, to be “around 24 percent” rather than “around 24.5 percent,” reflecting the latest foreign exchange headwinds. The downgrade excludes the impact of US tariffs that could come into effect following US President Donald Trump’s 90-day pause.

Pandora added that it maintains the guidance for 2025 of “7-8 percent organic growth” while noting the elevated macro uncertainty. Current trading in Q2 2025 shows underlying LFL growth at mid-single-digit levels.

Alexander Lacik, president and chief executive of Pandora, said: “We are pleased with how we’ve started the year, especially given the very high volatility in the world around us. We do not control the external factors, but we do control how we execute on an already proven strategy that is growing our business.

“As we remain agile to the environment around us, there’s no change in our strategic plans and long-term vision for making Pandora the go-to destination for high quality, branded jewellery.”

Pandora preparing for impact of US tariffs

The company said it is “actively preparing for various scenarios” related to the US tariffs, adding that it will provide an update “as the potential impact on the 2025 guidance and 2026 targets becomes clearer.”

In the Q1 report, Pandora revealed that the additional tariffs on imported goods announced by the US government in April would impact the jewellery company in relation to products imported to the US and originating from Thailand, China, Vietnam, India and several other countries.

To counteract the potential tariffs, Pandora said it has been working on mitigating measures for a while and has also “accelerated” certain cost measures that were already planned. This includes switching sources of supply, such as for point-of-sales materials used in the US, as well as shipping jewellery directly to Canada and Latin America rather than, as today, through Pandora’s US distribution centre. It expects to be able to ship directly to Canada and Latin America as early as 2026.

Pandora, which manufactures its jewellery in Thailand, also added that it is currently planning for a range of tariff scenarios and will consider further price increases. It adds that the extent and timing of further price increases will only be determined “based on the concrete circumstances.”

The company did note that if the current level of tariffs remains in place, 10 percent on Thailand and 145 percent on China, this would have a 250 million Danish kroner impact in 2025. However, if the resumption of the tariff levels announced on April 2 after the 90-day pause, 37 percent on Thailand and separately 145 percent on China, it would have a 500 million Danish kroner impact in 2025.