Pandora flags softer 2025 growth as North America demand weakens

Core Insights - Pandora anticipates organic growth of 6% in 2025, slightly below previous guidance of 7%-8%, due to weaker consumer demand, particularly in North America [1][5] - The company reported subdued overall consumer sentiment throughout the year, with North America particularly impacted in Q4, affecting top-line performance [1] Financial Performance - The bottom-line performance was bolstered by strong gross margins and cost discipline, which helped mitigate external pressures from commodity prices, foreign exchange fluctuations, and tariffs [2] - North America experienced 2% like-for-like (LFL) growth in the quarter, but trading in November and December fell short of expectations due to reduced store traffic [2] - EMEA saw a 1% decline in LFL sales, with gains in Spain, Poland, and Portugal offset by ongoing weakness in Italy [2] - Asia-Pacific posted 2% growth, while Latin America faced a 7% decline [3] Future Outlook - Full-year EBIT for 2025 is projected to be around DKr7.8bn ($1.21bn), a decrease from DKr8bn in 2024, with the EBIT margin expected to remain at 24% [3] - The group reported organic growth of 4% in Q4, with quarterly revenue at DKr11.9bn, remaining largely unchanged year-on-year [4] - Gross margin for the period is anticipated to be around 78%, while the EBIT margin is forecasted at approximately 33.5%, down from 34.7% in Q4 2024 [4] Revenue Breakdown - EMEA accounted for 50% of total revenue, followed by North America at 36%, Asia-Pacific at 8%, and Latin America at 6% [5]