Major jewelry brand Pandora has reported a 1% year-on-year decrease in revenue to DKK 5.12 billion ($809 million) in the first quarter of the year, according to Gem Konnect. Pre-tax profits totaled DKK 1.67 billion ($263.4 million), compared with DKK 1.88 billion ($297 million) in Q1 2017.
The decrease is primarily attributed to a 9% drop in revenue from the Asia-Pacific region and a 16% decrease in revenue from the Americas. However, revenue from the Middle East, Europe and Africa was up 15%.
According to the company, “it was taking steps to strengthen sales in the China market”, especially tackling the “grey market, which involved product being imported from other markets and then being sold online in China”. Pandora also said that the UK and US markets “were depressed due to fewer people shopping in malls and a lack of new products from the company”.
Earlier this year, Pandora said it plans to counter weak growth in the US in 2017 and “a current lack of innovation” by doubling its new product launches by 2022.
