// Pandora expects organic growth of 4% to 6% for the full year, compared to a previous forecast of 3% to 6%,
// The company said all of its operations in Russia and Belarus were “no longer considered part of Pandora”
Jewelry retailer Pandora warned on Wednesday that rising inflation and the war in Ukraine pose heightened uncertainty for its annual profits, despite record first-quarter sales and a slight increase in its sales outlook.
Pandora released its annual financial results showing organic growth of 21% in the first quarter of 2022, highlighting the success of the Marvel collaboration launched in February, which represented 3% of activity over the period.
The popular franchise collection surpassed its previous Star Wars and Harry Potter collaborations, and the “Infinity Ring” product proved particularly successful with 17,000 customers on a waitlist. In total, collaborations increased by 41% in the first three months of the year.
“We are very pleased with the strong start to the year which delivered record first quarter revenue,” CEO Alexander Lacik said in a statement.
The company now expects full-year organic growth of 4% to 6%, down from a previous forecast of 3% to 6%, but said the forecast was subject to “high uncertainty “due to inflationary pressure, the coronavirus and the war in Ukraine.
In the UK, organic growth was 30% in the first three months of the year compared to the same period in 2019. Other key European markets such as Italy, Germany and France also recorded double-digit growth.
“Pandora has always been successful in mitigating cost increases through efficiency and cost reduction initiatives. This work continues,” the retailer said.
The company said it saw no “major impact” from Russia’s invasion of Ukraine in the first quarter. Russia, Belarus and Ukraine represent only 1% of turnover in 2021.
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