Pandora jewelry stores lose 3.2 million euros in the first quarter due to the impact of the coronavirus

The Danish jewelry chain Pandora registered a net loss of 24 million crowns (3.2 million euros) in the first quarter of 2020, compared to profits of 797 million crowns (106.8 million euros) recorded in the same period of the year Last, as reported by the company this Tuesday.

The company explained that the COVID-19 pandemic had a “considerable” negative impact on financial performance in the first quarter, since it first affected China and then spread to other key markets for the firm during the month of March.

Pandora explained that sales in the last week of the quarter plummeted 70% due to mandatory store closings in some countries. That figure has been improving slightly and, at the end of April, stood at around a 55% drop.

Pandora’s turnover in the first three months of the year stood at DKK 4,172 million (559.2 million euros), down 13.2%. Of this figure, sales in own stores decreased by 14.3%, to 2,623 million crowns (351.6 million euros), while income from jewelry distributed to other premises stood at 1,328 million crowns (178 million euros), 11.6% less.

The cost of the products sold was 1,028 million crowns (137.8 million euros), 13.2% less, while distribution, sales and marketing expenses reached 2,254 million crowns (302.1 million euros), 10.5 % less. The administrative costs item rose to SEK 687 million (EUR 92.1 million), 10.6% more.

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