Pandora

Earnings Release • Aug 8, 2017

FINANCIAL HIGHLIGHTS

· Group revenue in Q2 2017 increased by 12% (12% in local currency) to
DKK 4,825 million compared with Q2 2016

· Revenue from PANDORA owned retail increased 36% (37% in local
currency).

• Like-for-like sales-out growth for PANDORA owned concept stores was
  10%

· Revenue from EMEA increased 10% (13% in local currency) driven by
growth in all main markets

· Revenue from Americas increased 1% (-1% in local currency)

• Like-for-like sales-out growth in the US was 8% driven by more
  effective promotions and improved in-store execution

· Revenue in Asia Pacific increased 35% (34% in local currency) driven
by strong sales performances in Australia and China

· Full jewellery brand ambitions on track with revenue from Rings,
Earrings and Necklaces & Pendants combined up 23% with the three categories
representing 23% of Group revenue

· Revenue from Charms increased 6% and revenue from Bracelets increased
19%

· Gross margin was 73.9% in Q2 2017 (Q2 2016: 75.3%) impacted by
headwind from currency

· EBITDA was DKK 1,611 million in Q2 2017, corresponding to an EBITDA
margin of 33.4% (Q2 2016: 37.2%) impacted by higher administrative costs

· Free cash flow was DKK 556 million in Q2 2017 (Q2 2016: DKK 576
million)

· DKK 1,449 million returned to shareholders in Q2 2017 via quarterly
dividend of DKK 9 per share and share buy-back of DKK 446 million

· Related to the Q2 2017 results, PANDORA will pay out a quarterly
dividend of DKK 9 per share to shareholders (corresponding to DKK 1,000
million)

· Financial guidance for FY 2017 is maintained, including expected
revenue of DKK 23-24 billion and EBITDA margin of approximately 38%.

Commenting on the results, Anders Colding Friis, CEO of PANDORA, said:
”We are pleased with the results for the second quarter delivering double digit
top-line growth and continued healthy profitability. Markets like China, Italy,
the UK, and Australia performed well, reflecting the significant growth
potential for our product offering in both our newer and more developed
markets. We also continue to make strides in improving the quality of our
global store network and added net 70 new concept stores during the quarter.

The retail environment in the US remains challenging, however, our strategy has
delivered a solid improvement in the performance of the concept store network.
Additionally, we are rolling out a number of initiatives to strengthen our US
business even further.

Our journey to become a full jewellery brand is progressing well, with revenue
from Rings, Earrings and Necklaces & Pendants increasing by 23%. Meanwhile,
sales of Charms and Bracelets also grew by 6% and 19% respectively.”

CONFERENCE CALL
A conference call for investors and financial analysts will be held today at
11.00 CEST and can be joined online at www.pandoragroup.com. The presentation
for the call will be available on the website one hour before the call.

The following numbers can be used by investors and analysts:

DK: +45 32 71 16 58

UK (International): +44 (0) 203 427 1908

US: +1 646 254 3388

To participate, please quote confirmation code “PANDORA” when dialling into the
conference.

FINANCIAL CALENDAR 2017

15 August 2017 PANDORA
shares are traded ex-dividend

17 August 2017 Payment
of quarterly dividend

24 August 2017 Payment
of quarterly dividend for ADR holders

7 November 2017 Interim
Report for the first nine months of 2017

14 November 2017 PANDORA
shares are traded ex-dividend

16 November 2017 Payment of
quarterly dividend

23 November 2017 Payment of
quarterly dividend for ADR holders

CONTACT
For more information, please contact:

INVESTOR RELATIONS MEDIA RELATIONS
Magnus Thorstholm Jensen Kristian Lysgaard
Vice President, Head of Investor Director, Corporate Communications
Relations +45 7219 5774
+45 7219 5739 krly@pandora.net
mtje@pandora.net
Brian Granberg Martin Kjærsgaard Nielsen
Investor Relations Officer Head of Media Relations, Corporate
+45 7219 5344 Communications
brgr@pandora.net +45 5077 5271
mnie@pandora.net