Pandora to lay off 1,200 workers as sales fall
Pandora, the world’s largest jewelry maker by production capacity, says it will lay off another 1,200 workers in Thailand.
This change comes as new CEO Alexander Lacik looks to turn around the jewelry maker after another fall in like-for-like quarterly sales.
Lacik, who took the helm last month said, “The brand as well as the company has reached a point of maturity and it is not without some serious challenges.”
Pandora said like-for-like sales fell 10 percent in the quarter hurt by worsened economic conditions, especially in Italy, the UK and Australia.
Earnings before interest, tax, depreciation and amortization (EBITDA) fell 12 percent to 1.5 billion Danish crowns ($225 million), but topped the 1.3 billion expected by analysts in a Reuters poll.
Pandora is struggling as new jewelry lines have failed to entice shoppers and shopping in malls slows.
In February, the maker of Pandora said it aimed to cut costs by 1.2 billion crowns by end-2020 and reignite the brand through enhanced marketing efforts.
Its 1,200 new job cuts follow 700 layoffs in February.