INTERIM REPORT FOR Q1 2015 - PANDORA INCREASES REVENUE WITH 36.8% DRIVEN BY A STRONG DEVELOPMENT ACROSS ALL REGIONS

• Group revenue in Q1 2015 was DKK 3,547 million, an increase of 36.8% or 22.3% in local currency, compared with Q1 2014:
  • Americas increased by 34.4% (12.8% increase in local currency)
  • Europe increased by 33.2% (28.5% increase in local currency)
  • Asia Pacific increased by 55.6% (34.9% increase in local currency)
  • Revenue from concept stores was 54.9% of revenue and increased 47.4%
• The gross margin increased to 71.1% in Q1 2015, compared with 69.1% in Q1 2014
• EBITDA increased by 39.3% to DKK 1,305 million for the quarter, corresponding to an EBITDA margin of 36.8%, compared with 36.1% in Q1 2014
• Net profit for the quarter was DKK 383 million, negatively impacted by additional tax expenses and finance costs of DKK 385 million, compared to a net profit of DKK 704 in Q1 2014
• Free cash flow was DKK 990 million in Q1 2015 compared with DKK 1,049 million in Q1 2014
• During Q1 2015, PANDORA bought back 943,668 own shares at a total value of DKK 569 million as part of the ongoing DKK 3.9 billion share buyback programme, corresponding to 0.7% of the total share capital.

FINANCIAL GUIDANCE FOR 2015
Primarily as a consequence of exchange rate changes, PANDORA has decided to increase revenue guidance to more than DKK 15.0 billion (previously guided more than DKK 14.0 billion) and CAPEX guidance to approximately DKK 900 million (previously guided approximately DKK 800 million). Assuming current exchange rates, PANDORA expects a tailwind from currencies on revenue of around 10% compared to 2014. This compares to a tailwind of 3-5% anticipated in February 2015 in connection with the announcement of the Annual report 2014. The EBITDA margin expectation is unchanged, and is expected to be approximately 37%. All expectations are based on current exchange rates.

Following a settlement made with the Danish Tax Authorities on 7 May 2015, cf. Company announcement no. 237, the effective tax rate for 2015 is expected to be approximately 30% versus previously guided approximately 20%. Excluding the additional tax expense of DK 364 million, related to the settlement, which concern the income years 2009-2014, the effective tax rate for 2015 is expected to be 22%.

PANDORA plans to continue to expand the store network and now expects to add more than 325 new concept stores in 2015 versus previously expected more than 300.

In connection with the Q1 2015 results Anders Colding Friis, CEO of PANDORA, said:
"Once again we are off to a strong start to the year, with all geographic regions, as well as all product categories generating double digit growth rates. Revenue growth was driven by strong like-for-like sales-out growth in many markets as well as the continued expansion of our concept store network. Furthermore, the profitability in the company continues to be very healthy, which is also evident from the strong cash flow generation in the quarter."

CONFERENCE CALL
A conference call for investors and financial analysts will be held today at 10.00 CET and can be accessed 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 3272 8018
UK (International): +44 (0) 1452 555 131
US: +1 866 682 8490

To help ensure that the conference begins in a timely manner, please dial in 5 minutes prior to the scheduled starting time. Participants will have to quote confirmation code 31028798 when dialling into the conference.

ABOUT PANDORA
PANDORA designs, manufactures and markets hand-finished and modern jewellery made from genuine metals at affordable prices. PANDORA jewellery is sold in more than 90 countries on six continents through approximately 9,600 points of sale, including more than 1,400 concept stores.

Founded in 1982 and headquartered in Copenhagen, Denmark, PANDORA employs more than 12,400 people worldwide of whom approximately 8,600 are located in Gemopolis, Thailand, where the company manufactures its jewellery. PANDORA is publicly listed on the NASDAQ Copenhagen stock exchange in Denmark. In 2014, PANDORA's total revenue was DKK 11.9 billion (approximately EUR 1.6 billion). For more information, please visitwww.pandoragroup.com.

CONTACT
For more information, please contact: