Pandora's bling move 'paying off'

One of the lucky charms sold by Pandora, the jeweller chaired by former Asda boss Allan Leighton, might be paying off for the company itself.

The Danish jeweller, whose bracelets and trinkets are sold at more than 400 shops across the UK, last year saw more than two-thirds wiped off its market value following a profit warning after coming to market in one of Europe's biggest IPOs in 2010.

Today, however, Pandora posted a lower-than-forecast fall in revenues – down 18 per cent to 1.4bn crowns (£151.6m) – and analysts said the firm was turning around. Last year, the jeweller blamed its slump on its attempt to shift the brand from inexpensive charm bracelets to more exclusive – and expensive – bling. But its usual customers fled without new ones rushing in.

Pandora's chief executive, Bjorn Gulden, said its strategy of offering jewellers the chance to swap unpopular jewellery for those that were most popular with local shoppers was paying off.

"We do have a number of short-term challenges but I am encouraged to see that we have initiated actions to deal with all of them," he said.