NOTES
66•Consolidated financial statements
PANDORAANNUAL REPORT2014
Accounting policies
Revenue is recognised to the extent that it is probable that
economic benefitswill flow to PANDORA and the revenue
can be reliablymeasured andwhen the significant risks
and rewards of ownership of the goods have passed to the
buyer, usually on delivery of the goods. Revenue ismeas-
ured at the fair value of the consideration received, exclud-
ing discounts, rebates, sales taxes and duties.
Provisions for rebates anddiscounts granted to
wholesalers are recognised as a reduction of revenue on the
basis of historical experience and the specific terms in the
individual agreements.
The effect of expected returns is recorded as a
reduction of gross profit, ie. revenue and cost of sales.
Where there is historical experience or a reasonably
accurate estimate of future returns can otherwise bemade,
a provision for expected sales returns is recognised.
REVENUE
Revenue by product category
1
DKKmillion
2014
2013
Charms
7,933
6,293
Silver and gold charm bracelets
1,427
1,157
Rings
1,192
550
Other jewellery
1,390
1,010
Total revenue
11,942
9,010
1
Franchise fees of DKK 146million (2013: DKK 118million) are included in the above figures since it is allocated to the relevant product categories.
2.1
SECTION 2: RESULTS FOR THE YEAR, CONTINUED
7,933
Charms
1,427
Silver and gold
charm bracelets
1,192
Rings
1,390
Other jewellery
Revenue by product category
DKKmillion
