Jeweller Pandora’s shares sink as it warns soaring silver could dent margins

Pandora said on Wednesday that higher silver and gold prices could hit its 2026 operating profit margin target, sending the Danish company’s shares as much as 7% lower.

Best known for its charm bracelets, with prices ranging from $60 to more than $2,000, Pandora has been a rare bright spot among retailers and brands offering affordable luxury items.

Pandora maintained a full-year 2024 operating margin goal of around 25% but said higher commodity prices could present a challenge to its 2026 margin goal of 26%-27%, adding that it was seeking to mitigate at least some of this with more price hikes.

The company did not publish a 2025 margin goal.

The price of silver has soared to around $32 per ounce from $22 in February, while gold has also risen.

Pandora’s operating profit rose to DKK980 million Danish ($140.87 million) in the third quarter from DKK920 million a year earlier, slightly below the forecast of DKK991 million in a company-compiled poll.

Shares in the company were down 5.2% at 0955 GMT, making them one of the worst performers in the pan-European STOXX 600 index.

The fall was likely caused by rising silver prices and the expected pressure on margins, rather than the third-quarter results, DNB Markets analyst Jesper Ingildsen said.

“They increased prices in October, and they’re going to increase prices again at the beginning of the year, it’s what they’re saying. But nevertheless, it’s probably not enough to fully offset that big increase in silver prices,” he added.
Pandora said it expects full-year organic operating profit growth of 11%-12%, compared to its previous range of 9-12%.