Recasts headline and lead, paragraph 3 to focus on consumer pressure, updates share price in paragraph 5, CEO quote in 10 and CFO costs comment in 12

By Helen Reid

LONDON, May 6 (Reuters) - Jewellery brand Pandora PNDORA.CO said a drop in spending by mid- to low-earners pushed down comparable sales by 2% in North America, as new CEO Berta de Pablos-Barbier tries to turn the company around while facing weak consumer sentiment in its core market.

Pandora has been hit by weaker sentiment in the U.S. since the Iran war and high U.S. import tariffs, along with a surge in silver prices squeezing margins at the Danish firm known for its silver charm bracelets, priced at $70 and up.

The jump in fuel prices triggered by the two-month-old Iran war is piling further pressure on Pandora's low- and middle-income shoppers, the company said, while high earners are under less strain, creating a so-called K‑shaped economy.

"The K-shaped economy is actually deepening, so what we see is that the high-income consumers continue to have a good time and it is mainly the middle and the low (income consumers) with high inflation, high interest rates, high fuel prices... so they are disproportionately impacted," de Pablos-Barbier, who took over on January 1, told Reuters in an interview.

Nevertheless, Pandora's shares jumped 11% as first-quarter sales beat analysts' expectations thanks to strong growth in Latin America and Asia-Pacific helping to offset the weaker core regions.

In the Europe, Middle East and Africa region accounting for half Pandora's revenue, comparable sales also fell 2% over the quarter.

Fewer people are visiting stores and malls, de Pablos-Barbier said, adding that the longer the war continues the more consumer sentiment will be impacted.

RESULTS BEAT EXPECTATIONS

Overall revenue fell to 7.109 billion crowns ($1.12 billion) from 7.347 billion crowns a year ago, but beat the 7.089 billion crowns analysts had expected in a company-compiled poll.

"We have started the year in line with expectations - that is not to say that like-for-like growth is where we want it to be," de Pablos-Barbier said in a call with analysts.

Pandora's shares have been volatile, moving sharply in reaction to wild swings in the silver price, and are down 45% from a year ago. In February Pandora said it would cut its silver exposure by shifting half its jewellery to platinum-plated.

Chief Financial Officer Anders Boyer said Pandora would keep a tight control on costs.

MORE TARGETED MARKETING

De Pablos-Barbier, previously Pandora's head of marketing, has promised to win new customers, bring in new designs and target advertising more efficiently.

Operating profit was 1.487 billion crowns, beating analysts' average forecast of 1.28 billion crowns, thanks in part to lower marketing spending.

"The intention is not to spend less (on marketing), it is to spend better," she said, adding that Pandora plans to keep marketing spending stable for the year as a whole.

As the brand builds its lab-grown diamond business, Pandora said it would start labelling its diamond products with their carbon footprint, calculated with external auditors, highlighting their much lower carbon emissions impact compared to diamonds produced by mining.

Pandora sources its lab-grown diamonds from suppliers in the U.S. and India, which use renewable energy.

($1 = 6.3686 Danish crowns)