Watches of Switzerland Revenue Rises

RAPAPORT… Group revenue at Watches of Switzerland increased in the third fiscal quarter amid strong holiday sales in the UK and US markets.

Sales rose 13% year on year to GBP 257.9 million ($329.8 million) in the three months ending January 26, as several brands showed double-digit growth, the company said last week. Like-for-like sales increased 7% during the period, with UK online sales growing 21%.

“Demand for key luxury watch brands continued to exceed supply, particularly over [the] festive trading period,” according to the company, which owns US brand Mayors.

Luxury watch sales jumped 16% to GBP 209.8 million ($268.3 million), while revenue from jewelry slipped 1% to GBP 28 million ($35.6 million). Despite the dip, the company’s jewelry business performed well relative to the market, with consumers reacting positively to new lines, Watches of Switzerland CEO Brian Duffy noted.

While the company is on track to meet its full-year guidance, it does not know whether the coronavirus will impact sales.

“We continue to monitor the effects of the ongoing coronavirus outbreak on the wider market and global trade,” Duffy added.

In addition to its Watches of Switzerland brand, which operates in the US and UK, the company also owns UK-based Goldsmiths and Mappin & Webb, along with Mayors, which it purchased from Birks Group in 2017.


Image: A Watches of Switzerland store in the UK. (Watches of Switzerland)