FinancialsMay 15, 2023
Richemont Chair Shoots Down Reports of Acquisition by LVMH FinancialsMay 18, 2023
Watches of Switzerland’s Full-Year U.S. Sales Climb 52%
CEO Brian Duffy also detailed a new joint venture partnership with Audemars Piguet.
Pictured is Watches of Switzerland’s store in the Mall of America. The company posted double digit growth in its fourth quarter and for the full year.
London—Watches of Switzerland ended its fiscal year on a high note, posting double digit growth in its fourth quarter.
The company also posted record revenue for the full fiscal year, in spite of a "more challenging trading environment in the second half," said CEO Brian Duffy.
He touted a “record year of revenue and profitability” and expressed confidence in the year ahead.
Here are four important takeaways from the company’s recent earnings report.
Watches of Switzerland posted strong revenue growth in Q4 and FY23.
For the fourth quarter ended April 30, the company posted £371 million ($463.5 million) in total revenue, up 22 percent year-over-year.
In the U.S., revenue climbed 27 percent in Q4, totaling £173 million ($216.1 million).
In the U.S., revenue climbed 27 percent in Q4, totaling £173 million ($216.1 million).
For the fiscal year, revenue totaled £1.54 billion ($1.92 billion), up 25 percent year-over-year.
Revenue in the U.S. climbed 52 percent to £653 million ($815.8 million).
Luxury watch revenue for the year was up 28 percent, driven by increases in average selling price and volume, while luxury jewelry revenue was up 10 percent.
The company’s e-commerce revenue was up 3 percent.
Notably, revenue from its pre-owned segment was up double digits, said the company, with pricing and margins maintained.
The company has several new projects in the pipeline.
Watches of Switzerland has a long list of new projects for the fiscal year ahead.
Its multi-brand showroom opens this month in the American Dream mall in New Jersey, with its multi-brand showroom at One Vanderbilt in New York opening in January 2024.
Its multi-brand showroom opens this month in the American Dream mall in New Jersey, with its multi-brand showroom at One Vanderbilt in New York opening in January 2024.
Its refurbished and expanded Mayors location in Dadeland, Florida also opened this month.
Internationally, the first Watches of Switzerland multi-brand showroom in Europe will open in the Mall of the Netherlands, The Hague at the end of the calendar year.
Its Rolex flagship on London’s Old Bond Street will open in the first half of 2024.
Its Rolex flagship on London’s Old Bond Street will open in the first half of 2024.
A new Tudor flagship boutique will also open on Old Bond Street in Q4 of fiscal 2024.
It’s been expanding its mono-brand portfolio elsewhere in Europe as well, with new TAG Heuer stores opening in Berlin and Stockholm.
It’s been expanding its mono-brand portfolio elsewhere in Europe as well, with new TAG Heuer stores opening in Berlin and Stockholm.
As of April 30, the company has 193 showrooms across the U.K., U.S. and Europe, including 80 mono-brand boutiques with Rolex, Omega, TAG Heuer, Breitling, Tudor, Audemars Piguet, Grand Seiko, Bulgari, and Fope, as well as its e-commerce presence.
Watches of Switzerland has entered into a partnership with Audemars Piguet.
The highlight on its list of new projects is a joint venture partnership with luxury watch heavyweight Audemars Piguet.
The company has signed a letter of intent with the brand confirming its intention to open a store in the U.K. in St. Anne’s, Manchester, England.
Duffy said, “This is an important expansion in our partnership with Audemars Piguet which has spanned more than 50 years and we look forward to what will be a great showroom for the city of Manchester.”
The location is slated to open in the spring of 2024.
Watches of Switzerland is predicting revenue growth in its future.
“We enter FY24 significantly ahead of where we expected to be in our long range plan following two years of exceptional performance and notwithstanding the macroeconomic backdrop,” said Duffy.
For fiscal 2024, the company is forecasting revenue growth of 8 to 11 percent at constant currency, between £1.65 billion and £1.70 billion ($2.06 billion to $2.12 billion), with EBIT margin in line with the prior year.
“We remain confident in our goals to maintain our leadership position in the U.K., become the clear leader in the U.S., and capitalize on our growth potential in Europe,” Duffy said.
The company is expecting the “more challenging” trading environment of the second half of fiscal 2023 to continue into the first half of fiscal 2024 but foresees improvement in the second half.
It expects a “modest” sales decline in Q1 of FY24 that will normalize by the second quarter.
More on Financials
The Latest
MajorsMay 20, 2024
Studs Opens Luxury Piercing Pop-Up in NYC“Fancy Studs” will feature revamped branding and a new lab-grown diamond fine jewelry collection.
SourcingMay 20, 2024
2 Business-to-Business Platforms Secure Millions in Funding Nivoda and Liquid Diamonds both have big plans for the new capital.
MajorsMay 20, 2024
Stuller Issues New Packaging & Display CatalogThe 2024-2025 edition features new colors and styles, as well as storytelling elements.
Brought to you by
Meet Gemology’s Next Generation Microscope: GIA® Gemolite® NXT Professional EditionGIA®’s most advanced microscope has new features to optimize greater precision and comfort.
SourcingMay 20, 2024
State of the Diamond Industry: Botswana Beyond DiamondsFrom moringa to ecotourism in the Okavango Delta, the country and its leaders are exploring how Botswana can diversify its economy.
Weekly QuizMay 16, 2024
This Week’s QuizTest your jewelry news knowledge by answering these seven questions.
SourcingMay 20, 2024
Anglo American Confirms It Is Looking to Sell De Beers The mining giant also wants to offload its platinum business as part of an overhaul designed to “unlock significant value.”
Recorded WebinarsMay 17, 2024
Watch: Preparing for Trade Show SuccessJewelry trade show veterans share strategies for engaging buyers, managing your time effectively, and packing the right shoes.
Brought to you by
Record Gold Prices Have Consumers Undeterred. Here’s Why.Despite the rising prices, consumers continue to seek out the precious metal.
AuctionsMay 17, 2024
Piece of the Week: Cartier’s Ring-Tailed LemurThis little guy’s name is Ricky and he just sold for more than $200,000 at Sotheby’s Geneva jewelry auction.
AuctionsMay 16, 2024
Christie’s Holds 2 Sales Despite CyberattackThough its website has been down for a week, Christie’s proceeded with its jewelry and watch auctions on May 13-14, bringing in nearly $80 million.
AuctionsMay 16, 2024
Sotheby’s Withdraws 101-Carat Yellow Diamond from AuctionDespite the absence of “The Allnatt,” Sotheby’s Geneva jewelry auction totaled $34 million, with 90 percent of lots sold.
ColumnistsMay 16, 2024
The PR Adviser: What the Designer Should’ve DoneLilian Raji gives advice to designers on how to make the most of great publicity opportunities.
SourcingMay 16, 2024
Lucapa to Shed Stake in Lesotho Diamond Mine The mining company wants to divest its 70 percent holding in the Mothae Diamond Mine in an effort to streamline its portfolio.
ColumnistsMay 15, 2024
Squirrel Spotting: Why Retailers Struggle to Fire BrandsWhy do so many jewelers keep lines that are not selling? Peter Smith thinks the answer lies in these two behavioral principles.
AuctionsMay 15, 2024
Red Diamond Breaks Records at Phillips GenevaThe “Argyle Phoenix” sold for more than $4 million at the auction house’s second jewels sale.
Events & AwardsMay 15, 2024
See Who’s in JA’s 2024 ‘20 Under 40’ ClassThe annual list recognizes young professionals making an impact in jewelry retail.
IndependentsMay 15, 2024
David Mann Jewelers in Upstate NY to Close After 35 YearsOwner David Mann is heading into retirement.
FinancialsMay 15, 2024
Brilliant Earth’s Sales Fall Flat in Q1 While overall sales were sluggish, the retailer said its non-bridal fine jewelry was a popular choice for Valentine’s Day.
AuctionsMay 14, 2024
2 Huge Yellow Diamonds Are Heading to AuctionChristie's is selling one of the diamonds, moving forward with its Geneva jewelry auction despite the cyberattack that took down its website.
MajorsMay 14, 2024
Platinum Born Taps ‘Born Leaders’ for New CampaignThe ad aims to position platinum jewelry as ideal for everyday wear.
GradingMay 14, 2024
Instappraise Adds Trifold Brochure to Appraisal OfferingsRetailers can customize and print the appraisal brochures from their store.
Lab-GrownMay 13, 2024
Lab-Grown Diamond Brand Lightbox Cuts Prices by 25 to 40%The move follows a price-drop test run in Q4 and comes with the addition of a “quality assurance card” from GIA for some loose diamonds.
TechnologyMay 13, 2024
Christie’s Website Brought Down by Hackers, Watch Auction Postponed The site has been down since Thursday evening, just ahead of its spring auctions.
AuctionsMay 13, 2024
Madeleine Albright’s Jewelry, Pins a White-Glove Sale at Freeman’s | HindmanThe late former U.S. Secretary’s collection went for quadruple the sale’s pre-sale estimate.
IndependentsMay 13, 2024
Zachary’s Jewelers Names Mother’s Day Jewelry Contest WinnersThree fifth graders’ winning designs were turned into custom jewelry pieces in time for Mother’s Day.
IndependentsMay 10, 2024
Frank Adams Jewelers Names New CEOKimberly Adams Russell is taking over the role from her father, David Adams, marking the third generation to hold the title.
CollectionsMay 10, 2024
Piece of the Week: Carina Hardy’s ‘Birth of Venus’ NecklaceAs a token of womanhood, this necklace depicts when Venus was born from the sea.
