MajorsNov 10, 2021
Watches of Switzerland Scoops Up Independents Amid ExpansionFinancialsDec 14, 2021
Watches of Switzerland Posts Strong H1 Despite Supply Woes
With Rolex watches in short supply this year, the company turned to other luxury watch brands to bolster sales.
Watches of Switzerland has a new store in the Mall of America after acquiring the location from Ben Bridge as part of its North American expansion. The company’s first-half revenue was up 45 percent year-over-year.
London—Watches of Switzerland delivered a strong first half, raising its full-year guidance as it continues its North American expansion.
In the second quarter ending Oct. 31, the company posted £288.7 million ($381.8 million) in total revenue, up 12 percent year-over-year in constant currency.
Revenue was up 36 percent compared with the second quarter of pre-pandemic fiscal 2020.
For the first half of the year, revenue totaled £586.2 million ($775.1 million), up 45 percent year-over-year and 41 percent compared with pre-pandemic fiscal 2020.
The positive performance was driven by strong demand for luxury watches and jewelry, said the company, with growth led by a significant increase in volumes of brands not hampered by supply constraints.
These “supply-constrained brands” include Rolex, Patek Philippe, and Audemars Piguet.
Due to a recent Rolex shortage, the company changed its in-store stock to being demonstration stock, CEO Brian Duffy said during a November call about the second quarter results.
“We present it as being for exhibition only, and we're doing that simply to keep a reasonable representation of the brand in store overall, not selling that stock, but customers are able to see the product, try it on, and register their interest in buying when availability is there,” he said.
Duffy said this system is “likely to remain for the indefinite future.”
In the second quarter ending Oct. 31, the company posted £288.7 million ($381.8 million) in total revenue, up 12 percent year-over-year in constant currency.
Revenue was up 36 percent compared with the second quarter of pre-pandemic fiscal 2020.
For the first half of the year, revenue totaled £586.2 million ($775.1 million), up 45 percent year-over-year and 41 percent compared with pre-pandemic fiscal 2020.
The positive performance was driven by strong demand for luxury watches and jewelry, said the company, with growth led by a significant increase in volumes of brands not hampered by supply constraints.
These “supply-constrained brands” include Rolex, Patek Philippe, and Audemars Piguet.
Due to a recent Rolex shortage, the company changed its in-store stock to being demonstration stock, CEO Brian Duffy said during a November call about the second quarter results.
“We present it as being for exhibition only, and we're doing that simply to keep a reasonable representation of the brand in store overall, not selling that stock, but customers are able to see the product, try it on, and register their interest in buying when availability is there,” he said.
Duffy said this system is “likely to remain for the indefinite future.”
The company has had to rely less on in-demand brands this year to boost its bottom line, Duffy said during a first-half earnings call last week.
The supply-challenged brands contributed less to total revenue this year—59 percent in the first half of this year compared with 61 percent in the same period last year.
“The other luxury watch segment, where we have less constraint on supply, enjoyed very strong sales growth in both the U.K. and the U.S.,” he said.
These brands contributed 28 percent this year compared with 25 percent last year.
Duffy highlighted Omega, Breitling, Cartier, TAG Heuer, and Tudor as brands who put on strong performances.
The company also couldn’t count on tourist dollars this year as travel remains slow to recover.
Tourist sales made up 34 percent of overall revenue in the first half of 2020. So far this year, tourist sales accounted for 2 percent of overall sales.
In a move to bolster revenue, the company has continued to expand in the U.S. market.
In the region, second-quarter revenue totaled 196.9 million, up 6 percent year-over-year and up 21 percent compared with the second quarter of pre-pandemic fiscal 2020.
For the first-half, U.S. revenue totaled 167.6 million, up 50 percent year-over-year and up 67 percent compared to the same period in fiscal 2020.
The company recently acquired five stores belonging to leading independent watch retailers in the U.S. as it continues its North American expansion.
It scooped up Ben Bridge at Mall of America outside of Minneapolis-St.Paul; Timeless Luxury Watches in Plano, Texas; and three Betteridge stores in Greenwich, Connecticut, and Vail and Aspen, Colorado.
As part of the expansion plan, the Ben Bridge and Timeless locations will be converted into Watches of Switzerland boutiques, while the acquired Betteridge locations will continue to operate under their own name for the “immediate future.”
The acquisitions brought its U.S. network up to 36 stores, including 22 multi-brand and 14 mono-brand boutiques, located in 12 states.
It also invested in its U.K. store network, including refurbishing five stores and adding seven stores, bringing its total to 130 as of Oct. 31.
"I am delighted with our excellent first-half year performance,” said Duffy in a press release about the results.
“Our success in both the U.K. and the U.S. has been a testament to our robust multichannel business model, the enthusiasm and commitment of our people, and the attractive dynamics of our category where demand continues to outpace supply.”
The luxury watches category climbed in the second quarter, up 8 percent year-over-year. For the first half, the category was up 41 percent.
The luxury jewelry category was up 25 percent year-over-year and up 53 percent in the first half.
“Our jewelry business is up 50 percent, so it was a good market for jewelry,” said Duffy.
“Our buying team is doing a fantastic job and selecting the right product and approach to the market, which is a branded approach,” he added, noting the company avoids promotional activity in the category.
Online sales for the first half were strong, up 29 percent year-over-year. Its physical stores were fully opened in the first half.
Due to a strong first-performance overall, the company raised its full-year guidance.
It now expects revenue of £1.15 billion to £1.20 billion, said Chief Financial Officer Anders Romberg, up from its prior guidance of £1.05 billion to £1.10 billion.
The guidance assumes there will be no disruptions to the supply chain or additional COVID-19-related lockdowns.
More on Financials
The Latest
AuctionsDec 12, 2025
13.54-Carat Paraíba Tourmaline Sets Records at Christie’sSet in a Tiffany & Co. necklace, it sold for $4.2 million, the highest price and price per carat paid for a Paraíba tourmaline at auction.
MajorsDec 12, 2025
David Webb Reveals Ice-Cold Holiday Window DisplayThe jeweler’s “Deep Freeze” display showcases its iconic jewelry designs frozen in a vintage icebox.
CollectionsDec 12, 2025
Piece of the Week: Oscar Heyman’s Sphene RingTake luxury gifting to new heights this holiday season with the jeweler’s showstopping 12-carat sphene ring.
Brought to you by
Impacting Tomorrow TodayHow Jewelers of America’s 20 Under 40 are leading to ensure a brighter future for the jewelry industry.
Events & AwardsDec 12, 2025
IGI Jewelry Design Contest Now Accepting SubmissionsThis year's theme is “Unveiling the Depths of the Ocean.”
Weekly QuizDec 11, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
TrendsDec 11, 2025
Pinterest 2026 Trend Report: Brooches, Bold Gold, Cool BlueIn its annual report, Pinterest noted an increase in searches for brooches, heirloom jewelry, and ‘80s luxury.
GradingDec 11, 2025
GIA to Offer Origin Determination for 3 More GemstonesStarting Jan. 1, customers can request the service for opal, peridot, and demantoid garnet.
Brought to you by
Roseco Releases New Full-Line CatalogRoseco’s 704-page catalog showcases new lab-grown diamonds, findings, tools & more—available in print or interactive digital editions.
IndependentsDec 11, 2025
Look Inside Day’s Jewelers’ Ninth StoreThe 111-year-old retailer celebrated the opening of its new location in Salem, New Hampshire, which is its third store in the state.
MajorsDec 11, 2025
Americas Gold Releases New Gold Chain CatalogThe new catalog features its most popular chains as well as new styles.
AuctionsDec 10, 2025
Francis Ford Coppola’s Watch Sells for $10.8MThe filmmaker’s personal F.P. Journe “FFC” prototype was the star of Phillips’ recent record-setting watch auction in New York.
WatchesDec 10, 2025
There’s A New Rolex Boutique in MiamiThe new location in the Design District pays homage to Miami’s Art Deco heritage and its connection to the ocean.
SurveysDec 10, 2025
Consumer Confidence Drops in November Inflations, tariffs, and politics—including the government shutdown—were among consumers’ top concerns last month.
SourcingDec 10, 2025
NAJA Announces Details for 2026 ‘Ace It’ Winter Conference“Longtime favorite” presenters, as well as first-time speakers, will lead talks and workshops at the annual event in Tucson next year.
Events & AwardsDec 10, 2025
MJSA Names 2025 Responsible Design Challenge WinnerSilas Smith of Meridian Metalworks won the challenge with his pendant that blends Australian and American landscapes.
AuctionsDec 09, 2025
‘Desert Rose’ Diamond Sells for $8.8M in Abu DhabiThe sale of the 31.68-carat, sunset-hued stone was part of Sotheby’s first series of events and auctions in Abu Dhabi.
ColumnistsDec 09, 2025
Holiday Sales Happen in December, Most Decisions Don’tMost customers who walk into your store this month have made up their minds. Your job is to validate their choice, Emmanuel Raheb writes.
TrendsDec 09, 2025
‘Once Upon a Time,’ Guzema Debuted Its Holiday CollectionThe collection features characters and motifs from Ukrainian folklore, including an enchanted mirror and a magic egg.
TechnologyDec 09, 2025
Gemvision Releases Updated MatrixGoldMatrixGold 3.11, the newest version of the jewelry design program, offers more flexibility, precision, and creative control.
Events & AwardsDec 09, 2025
MJSA Showcase Pavilion Returning to JA New York The pavilion will be part of the 2026 JA New York Spring show, scheduled for March 15 to 17.
MajorsDec 08, 2025
Juell Kadet, a ‘Lifelong Pillar’ of Rogers & Hollands, Dies at 96Kadet, a 1994 National Jeweler Retailer Hall of Fame inductee, helped grow the family-owned retailer in the Chicago area and beyond.
TechnologyDec 08, 2025
You’ve Heard of Smart Watches and Rings; Meet Smart EarringsBilled as the world’s smallest wearable, Lumia Health’s new smart earrings have a health tracker subtly embedded in the back.
TrendsDec 08, 2025
Amanda’s Style File: Celebrating December’s BirthstonesDon’t let those with December birthdays feel blue. Help them celebrate their month with blue zircon, turquoise, and tanzanite.
CollectionsDec 05, 2025
Piece of the Week: Robinson Pelham’s ‘Tsar Star’ EarringsThe new pink sapphire version of the piece dances with its wearer in the brand’s “Icons After Dark” holiday campaign.
TrendsDec 05, 2025
Pantone’s Color of the Year for 2026 Is … WhiteA choice that’s generated a lot of commentary, Pantone says “Cloud Dancer” marks a fresh start and encourages relaxation and creativity.
MajorsDec 05, 2025
Stuller Releases ‘Wrapped in Wonder’ CampaignThe manufacturer’s holiday campaign features a gift guide filled with trending designs and jewelry that can be personalized.
CrimeDec 04, 2025
Man Arrested After Allegedly Swallowing Fabergé Egg PendantThe man was charged with theft, accused of ingesting the necklace while in a jewelry store in Auckland, New Zealand.
