FinancialsApr 22, 2022
Kering’s Q1 Jewelry Sales Were ‘Exceptional’FinancialsMay 18, 2022
Watches of Switzerland’s Jewelry Sales More Than Doubled in Q4
The retailer also said demand for Rolex, Patek Philippe, and Audemars Piguet watches continues to exceed its supply.
Pictured here is Watches of Switzerland’s new store in the Mall of America. The company’s fourth-quarter revenue was up 48 percent year-over-year.
London—Watches of Switzerland closed out its fiscal year on a high note, posting double-digit revenue growth for the fourth quarter and the full year.
“We have delivered another record year of revenue and profitability as we continue to progress our long-range plan,” said CEO Brian Duffy.
"We delivered an outstanding performance in both the U.S. and U.K., supported by broad-based sales growth across our portfolio of world-leading partner brands and driven by domestic clientele.”
Here are five important takeaways from its recent earnings report.
Watches of Switzerland had a good year.
In the fourth quarter ending May 1, the company posted £304 million ($378 million) in total revenue, up 48 percent year-over-year.
For the full year, revenue totaled £1.24 billion ($1.54 billion), a 40 percent year-over-year increase.
Sales in the luxury watches category were up 33 percent year-over-year in the quarter and up 32 percent for the full year.
Full-year online sales grew only 5 percent year-over-year, but that is compared with last year when the retailer’s stores were closed for 26 weeks due to COVID-19 lockdowns.
Compared with fiscal 2020, online sales more than doubled, up 128 percent.
In the United States, Watches of Switzerland’s fourth-quarter revenue totaled £136 million ($169 million), up 50 percent year-over-year.
For the full year, U.S. revenue rose 48 percent to £428 million ($532 million).
The retailer predicts another good year ahead.
Pandora and Brilliant Earth both forecast a slowdown ahead in their recent first quarter results, but Watches of Switzerland has a more bullish outlook.
The company said it is entering fiscal 2023 with “strong momentum” and expects to see a recovery in footfall and airport traffic.
“We enter FY23 with visibility of product supply for super high-demand brands for the remainder of the 2022 calendar year and an exciting program of new products and marketing from other brands,” said Duffy.
Looking ahead, Watches of Switzerland expects to see full-year revenue of £1.45 billion to £1.50 billion ($1.8 billion to $1.9 billion).
Related stories will be right here …
“We have delivered another record year of revenue and profitability as we continue to progress our long-range plan,” said CEO Brian Duffy.
"We delivered an outstanding performance in both the U.S. and U.K., supported by broad-based sales growth across our portfolio of world-leading partner brands and driven by domestic clientele.”
Here are five important takeaways from its recent earnings report.
Watches of Switzerland had a good year.
In the fourth quarter ending May 1, the company posted £304 million ($378 million) in total revenue, up 48 percent year-over-year.
For the full year, revenue totaled £1.24 billion ($1.54 billion), a 40 percent year-over-year increase.
Sales in the luxury watches category were up 33 percent year-over-year in the quarter and up 32 percent for the full year.
Full-year online sales grew only 5 percent year-over-year, but that is compared with last year when the retailer’s stores were closed for 26 weeks due to COVID-19 lockdowns.
Compared with fiscal 2020, online sales more than doubled, up 128 percent.
In the United States, Watches of Switzerland’s fourth-quarter revenue totaled £136 million ($169 million), up 50 percent year-over-year.
For the full year, U.S. revenue rose 48 percent to £428 million ($532 million).
The retailer predicts another good year ahead.
Pandora and Brilliant Earth both forecast a slowdown ahead in their recent first quarter results, but Watches of Switzerland has a more bullish outlook.
The company said it is entering fiscal 2023 with “strong momentum” and expects to see a recovery in footfall and airport traffic.
“We enter FY23 with visibility of product supply for super high-demand brands for the remainder of the 2022 calendar year and an exciting program of new products and marketing from other brands,” said Duffy.
Looking ahead, Watches of Switzerland expects to see full-year revenue of £1.45 billion to £1.50 billion ($1.8 billion to $1.9 billion).
Its Q4 jewelry sales more than doubled year-over-year.
The retailer’s luxury watch offerings account for a majority of its revenue, but its luxury jewelry category has been picking up steam.
Revenue in the luxury jewelry category more than doubled in the fourth quarter, up 124 percent year-over-year. For the full year, revenue was up 79 percent.
The company acquired a number of independent jewelers last year, including Betteridge, which has stores in Greenwich, Connecticut, and Vail and Aspen, Colorado.
It scooped up Ben Bridge at Mall of America outside of Minneapolis-St.Paul and Timeless Luxury Watches in Plano, Texas.
Watches of Switzerland also opened its first Bulgari boutique, which added to the increase in jewelry sales.
Demand for its luxury jewelry offerings has been “very positive,” said Duffy.
The company is growing its U.S. footprint.
Watches of Switzerland didn’t stop at the above acquisitions. It’s been steadily growing its U.S. store network.
The retailer announced the opening of a flagship store in Kenwood Towne Center in Cincinnati, Ohio.
Another new flagship showroom will open this year in the American Dream mall in New Jersey.
There are also plans to relocate two Mayors showrooms in Florida.
Watches of Switzerland also recently refurbished its Rolex boutique at the Wynn Las Vegas, reopened Mayors Millenia in Florida, and expanded its mono-brand boutique network with the opening of Breitling Short Hills, New Jersey and Tudor Millenia in Florida.
As of May 1, the company operated 171 stores across the U.S. and the U.K., including 55 mono-brand boutiques.
The company is also expanding in Europe, opening six mono-brand boutiques in Sweden, Denmark, and Ireland, set to open in the first half of its current fiscal year.
Demand for its high-end watches continues to exceed supply.
Watches of Switzerland places its Rolex, Patek Philippe, and Audemars Piguet watches in its “super high demand” category.
Demand for these brands has continued to exceed supply, said Duffy.
The brands have been hampered by supply chain constraints, especially Rolex.
A “restricted supply” meant sales for these brands increased “modestly” compared with prior years.
However, a limited supply of the above brands created an opportunity for other luxury watches, with sales of brands outside of these three more than doubling year-over-year.
More on Financials
The Latest
AuctionsMar 27, 2023
Jewels to Shine in Upcoming ‘Golden Age’ of Hollywood AuctionThe Kruse GWS Auctions sale will include the replica “Taj Mahal” necklace Elizabeth Taylor made with Avon as well as a costume piece Marilyn Monroe wore.
MajorsMar 27, 2023
Pandora Promotes GM to Chief of Retail OperationsMassimo Basei is moving up, while Chief Commercial Officer Martino Pessina is stepping down.
Events & AwardsMar 27, 2023
Registration Is Open for the HardRock SummitAGTA GemFair and the Denver Gem & Mineral Show also will have a presence on the show floor.
Brought to you by
Full Disclosure at Your FingertipsDistinguishing natural diamonds from laboratory-grown stones – now more available than ever – has been difficult for jewelers. Until now.
AuctionsMar 24, 2023
Piece of the Week: The $5.8M Patek Philippe ‘Sky Moon Tourbillon’Sold by Christie’s Hong Kong, this masterwork of complications now holds the record for most expensive watch ever auctioned online.
Weekly QuizMar 23, 2023
This Week’s QuizTest your jewelry news knowledge with this short test.
Lab-GrownMar 24, 2023
Lightbox Promotes General Manager to COOAdam O’Grady, general manager of the Lightbox Lab, has taken on the new role and will report directly to Lightbox CEO Antoine Borde.
WatchesMar 23, 2023
Which Brands Do Watch Enthusiasts Love Most? Chrono24 Takes a LookThe watch marketplace gathered data from 1.3 million collectors, highlighting the most popular timepieces and exploring value appreciation.
Brought to you by
Bringing Over 130 Years of Diamond Expertise to Modern GradingDe Beers Institute of Diamonds provides the very best in diamond verification, education and diamond services.
SourcingMar 23, 2023
Burgundy Diamond Backing Out of Ellendale Mine Deal Burgundy has opted not to exercise its option to buy the mining claims Gibb River Diamonds currently owns.
GradingMar 23, 2023
GCAL Introduces 8X Cut Grade for Proprietary CutsPatented and specialty cuts now can receive an 8X Proprietary Certificate, which can be customized to include a company’s brand and logo.
Events & AwardsMar 23, 2023
Diamonds Do Good Names 2023 Award Recipients The organization said it will recognize those who exemplify the idea that doing good is good business.
CollectionsMar 22, 2023
Messika’s 2023 Campaign Pairs New Jewelry With Vintage CarsKendall Jenner once again is fronting the French brand’s campaign, joined by model and dancer Alton Mason.
Events & AwardsMar 22, 2023
Hari Krishna Exports Hosts Gala Amid UN Water ConferenceThe CEOs of Signet, Helzberg, and GIA spoke on a water conservation panel, and had lakes named in their companies’ honor.
Policies & IssuesMar 22, 2023
See Kwiat’s Bracelet for World Water DaySales of the sleek sterling silver and diamond design will go to nonprofit organization charity: water.
AuctionsMar 21, 2023
Marlene Dietrich’s Van Cleef & Arpels Bracelet Going Up for AuctionExpected to earn up to $4.5 million, the “Jarretière” bracelet is the star of Christie’s “The Magnificent Jewels of Anne Eisenhower” sale.
ColumnistsMar 21, 2023
Squirrel Spotting: Customer Retention Mindset—The New CRM With jewelry sales coming down from their pandemic highs, retailers need to do all they can to retain existing customers, Peter Smith says.
Events & AwardsMar 21, 2023
ASJRA’s May Conference Examines ‘Iconic’ Jewelry CompaniesJewelry historians, authors, and experts will explore the works of Tiffany & Co., Oscar Heyman, Verdura, and more.
IndependentsMar 21, 2023
Borsheims Executive Jennifer Johnson RetiresJohnson joined the retailer in 1987, establishing its first human resources department.
Recorded WebinarsMar 20, 2023
Watch: Lab Grown Diamonds: What's Now? What's New? What's Next?Supplier Spotlight Presented by IGI
Events & AwardsMar 20, 2023
Gem Awards Shine Spotlight on Design, Dedication, and FamilyThe industry gathered to celebrate those who elevate the jewelry and watch industries.
CrimeMar 20, 2023
Jewelry Crime Reached Record Level in 2022, JSA SaysAt JSA’s annual luncheon, President John J. Kennedy said the organization recorded more than 2,000 cases last year.
CollectionsMar 20, 2023
A New Book on Chanel Is a High Jewelry Lover’s DreamIt highlights Gabrielle “Coco” Chanel’s lasting influence on modern design.
Recorded WebinarsMar 17, 2023
Watch: Lessons From GemsJewelers of America’s Amanda Gizzi explores the qualities and accomplishments that make this year’s Gem Award nominees shine.
Events & AwardsMar 17, 2023
JCK Industry Fund Announces Grant RecipientsHere’s what the nine chosen organizations plan to do with the funds.
TrendsMar 17, 2023
Piece of the Week: Anita Ko’s Award-Ready EarringsThe designer is nominated for a Gem Award for Jewelry Design.
FinancialsMar 16, 2023
Brilliant Earth Took a Record Number of Orders in 2022In its recent results, the company highlighted non-bridal jewelry sales and said its “inventory-light” showroom model may change.
Events & AwardsMar 16, 2023
Amanda’s Style File: Sparkling Gems See 15 fabulous pieces from the 2023 Gem Award for Jewelry Design nominees: Anita Ko, Kirsty Stone, and Ron Anderson and David Rees.
