FinancialsNov 08, 2022
Heading Into Q4, Pandora Raises Prices on Select Items 4% FinancialsNov 10, 2022
Watches of Switzerland’s U.S. Sales Soar 86% in H1
The company opened five stores in the United States in the second quarter as it continues growing its footprint.
Pictured here is Watches of Switzerland’s store in the Mall of America. The company’s second-quarter revenue was up 29 percent year-over-year.
London—Watches of Switzerland had a strong second quarter as demand continued to exceed supply.
The watch company has high hopes for the months ahead, raising its fiscal year guidance.
“We are pleased to report another quarter of strong trading driven by broad-based sales growth across our portfolio of world-leading partner brands,” said CEO Brian Duffy.
Here are five important takeaways from the company’s recent earnings report.
Watches of Switzerland posted double-digit growth in the second quarter and first half.
For the second quarter ending Oct. 30, the company posted £374 million ($424.5 million) in total revenue, up 29 percent year-over-year.
In the United States, Watches of Switzerland’s revenue climbed 73 percent in Q2, totaling £159 million ($180.7 million) compared with £92 million ($104.6 million) in the prior-year period.
For the first half of the year, revenue was £765 million ($869.5 million), up 31 percent year-over-year.
In the U.S., first-half revenue totaled £311 million ($353.5 million), up 86 percent year-over-year.
The company’s recent acquisitions of independent jewelers, including Betteridge and a Ben Bridge store, have bolstered its numbers, but it would have seen double-digit growth even without them.
Excluding its acquisitions, quarterly revenue was still up 30 percent at constant exchange rates in the U.S. while first-half revenue climbed 44 percent.
Demand is still exceeding supply in the watch category.
Demand for the company’s high-end watches continues to outpace supply, a trend in its recent quarters.
Watches of Switzerland recently placed Rolex, Patek Philippe, and Audemars Piguet watches in its “super high demand” category but said supply issues have also impacted Zenith, Omega, and IWC.
“Demand remained strong through the quarter and continues to exceed supply, with client registration lists extending as consumers respond to innovative new products, impactful marketing and elevated client service,” said Duffy.
Quarterly sales in the luxury watches category rose 30 percent year-over-year while first-half sales in the category climbed 31 percent.
Related stories will be right here …
The watch company has high hopes for the months ahead, raising its fiscal year guidance.
“We are pleased to report another quarter of strong trading driven by broad-based sales growth across our portfolio of world-leading partner brands,” said CEO Brian Duffy.
Here are five important takeaways from the company’s recent earnings report.
Watches of Switzerland posted double-digit growth in the second quarter and first half.
For the second quarter ending Oct. 30, the company posted £374 million ($424.5 million) in total revenue, up 29 percent year-over-year.
In the United States, Watches of Switzerland’s revenue climbed 73 percent in Q2, totaling £159 million ($180.7 million) compared with £92 million ($104.6 million) in the prior-year period.
For the first half of the year, revenue was £765 million ($869.5 million), up 31 percent year-over-year.
In the U.S., first-half revenue totaled £311 million ($353.5 million), up 86 percent year-over-year.
The company’s recent acquisitions of independent jewelers, including Betteridge and a Ben Bridge store, have bolstered its numbers, but it would have seen double-digit growth even without them.
Excluding its acquisitions, quarterly revenue was still up 30 percent at constant exchange rates in the U.S. while first-half revenue climbed 44 percent.
Demand is still exceeding supply in the watch category.
Demand for the company’s high-end watches continues to outpace supply, a trend in its recent quarters.
Watches of Switzerland recently placed Rolex, Patek Philippe, and Audemars Piguet watches in its “super high demand” category but said supply issues have also impacted Zenith, Omega, and IWC.
“Demand remained strong through the quarter and continues to exceed supply, with client registration lists extending as consumers respond to innovative new products, impactful marketing and elevated client service,” said Duffy.
Quarterly sales in the luxury watches category rose 30 percent year-over-year while first-half sales in the category climbed 31 percent.
The luxury jewelry category had another strong quarter.
Jewelry sales also continue to be strong at Watches of Switzerland’s stores.
Revenue in the luxury jewelry category climbed 38 percent year-over-year to £29 million ($33 million) in the second quarter.
In the first half, jewelry sales were up 37 percent to £56 million ($63.7 million).
Watches of Switzerland acquired a number of independent jewelers last year, including Betteridge, which has stores in Greenwich, Connecticut, and Vail and Aspen, Colorado.
It scooped up the Ben Bridge store at Mall of America outside Minneapolis-St. Paul and Timeless Luxury Watches in Plano, Texas.
Watches of Switzerland also recently opened its first Bulgari boutique, which added to the increase in jewelry sales.
Movements in foreign exchange rates led to a more positive outlook.
Watches of Switzerland upped its fiscal guidance for the year ahead, citing a change in the foreign exchange rates.
The company is projecting a pound-to-dollar exchange rate of $1.20 in the second half of the year, compared with $1.14 as of press time.
This would mean an adjustment of about £15 million ($17 million) to group revenue and about £2 million ($2.3 million) to adjusted EBIT.
The company expects to reach £1.5 billion to £1.55 billion ($1.7 billion to $1.8 billion) in sales, up from its prior guidance of £1.45 billion to £1.50 billion ($1.65 billion to $1.7 billion).
It is predicting “more challenging market conditions in the second half” but expressed confidence in the strength of the watch and jewelry categories.
“While we continue to monitor the wider macroeconomic environment, we believe that the strength of the luxury watch and jewelry categories, the unique supply/demand dynamics of luxury watches and client registration lists, our portfolio of leading brand partnerships, and the success and agility of our model will continue to support long term sustainable sales growth,” said the company.
Its guidance reflects the “current visibility of supply of key brands,” announced pricing, and its confirmed showroom refurbishments, openings, and closures. It excludes “uncommitted capital projects and acquisitions.”
Watches of Switzerland is expanding its footprint.
In addition to its recent acquisitions, the company has been opening new stores in the U.S., the U.K., and Europe, and refurbishing some as well.
In the second quarter, the company opened 17 stores, including five in the U.S., nine in the U.K., and three in Europe.
Five mono-brand boutiques opened in the U.S., including TAG Heuer and Breitling stores in Boca Raton, Florida.
In its home market of London, Watches of Switzerland recently announced that next year it will relocate its current 900-square-foot Rolex boutique on Bond Street to a new 7,200-square-foot space on Old Bond Street.
More on Financials
The Latest
MajorsApr 23, 2025
Bulgari Doubles Size of Jewelry Factory in ItalyLocated in Valenza, the now 355,000-square-foot facility includes a new jewelry school that’s open to the public, Scuola Bulgari.
Events & AwardsApr 23, 2025
PDPaola Creative Director Wins FGI’s ‘Rising Star’ AwardPaola Sasplugas, co-founder of the Barcelona-based jewelry brand, received the Fine Jewelry Award.
AuctionsApr 23, 2025
Rare Custom Rolex Daytona Heads to AuctionA platinum Zenith-powered Daytona commissioned in the late ‘90s will headline Sotheby’s Important Watches sale in Geneva next month.
Brought to you by
Protect Your Customers and Your BusinessThe risk of laboratory-grown diamonds being falsely presented as natural diamonds presents a very significant danger to consumer trust.
MajorsApr 23, 2025
David Yurman’s New Campaign Stars Carmelo Anthony, Jaylen BrownThe basketball stars wear men’s jewelry from the “Curb Chain” collection.
Weekly QuizApr 18, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsApr 22, 2025
Zales’ Rebrand Takes Playful Approach to Fine JewelryThe Signet Jewelers-owned retailer wants to encourage younger shoppers to wear fine jewelry every day, not just on special occasions.
AuctionsApr 22, 2025
Christie’s to Auction JAR Jewelry CollectionThe 21 pieces, all from a private collector, will be offered at its Magnificent Jewels auction next month.
ColumnistsApr 22, 2025
The PR Adviser: Building Buzz Through Word of MouthLilian Raji answers a question from a reader who is looking to grow her jewelry business but has a limited marketing budget.
GradingApr 22, 2025
Avi Levy Is GCAL By Sarine’s New Chief Growth OfficerGCAL by Sarine created the new role to sharpen the company’s focus on strategic partnerships and scalable expansion.
IndependentsApr 22, 2025
Brinker’s Jewelers Acquires Fellow IndependentThe Indiana jeweler has acquired Scottsdale Fine Jewelers in Scottsdale, Arizona.
Events & AwardsApr 21, 2025
An Exhibition Exploring the History of Cartier Is Now on Display“Cartier: Design, Craft, and Legacy” opened earlier this month at the Victoria and Albert Museum in London.
IndependentsApr 21, 2025
New York Jeweler to Close After 111 YearsVan Cott Jewelers in Vestal, New York, is hosting a going-out-of-business sale.
IndependentsApr 21, 2025
IJO Names New Director of Vendor Relations, Merchandise StrategyIndustry veteran Samantha Larson has held leadership roles at Borsheims, McTeigue & McClelland, Stuller, and Long’s Jewelers.
Events & AwardsApr 21, 2025
Jewelers of Louisiana, Mississippi Jewelers Association to Co-Host ConventionThe two organizations will hold the educational event together this fall in Mississippi.
Events & AwardsApr 18, 2025
Daymond John to Give Keynote at JCK Las VegasThe entrepreneur and “Shark Tank” star will share his top tips for success.
CollectionsApr 18, 2025
Piece of the Week: Dukachi’s ‘Easter Bread’ PendantThe Ukrainian brand’s new pendant is modeled after a traditional paska, a pastry often baked for Easter in Eastern European cultures.
IndependentsApr 18, 2025
Bremer Jewelry to Reveal Renovated StoreThe jeweler has announced a grand reopening for its recently remodeled location in Peoria, Illinois.
MajorsApr 18, 2025
Tiffany & Co. Employees Star in Mother’s Day CampaignThe “Strong Like Mom” campaign features moms who work at Tiffany & Co. and their children.
CollectionsApr 17, 2025
John Hardy, Athena Calderone Partner on Art Deco Decor-Inspired CollectionInterior designer Athena Calderone looked to decor from the 1920s and 1930s when crafting her first fine jewelry collection.
Lab-GrownApr 17, 2025
NDC Launches Its Diamond Learning CenterThe free program provides educational content for jewelry salespeople and enthusiasts to learn or refresh their diamond knowledge.
Policies & IssuesApr 17, 2025
Jewelers of America Requests Tariffs Testimonials from MembersThe feedback will be used to prepare other jewelers for the challenges ahead, the organization said.
TechnologyApr 17, 2025
Technology Therapy Group Expands AI Training for Jewelry RetailersThe online sessions are designed to teach jewelers to use AI tools like ChatGPT and Claude to grow their business.
IndependentsApr 16, 2025
Catbird Expands to ChicagoThe opening marks the jewelry retailer’s first location in the Midwest.
CollectionsApr 16, 2025
Foundrae’s First Commitment Jewelry Collection Unites Through LoveThe “United in Love” collection offers tangible mementos of hearts entwined with traditional and non-traditional commitment heirlooms.
IndependentsApr 16, 2025
Indiana Jeweler to Host Black Jewelry Designer Pop-UpRobert Goodman Jewelers will hold a “Black Jewelry Designers and Makers” event on April 27.
MajorsApr 16, 2025
WJA Announces Board Members, New Chicago Chapter PresidentThe announcements follow a tumultuous start to 2025 for WJA, which saw a wave of resignations following controversial statements about DEI.
