Financials

Watches of Switzerland’s Jewelry Sales Sink in Q2

FinancialsNov 08, 2023

Watches of Switzerland’s Jewelry Sales Sink in Q2

Sales of pre-owned watches, however, grew 80 percent following the company’s rollout of the Rolex Certified Pre-Owned program.

Watches of Switzerland store in the Mall of America
Pictured here is Watches of Switzerland’s store in the Mall of America in Bloomington, Minnesota. Watches of Switzerland CEO Brian Duffy described the consumer environment as “difficult” in the first half of 2023.
London—Watches of Switzerland had a rough first half of the year, with jewelry sales down double digits and watch sales virtually flat.

CEO Brian Duffy pointed to a “difficult consumer environment” as the company released its second-quarter results Tuesday, while adding that several of the company’s Mappin & Webb showrooms in the United Kingdom have been closed for upgrades though they are set to reopen before the holiday season.

Pre-owned watch sales, however, were a bright spot on Watches of Switzerland’s balance sheet, up 80 percent year-over-year in the second quarter.

Duffy noted a positive response to the company’s rollout of the Rolex Certified Pre-Owned program, launched in the United States in July and in the U.K. in September.

For the second quarter ending Oct. 29, the company posted £379 million ($466 million) in total revenue, up 1 percent year-over-year at actual rates, though up 5 percent at constant currency rates.

In the U.S., Watches of Switzerland’s revenue grew 4 percent (11 percent at constant currency rates) in Q2, totaling £165 million ($203 million).

For the first half of the year, Watches of Switzerland’s total revenue was £761 million ($936 million), flat year-over-year (up 2 percent at constant currency rates).

E-commerce sales slipped 4 percent, which the company attributed to tough comps and the overall drop in jewelry sales.

In the U.S., first-half revenue totaled £328 million ($403 million), up 5 percent year-over-year (up 11 percent at constant currency rates).

“We sustained strong momentum in the U.S,” Duffy said.

The luxury jewelry category struggled with revenue down 18 percent in the quarter (down 16 percent at constant currency rates) and down 17 percent in the first half of the year (down 15 percent at constant currency rates).

“This reflects market trends impacted by overall consumer sentiment and by a repositioning to full-price sales in the U.S.,” said the company.

Looking at watches, quarterly sales in the luxury watches category rose 3 percent year-over-year (up 6 percent at constant currency rates) while first-half sales in the category were flat (up 3 percent at constant currency rates).

“Demand for luxury watches remains robust and continues to exceed supply, with consistent additions to and conversions of the client ‘Registration of Interest’ lists, and average selling prices continuing to increase,” said Duffy.

Watches of Switzerland’s “services/other” segment saw solid growth, up 8 percent in the quarter (up 9 percent at constant currency rates) and up 6 percent in the first half (up 7 percent at constant currency rates).

 Related stories will be right here … 

Looking to the year ahead, the company plans to continue expanding and revamping its store network.

It announced Tuesday that it has acquired 19 luxury watch showrooms from Ernest Jones, a Signet Jewelers-owned, U.K.-based brand—14 multi-brand showrooms and five mono-brand boutiques.

Ernest Jones operates about 180 locations, as per Signet Jeweler’s website.

The price of the acquisition, expected to be finalized this month, was not disclosed.

As of Oct. 29, Watches of Switzerland had 211 showrooms across the U.S., U.K., and Europe.

The company maintained its fiscal-year sales and profit guidance, anticipating sales of £1.65 billion to £1.7 billion ($2.03 billion to $2.09 billion), meaning growth of 8 to 11 percent at constant currency rates.

The Latest

Sothebys The Desert Rose orangy pink diamond collectors week
AuctionsAug 29, 2025
Sotheby’s UAE Sale to Feature 32-Carat Fancy Vivid Orangy Pink Diamond

The highlight of a single-owner jewelry and watch collection, it’s estimated to fetch up to $7 million at auction this December.

Mark Davis Bullseye Necklace
CollectionsAug 29, 2025
Piece of the Week: Mark Davis’ ‘Bullseye’ Necklace

The “Bullseye” necklace, with vintage bakelite and peridot, August’s birthstone, is the perfect transitional piece as summer turns to fall.

Image #1_Resized.png
Supplier BulletinAug 28, 2025
Clientbook Is Helping Jewelers Turn Clienteling Challenges into Wins with Hands-On Training and Coaching

Sponsored by Clientbook

japac-btyb.png
Brought to you by
Rallying Call for the Jewelry Industry on Tariffs and Other Key Issues

Jewelers of America is leading the charge to protect the industry amidst rising economic threats.

GIA’s new report for lab-grown diamonds
GradingAug 28, 2025
GIA’s New ‘Quality Assessment’ for Lab-Grown Diamonds Is Coming

It will classify lab-grown stones into one of two categories, “premium” or “standard,” in lieu of giving specific color and clarity grades.

Weekly QuizAug 29, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Botswana President Duma Boko
SourcingAug 28, 2025
Botswana Declares Public Health Emergency Amid Diamond Sales Slump

President Duma Boko addressed the country’s medical supply chain crisis in a recent televised address.

Afton Robertson-Kanne Borsheims
MajorsAug 28, 2025
Borsheims Names New Jewelry Buyer

Former Free People buyer Afton Robertson-Kanne recently joined the retailer.

rio-article photo-diamond.jpg
Brought to you by
Taking the Moment Head On: How Rio Grande Champions the Present & Future of Fine Jewelry

As a leading global jewelry supplier, Rio Grande is rapidly expanding and developing new solutions to meet the needs of jewelers worldwide.

Sissy’s Log Cabin Back to School and Bling
IndependentsAug 28, 2025
Sissy’s Log Cabin Donates School Supplies to Memphis Students

The jeweler teamed up with two local organizations for its inaugural “Back to School and Bling” event.

Taylor Swift Engaged
EditorsAug 27, 2025
Taylor Swift’s Engagement Ring Is a Fairy Tale for Vintage Diamond Cuts

The singer’s new bling, reportedly a natural old mine-cut diamond, is no paper ring.

11,685-carat Imboo emerald
SourcingAug 27, 2025
11,685-Carat Emerald Recovered From Zambia’s Kagem Mine

Dubbed the “Imboo,” or “buffalo,” emerald, the rough gemstone is part of Gemfields’ latest emerald auction, which is taking place now.

Shopping cart
SurveysAug 27, 2025
Consumer Confidence Slips in August Amid Job, Income Worries

Plans for dining out, booking vacations, and buying big-ticket items were down.

Mine + Found Play Collection Prize Bubble Locket, Whistle Pendent, Fortune Dice
CollectionsAug 27, 2025
Mined + Found’s New Collection Gets Playful

The “Play” collection centers on nostalgic toys that have kinetic elements to carry playfulness and wonder into adulthood.

CCWW lifesaver necklace
CollectionsAug 26, 2025
Does Your Jewelry Stack Need a Snack?

Designer Christina Puchi, the creative force behind CCWW Designs, has created charms and pendants based on iconic candies and crackers.

Nick Jonas x Fossil Campaign
WatchesAug 26, 2025
Nick Jonas Gets Nostalgic in New Fossil Campaign

The Jonas Brothers star showed off new timepieces against the backdrop of his favorite spots in his home state of New Jersey.

Wally Hinkamp and Donna Hinkamp Warren
IndependentsAug 26, 2025
Hinkamp Jewelers Celebrates 70 Years

The family-owned jeweler in Fayetteville, North Carolina, is in the hands of the second generation.

Emmanuel Raheb
ColumnistsAug 26, 2025
Back to School, Back to Style: Why August is Prime Time for Self-Gifting

In his latest column, Emmanuel Raheb shares tips for encouraging customers to treat themselves to new jewelry.

London Jewelers Rolex East Hampton Boutique Exterior
WatchesAug 25, 2025
London Jewelers Brings Rolex to Historic Hamptons Home

The new stand-alone Rolex boutique is housed in the former Odd Fellows Hall, a landmark built in 1897.

Madison Keys
CollectionsAug 25, 2025
Tennis Star Madison Keys Has the Perfect Necklace for the US Open

The Brilliant Earth ambassador co-designed a diamond medallion featuring meaningful symbols.

Marie Lichtenberg emerald and diamond locket on the 18-karat gold “Rosa” chain
TrendsAug 25, 2025
Amanda’s Style File: That’s a Wrap

Wrap jewelry is more than just a trend; it’s the perfect motif for the coming season of layering, scarves, and pumpkin spice.

WatchTime New York
WatchesAug 25, 2025
WatchTime NY Show Returns for 10th Anniversary Edition

The three-day watch collector show, coming this October, will feature 44 exhibiting brands, as well as a new dinner experience.

Sriram “Ram” Natarajan
GradingAug 22, 2025
Former Head of GIA India Promoted to Oversee Global Operations

Sriram “Ram” Natarajan is now GIA’s senior vice president of laboratory operations and is based out of the lab’s headquarters in Carlsbad.

Retrouvaí Diamond Vein Bond Collar
CollectionsAug 22, 2025
Piece of the Week: Retrouvaí’s ‘Diamond Vein Bond’ Collar

The one-of-a-kind collar represents the beauty of imperfection and the strength to rebuild.

Kendra Scott
MajorsAug 22, 2025
Kendra Scott Returns as CEO of Her Jewelry Empire

Three C-suite executives, including former CEO Tom Nolan, have resigned as part of what the company describes as a “transition.”

Claire’s storefront
MajorsAug 21, 2025
Claire’s Finds Buyer, Could Save up to 950 Stores

The retailer, which recently filed Chapter 11, inked a deal to sell its North American business and intellectual property.

Target CEO Brian Cornell and COO Michael Fiddelke
MajorsAug 21, 2025
Target Names New CEO as Sales Continue to Lag

Target CEO Brian Cornell will step down in February and be replaced by the company’s chief operating officer, Michael Fiddelke.

Jewelers of America in Washington DC
Policies & IssuesAug 21, 2025
JA, IDMA Talk Tariffs With Execs in DC

The group met with the president's senior trade advisor earlier this week to express the industry’s concerns about the effects of tariffs.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy