Financials

Watches of Switzerland’s Q3 Sales Dip Due to ‘Tough’ Holiday Season

FinancialsFeb 08, 2024

Watches of Switzerland’s Q3 Sales Dip Due to ‘Tough’ Holiday Season

While sales rose in the U.S. market, demand for watches and jewelry was slow in the U.K.

Watches of Switzerland store in the Mall of America
Watches of Switzerland’s store in the Mall of America in Bloomington, Minnesota. The company reported declining sales in the third quarter, with holiday sales lower than expected.
London—Watches of Switzerland posted declining sales in its third quarter following a difficult holiday season.

The retailer had warned of a potential sales dip in a trading update last month and lowered its full-year guidance.

While it had a positive start to Q3, which includes the months of November and December, it described conditions as “volatile” around Christmas.

“Trading in the run-up to and beyond Christmas was tougher than originally expected, particularly in the U.K. amidst slower demand for luxury discretionary purchases,” said the company.

For the third quarter ending Jan. 28, the company posted £397 million ($500.2 million) in total revenue, down 3 percent year-over-year at actual rates and 1 percent at constant currency rates.

For the first nine months of the year, revenue totaled £1.16 billion ($1.46 billion), down 1 percent year-over-year at actual rates and up 1 percent at constant currency rates.

The company’s luxury jewelry category struggled, with sales growth in luxury branded jewelry offset by a weaker performance in its non-branded jewelry segment.

Revenue in the category was down 18 percent in the quarter (down 16 percent at constant currency rates) and down 17 percent in the first nine months (down 15 percent at constant currency rates).

Luxury watches account for the majority of Watches of Switzerland’s revenue, up to 85 percent from 84 percent in the prior Q3.

Quarterly sales in the luxury watches category slipped 1 percent year-over-year (up 1 percent at constant currency rates) while sales in the first nine months were flat (up 2 percent at constant currency rates).

Watches of Switzerland’s “services/other” segment saw growth, up 4 percent in the quarter (up 5 percent at constant currency rates) and up 5 percent in the first nine months (up 6 percent at constant currency rates).

E-commerce sales fell 15 percent at actual rates, impacted by the mix of products and the U.K. market’s performance, said the company. 

 Related stories will be right here … 

In the United States, sales were strong across all regions, it said, as it gains market share in the fragmented luxury watch market.

Watches of Switzerland’s U.S. revenue grew 3 percent year-over-year in Q3 (up 8 percent at constant currency rates). For the first nine months, U.S. sales grew 5 percent year-over-year (up 10 percent at constant currency rates).

Looking ahead, the company said it expects the challenging conditions to continue through the end of its fiscal year.

Watches of Switzerland’s full-year revenue is expected to range between £1.53 billion and £1.55 billion ($1.94 billion to $1.97 billion), down from its prior guidance of £1.65 billion to £1.7 billion ($2.1 billion to $2.16 billion).

Constant currency revenue growth is forecast at 2 to 3 percent, down from 8 to 11 percent.

As of Jan. 28, Watches of Switzerland had 222 showrooms across the U.S., U.K., and Europe, up from 211 in Q2.

The Latest

Stock image of a man’s hands in handcuffs
CrimeMay 08, 2025
Former NYC Jewelry Store Employee Arrested in 2017 Choking Death of Boss

Michel Desalles allegedly murdered Omid Gholian inside World of Gold N Diamond using zip ties and then fled the country.

2025 Met Gala jewelry
EditorsMay 08, 2025
5 ‘Superfine’ Met Gala Jewelry Moments

Associate Editor Lauren McLemore shares her favorite looks from a night of style inspired by Black dandyism.

instappraise-1.png
Supplier BulletinMay 08, 2025
Instappraise Introduces Game-Changing Trifold Appraisal Format

Sponsored by Instappraise

antique_Vegas_2024_by_headshot_stories_9454.jpg
Brought to you by
Las Vegas Antique Jewelry & Watch Show: Showcasing the Most Collectible Merchandise from Across the Globe

Gain access to the most exclusive and coveted antique pieces from trusted dealers during Las Vegas Jewelry Week.

Exterior of Margot McKinney Beverly Hills Location
IndependentsMay 08, 2025
Margot McKinney Lands in the U.S. With New Boutique

The brand’s first independent location outside of Australia has opened in Beverly Hills, California.

Weekly QuizMay 08, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Cathy Marsh
IndependentsMay 08, 2025
Verragio Announces New Regional Sales Manager

Cathy Marsh will lead the jewelry company’s efforts in the upper Midwest and western United States.

Headshot of Smart Age Solutions CEO Emmanuel Raheb
ColumnistsMay 07, 2025
The Smart Lab: Building a Seasonal Marketing Strategy for Mother’s Day and Beyond

Connecting with your customers throughout the year is key to a successful holiday marketing push.

Supplier Spotlight -Recorded-Webinar.png
Brought to you by
Watch: The Winston Red: GIA Examines the Smithsonian’s Newest Addition

Supplier Spotlight Sponsored by GIA

Gemfields rough emeralds
SourcingMay 07, 2025
Gemfields Says Emerald Sales Improved in Latest Auction

Its commercial-quality emerald sale held last month totaled more than $16 million, up from about $11 million in September 2024.

Logo for “In the Loupe,” Punchmark’s podcast
TechnologyMay 07, 2025
Punchmark’s Latest Podcast Features a Very Special Guest

National Jeweler Editor-in-Chief Michelle Graff joined Michael Burpoe to talk tariffs, consumer confidence, and the sky-high price of gold.

Harwell Godfrey Met Gala brooch with Mediterranean Blue diamond
AuctionsMay 06, 2025
Harwell Godfrey Reimagines 10-Carat Blue Diamond for Met Gala-Ready Brooch

Designer Lauren Harwell Godfrey made the piece as an homage to the 2025 gala’s theme, “Superfine: Tailoring Black Style.”

Jewelers of America 20 Under 40 for 2025
Events & AwardsMay 06, 2025
Here’s Who Made Jewelers of America’s New ‘20 Under 40’ List

Expanded this year to include suppliers, JA’s 2025 list honors 40 up-and-coming professionals in the jewelry industry.

Sissys Log Cabin Fort Smith Arkansas
IndependentsMay 06, 2025
Sissy's Log Cabin Opens New Store

Located in Fort Smith, it’s the Mid-South jeweler’s first store in Northwest Arkansas.

Gunderson’s Jewelers
IndependentsMay 06, 2025
Gunderson’s Jewelers to Be Featured on ‘World’s Greatest’ TV Series

The episode about the family-owned jeweler will premiere May 17.

Zadok Jewelers Austin store
IndependentsMay 05, 2025
Zadok Jewelers Opens Store in Austin

The Houston-based jeweler’s new 11,000-square-foot showroom will include a Rolex boutique.

Nancy Astor Cartier turquoise and diamond tiara
AuctionsMay 05, 2025
Nancy Astor’s Cartier Tiara Heads to Auction

The turquoise and diamond tiara hasn’t been on the market since it was purchased by Lord Astor in 1930.

David DeCook Crater of Diamonds State Park 3.81-carat brown Duke Diamond
SourcingMay 05, 2025
Crater of Diamonds Yields 4-Carat Brown Diamond

“The Duke Diamond” is the largest diamond registered at the Arkansas park so far this year.

Kraft Mac & Cheese x Ring Concierge Forever Macaroni Necklace
TrendsMay 02, 2025
Ring Concierge, Kraft Partner on Mother’s Day Macaroni Necklace

The childhood craft of making dried pasta necklaces for Mother’s Day is all grown up as the 14-karat gold “Forever Macaroni” necklace.

Angely Martinez emerald Promise ring
CollectionsMay 02, 2025
Piece of the Week: Angely Martinez’s Emerald Promise Ring

Set with May’s birthstone and featuring an earthworm, this ring is a perfect celebration of spring.

Stuller 2025-2026 bridal catalog
MajorsMay 02, 2025
Stuller’s New Bridal Catalog Is Here

“Bridal 2025–2026” includes popular styles and a dedicated section for quick pricing references of lab-grown diamond bridal jewelry.

Americut Gems
SourcingMay 01, 2025
Tariffs & Colored Gemstones: Relying on Stock, Considering the Ripple Effect

Though currently paused, high tariffs threaten many countries where gemstones are mined. Dealers are taking measures now to prepare.

Exterior of new David Yurman store in the Miami Design District
MajorsMay 01, 2025
Peek Inside David Yurman’s New Miami Flagship Store

Located in Miami’s Design District, the 4,000-square-foot store is an homage to David and Sybil Yurman’s artistic roots.

Oscar Heyman emerald and diamond necklace
TrendsMay 01, 2025
Amanda’s Style File: 20 Pieces of Emerald Jewelry for May

May babies are lucky indeed, born in a month awash with fresh colors and celebrated with one of the most coveted colored gemstones.

Jewelers of America logo
MajorsMay 01, 2025
Jewelers of America Opens Applications for 2025 Scholarships

The deadline to apply for the Seymour & Evelyn Holtzman Bench Scholarship is June 12.

Stock image of an empty clothing store
SurveysApr 30, 2025
Consumer Confidence Hits Pandemic-Level Low Amid Tariff Concerns

What’s really worrying U.S. consumers isn’t the present situation; it’s what the economy is going to look like six months from now.

2025 Instore Jewelry Show Graphic
Events & AwardsApr 30, 2025
Instore Show Debuts New Name, Look, and Focus

Now called The Instore Jewelry Show, it will include holiday-focused education, interactive workshops, and a window display contest.

GemWorld GemGuide logo
SourcingApr 30, 2025
GemGuide Has a New Pricing Chart for Colombian Emeralds

It includes pricing for unenhanced Colombian emeralds in the fine to extra fine range.

×

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