FinancialsDec 05, 2024
Signet Jewelers’ Q3 Sales Slide Amid Slow Engagement Ring Sales, Tech IssuesFinancialsDec 06, 2024
Roberto Coin Acquisition Gives Watches of Switzerland a Boost in H1
The retailer’s jewelry sales doubled, with branded jewelry performing especially well.
Watches of Switzerland Group saw sales increase 3 percent year-over-year in the first half of the fiscal year, with the recently acquired Roberto Coin bolstering the company’s jewelry sales.
London—Watches of Switzerland Group posted sales growth in the first half of the year, citing strong demand in the U.S. and U.K. and its acquisition of Roberto Coin as the driving factors.
For the first half of the fiscal year, ending Oct. 27, the retailer reported £785 million ($1 billion) in total revenue, up 3 percent year-over-year (4 percent at constant currency rates).
In the U.S., revenue climbed 8 percent (11 percent at constant currency rates), totaling £355 million ($425.9 million).
Revenue in the U.K. and Europe fell 1 percent year-over-year to £430 million ($548.6 million).
Revenue from sales of luxury watches fell 3 percent in the first half (2 percent at constant currency rates).
“In Q1, we increased showroom stock levels of key brands to enhance displays and client experience, particularly in the U.S.,” said CEO Brian Duffy.
After the stock rebuild, Watches of Switzerland’s U.S. revenue shot up 24 percent in Q2 and U.K. revenue turned positive.
“Price increases from brands in the half have been modest, and this has also positively influenced consumer sentiment,” he said.
Demand for its key watch brands remained strong, it said, and certified pre-owned and vintage watches also are selling.
Rolex Certified Pre-Owned is now its second-biggest luxury watch brand, the company said.
Luxury watches represent 83 percent of Watches of Switzerland’s total revenue, down slightly following the company’s acquisition of jewelry brand Roberto Coin.
Related stories will be right here …
For the first half of the fiscal year, ending Oct. 27, the retailer reported £785 million ($1 billion) in total revenue, up 3 percent year-over-year (4 percent at constant currency rates).
In the U.S., revenue climbed 8 percent (11 percent at constant currency rates), totaling £355 million ($425.9 million).
Revenue in the U.K. and Europe fell 1 percent year-over-year to £430 million ($548.6 million).
Revenue from sales of luxury watches fell 3 percent in the first half (2 percent at constant currency rates).
“In Q1, we increased showroom stock levels of key brands to enhance displays and client experience, particularly in the U.S.,” said CEO Brian Duffy.
After the stock rebuild, Watches of Switzerland’s U.S. revenue shot up 24 percent in Q2 and U.K. revenue turned positive.
“Price increases from brands in the half have been modest, and this has also positively influenced consumer sentiment,” he said.
Demand for its key watch brands remained strong, it said, and certified pre-owned and vintage watches also are selling.
Rolex Certified Pre-Owned is now its second-biggest luxury watch brand, the company said.
Luxury watches represent 83 percent of Watches of Switzerland’s total revenue, down slightly following the company’s acquisition of jewelry brand Roberto Coin.
Watches of Switzerland acquired the North American arm of Roberto Coin in a $130 million deal in May, making it the brand’s exclusive distributor in the United States, Canada, Central America, and the Caribbean.
Following the acquisition, the retailer’s jewelry sales more than doubled in the first half, up 103 percent (up 104 percent at constant currency rates).
Roberto Coin posted £51 million ($65 million) in revenue in the first half.
“Our newly acquired Roberto Coin business in North America has traded strongly since acquisition and is now making a good contribution to our group. Integration is progressing well, and growth plans are underway,” said Duffy.
The company said it has received positive feedback from its retail partners as it integrates Roberto Coin, noting encouraging sell-in and sell-out data.
It’s exploring new mono-brand boutiques in the U.S. and shop-in-shops for retail partners. A website upgrade also is in progress.
Excluding Roberto Coin, luxury jewelry revenue was down 6 percent overall, though the U.K. market saw a 4 percent increase.
The company hosted exclusive jewelry launches in the U.K. for David Yurman and Repossi.
In the U.S., jewelry revenue was impacted by “the squeeze on the commodity bridal category and prior- year clearance activity,” said the company.
Branded jewelry “significantly” outperformed non-branded jewelry, Watches of Switzerland said, posting double-digit growth in retail and online.
Watches of Switzerland also highlighted its recent acquisition of Hodinkee, saying the integration of the editorial platform for watches is in line with its expectations.
It’s upgrading its U.S. website and will have a link in place to drive Hodinkee traffic to the Watches of Switzerland U.S. website.
Looking to the year ahead, the retailer reiterated guidance of £1.67 billion to £1.73 billion ($2.13 billion to $2.21 billion), with sales growth of 9 to 12 percent at constant currency rates.
“We are well positioned for a good holiday trading period, having made an encouraging start in November,” said Watches of Switzerland.
Editors' Picks
Sponsored by
More on Financials
The Latest
TrendsFeb 12, 2025
5 Engagement Ring Trends Expected to Rule 2025From chunky bands to vintage diamond cuts and bezel settings, these are the trends experts are seeing take over the bridal market.
EditorsFeb 12, 2025
Q&A: Marion Fasel on the History of Diamond Engagement RingsFasel discusses researching her new book, the most enduring engagement ring styles, and the diamond shape Taylor Swift will pick.
CollectionsFeb 12, 2025
De Beers Jewellers’ New High Jewelry Pays Homage to the Beauty of TreesThe “Essence of Nature, Chapter One” collection echoes trees and roots, literally and figuratively, through three sets of high jewelry.
Brought to you by
3 Ways to Capitalize on America’s Newfound Love of Colored GemsColored stones are stepping into a jewelry spotlight typically reserved for diamonds—are you ready to sell color?
SourcingFeb 12, 2025
SRK Announces Notable Reduction in Greenhouse Gas EmissionsLate last year, the India-based diamond manufacturer recorded emissions per carat that are 34 percent lower than the industry average.
Weekly QuizFeb 06, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
ColumnistsFeb 12, 2025
Peter Smith: 9 Store Manager Archetypes Smith details the types of store managers he’s encountered, with the goal of helping retailers find a person who’s a fit for their store.
TechnologyFeb 12, 2025
MyGemma Now Offers Consignment ServiceThe secondhand reseller stocks pre-owned designer jewelry and watches, along with other luxury goods.
Brought to you by
3 New Year’s Resolutions for Jewelry Lovers The new year feels like a clean slate, inspiring reflection, hope, and the motivation to become better versions of ourselves.
CollectionsFeb 12, 2025
Ghirardelli Is Slipping Chocolate Into a Locket This Valentine's DayThe limited-edition “Chocolocket” fits a mini square of Ghirardelli chocolate inside.
Events & AwardsFeb 11, 2025
JA Seeking Nominations for Its Next ‘20 Under 40’ ClassThe program has been expanded to include a “20 Under 40” list for jewelry suppliers and is accepting nominations through Feb. 19.
CrimeFeb 11, 2025
2 Men Charged With Selling Stolen Jewelry, Watches in NYC Diamond DistrictOne of the men is said to be connected to the South American crew charged with burglarizing Cincinnati Bengals QB Joe Burrow’s home.
WatchesFeb 11, 2025
Bulgari, MB&F Launch Reimagined ‘Serpenti’ WatchThe brands immersed one of Bulgari’s most famous historical icons in MB&F’s ultra-mechanical universe of haute horlogerie.
MajorsFeb 11, 2025
Midas Chain Releases First Diamond CollectionThe jewelry manufacturer has launched more than 100 pieces made with natural diamonds.
SurveysFeb 10, 2025
Jewelry Resilient in 2024 Even As Luxury Sales Slipped, Says Bain & Co.Bain & Co.’s latest report on the luxury market examines why the market’s customer base is shrinking and how to appeal to consumers in 2025.
CrimeFeb 10, 2025
Counterfeit Jewelry Kept Kentucky Customs Agents Busy in January, CBP Says Officers in Louisville seized 28 shipments of fake jewelry and watches that would have been worth more than $27 million if genuine.
CollectionsFeb 10, 2025
Hearts on Fire Flips Jewelry ‘Inside Out’ in New CollectionThe collection centers on the art of tailoring, inspired by designs that feature folded fabrics, such as a tuxedo lapel.
Events & AwardsFeb 10, 2025
Select Jewelry Show Heads to NashvilleThe trade show has added a new location to its fall line-up.
CollectionsFeb 07, 2025
Piece of the Week: Jade Trau’s ‘Ladybird’ CharmFrom the brand’s latest collection of lucky charms, the ladybird is seen as a bearer of good fortune and a ward against negative energy.
SourcingFeb 07, 2025
De Beers’ Production Guidance Slashed, Anglo Anticipates Another WritedownThe moves come amid a prolonged period of lower demand for diamonds, particularly in China.
Events & AwardsFeb 07, 2025
Registration Opens for Stuller’s Bench Jeweler WorkshopThe workshop returns in March, along with the “Battle of the Benches” mini challenge series.
IndependentsFeb 06, 2025
106-Year-Old Jewelry Store Saved by New OwnersTwo attorneys purchased Windsor Jewelry, which was set to close, and will retain all existing staff at the downtown Indianapolis store.
MajorsFeb 06, 2025
Oscar Heyman Employee Celebrates 60 Years With the Company Adam Heyman joined the family business in 1965, just weeks after graduating from Columbia Business School.
IndependentsFeb 06, 2025
Hamilton Jewelers Revamps Palm Beach BoutiqueThe fourth-generation, family-owned jeweler has given its Worth Avenue store a new look.
CrimeFeb 05, 2025
‘The Timepiece Gentleman’ Sentenced to 5-Plus Years Behind Bars Luxury watch dealer Anthony Farrer pleaded guilty late last year to defrauding clients in a scheme with Ponzi-type elements.
TrendsFeb 05, 2025
Amanda’s Style File: Feeling Fabulous in FebruaryCelebrate February birthstones and the gem shows in Arizona this month with a versatile stone like amethyst.
MajorsFeb 05, 2025
DCA Promotes Kristen Scheetz to Director of Education, MembershipScheetz has been with the nonprofit since 2007.
SourcingFeb 04, 2025
New Deal With Botswana Is Done, De Beers Confirms The agreement will allocate an increasing proportion of the country’s rough diamonds to the government of Botswana over the next decade.
