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Watches of Switzerland Group PLC on Thursday reiterated its annual guidance after a ‘strong’ first half, amid US demand. The Leicester, England-based watch and jewellery retailer said pretax profit shot up 50% to £60.9 million in the half-year that ended October 26 from £40.5 million a year prior. Revenue advanced 7.7% to £845.1 million from £784.8 million. ‘We have delivered a strong first half, with group revenue up 10% in constant currency, and good levels of profitability,’ Chief Executive Officer Brian Duffy said. ‘The US remains the key driver of our performance, with robust demand across brands and categories, and the region now makes up almost 60% of our profitability. One year in, we are even more excited about the scale of the opportunity for Roberto Coin and Hodinkee.’ Watches completed the $130 million acquisition of Roberto Coin Inc, an associate company of Roberto Coin Spa, in May 2024. It bought Hodinkee, a digital media firm for watch-related content, later that year for an undisclosed sum. UK trading has been ‘resilient’ despite a tricky market, Duffy added. The CEO continued: ‘The second half of the year has started well. Trading is in line with expectations, and we are well placed as we enter the holiday trading period. Whilst we remain mindful of the external economic and geopolitical environment, we are confident in the strength of our business and our differentiated offering, and have reiterated our FY26 guidance.’ Watches of Switzerland still expects constant currency revenue growth between 6% and 10% for the full-year,. It expects an adjusted earnings before interest and tax margin that ranges between a 100 basis point fall and a flat outcome from 9.1% in financial 2025. The adjusted Ebit margin In the first half shrunk on-year to 8.1% from 8.4%. In November, the US and Switzerland reached an agreement Friday to sharply lower tariffs imposed by President Donald Trump, officials said, with the Alpine nation vowing to invest $200 billion in the US to win over the White House. Trump shocked Switzerland in August when he imposed a 39% duty on imports of goods from the country, among the highest in his global tariff blitz. Switzerland’s government said it and the US have reached an agreement where US tariffs will be slashed to 15% from their current 39% level. Watches of Switzerland CEO Duffy welcomes ‘the recent reduction’. The announcement is a ‘positive development for the sector’. Shares in the company were up 0.2% at 476.80 pence each in London on Thursday morning. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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