Watches of Switzerland eyes new store openings after ‘strong finish’ to year

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Watches of Switzerland has recorded strong sales across both the UK and the US, with momentum continuing into the new financial year.

Revenues rose 13.3% in constant currency to £905.1m in the 53 weeks to May 2, in line with guidance despite the extended UK lockdown.

Watches of Switzerland reported that UK sales were up 3.6% for the year, despite enforced store closures for 26 weeks of the year and “significantly reduced tourism and airport business”.

The retailer also said that it achieved a “significant step-up” in ecommerce sales, up 120.5% year on year.

In the US market, sales soared 38.5% compared with 2020 and 64.8% compared with the previous year as the relaunch of luxury jewellery fascia Mayors, alongside other investments, exceeded the retailer’s expectations.

Watches of Switzerland is continuing with plans to open a number of new store formats in the coming year, including more Mayors stores in Florida and Georgia, mono-brand stores in both the US and UK markets and the rollout of its elevated Goldsmiths Luxury store format.

Chief executive Brian Duffy said: “We finished the year strongly and enter the new financial year with real momentum, continuing to prove the value of our highly differentiated model.

“Our teams have adapted and pushed on, stepping up to the challenges and opportunities with inspirational enthusiasm and positivity. I am very proud of what they have achieved and thank them for their immense contribution.

“Throughout the year, we either met or exceeded our guidance despite the changing circumstances, in particular the much longer-than-expected last lockdown in the UK.

“In the UK, we delivered a very robust performance, overcoming a total of 26 weeks of store closures and hugely reduced travel and tourism business. In the US, we generated an outstanding result with very strong momentum.

“Looking ahead, we are confident in our plans to continue investing for growth and to sustain the momentum we have built into FY22 and beyond. We look forward to providing an update at our full-year results on our strategy to further enhance our leading position in the UK and become a leader in the US luxury watch market.”