Watches of Switzerland has posted a “record” year of revenue and profitability, entering 2024 “significantly ahead” of what it previously forecast as strong momentum across the US, UK and Europe continues.
Watches of Switzerland reported adjusted EBITDA of £201m for the full year to April 30, 2023, which was up 24% year on year.
The luxury watch retailer reported a 25% increase in group revenue to reach £1.5bn for the period.
Revenue for the UK and Europe during the period also jumped 10% from £810m in the same period last year to £890m.
Watches of Switzerland also credited the year’s performance to “further investment in [its] showroom network” and an “improved performance” in traffic across its airport portfolio.
In terms of outlook, the retailer confirmed that its guidance for the 2024 full financial year “remains unchanged” despite the “current macroeconomic sentiment”.
Looking ahead, Watches of Switzerland confirmed “an exciting schedule of new showroom projects”, including the opening of 20 new mono-brand boutiques across the US, UK and Europe.
Chief executive Brian Duffy said: “Our record performance is testament to our unique combination of longstanding luxury brand partnerships, dedicated colleagues focused on delivering exceptional client service and our well-invested network of showrooms, which are supported by leading multichannel capabilities.
“Luxury watch demand remains strong and continues to outpace supply, with our client registration lists extending and average selling prices growing.
“We start the new financial year with some great projects, with the opening of our Watches of Switzerland showroom at American Dream in New Jersey, upgrading and relocating our Mayors showroom in Dadeland, Florida, the first opening of our new Mappin & Webb contemporary showroom design, and five mono-brand boutiques in the UK and Europe, including our first showroom in Germany.
“We reiterate our guidance for FY24, which reflects our continued confidence in the strength of our organic growth strategy, while we continue to actively pursue additional inorganic growth opportunities to enhance that growth.
“We enter FY24 significantly ahead of where we expected to be when we presented our long-range plan in 2021 and we look forward to presenting our long-range plan update, which will outline our growth ambitions beyond FY26 to FY28, in autumn this year.”
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