Watches of Switzerland sales increase despite ‘difficult consumer environment’

In a trading update for the 13 weeks to October 31, 2023, Watches of Switzerland reported a total sales of £379m, up 5% in constant currency terms and 1% in reported terms as compared to the same time last year.

Sales across the UK and Europe amounted to £214m while the US market contributed £165m to total sales, representing an 11% growth in constant currency terms and 4% growth in reported terms.

Looking ahead the luxury watch retailer said its profit guidance remains unchanged as it expects revenue to be in the range of £1.65bn and £1.70bn in 2024.

Chief executive Brian Duffy said: “I am pleased to report an improved Q2 trading performance, notwithstanding the difficult consumer environment. Our proven business model, the strength of our brand partnerships, international scale, bold marketing campaigns and dedication to exceptional client service, continues to drive the business forward.

“We sustained strong momentum in the US where we delivered +11% constant currency sales growth. We are also encouraged by the early response to the Rolex-certified pre-owned programme which launched in the UK in September, following the US launch in July, as clients react strongly to the authenticity and guarantee of quality that the certified pre-owned seal represents. The UK performance was delivered despite the impact of several high turnover Goldsmiths and Mappin & Webb showrooms being closed for upgrade and trading from pop-up locations during the quarter.  These will reopen pre-Christmas. The UK business exited the quarter strongly, returning to year-on-year growth in October”