Watches of Switzerland sparkles in first half and acquires shop portfolio

Watches of Switzerland Group, which is led by Glasgow-born chief executive Brian Duffy, has reported double-digit growth in its interim revenue and a 112 per cent jump in profits, also acquiring four showrooms.

The firm said demand continues to exceed supply on Rolex in particular. Picture: contributed.

The firm said in its half-year results – its first as a listed company after its June flotation – saw group revenue up 17.3 per cent to £428.7 million.

UK revenue was up by 10.6 per cent to £317.6m and like-for-like sales up 11 per cent, with “strong” demand and growth in both showrooms (up by 10.4 per cent) and online (a 12 per cent jump).

Luxury watch revenue grew by more than a fifth to £365.5m, although luxury jewellery sales were down by 2.5 per cent to £31.5m.

Brian Duffy welcomed strong progress in both the UK and US markets. Picture: contirbuted.

Adjusted pre-tax profit of £26.5m was up 112 per cent, and adjusted basic earnings per share came in at 9.3p, up 4.5p.

“The growth in revenue and profitability is testament to the distinctive luxury experience we provide. Customers continue to react very positively to our showroom portfolio elevation programme – as reflected in increased average selling price, conversion rates, and sales uplift.”

The group in a separate announcement said it has agreed with Fraser Hart to buy four luxury watch and jewellery showrooms – Stratford, Brent Cross, Kingston and York – trading under the latter brand name.

Duffy commented: “These showrooms will be renamed as either Watches of Switzerland or Mappin & Webb and the product ranges elevated to all luxury. With a good project pipeline, we are well positioned to deliver against our strategic targets going forward.”