Watches of Switzerland Group has released its first-half financial results for the fiscal year 2025 (H1 FY25), revealing a slight dip in luxury watch revenues, despite strong performance in the United States.
For the 26-week period ending on October 27, 2024, the company reported group revenues of £785 million (€948.61 million), marking a 3% increase compared to the same period last year. While the US market helped balance out a downturn in the UK, the group saw a decrease in luxury watch revenues, down 3%. This drop was attributed to one-time increases in showroom stocks, particularly in the US, during the first quarter of the financial year.
Adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) dropped 7% to £87 million (€105.12 million), with statutory operating profit falling 23% and profit before tax declining 39%.
Luxury jewellery revenues also saw a decline of 6%, driven largely by a weaker performance in the US, where the commodity bridal category struggled and previous year’s inventory was cleared. In contrast, the UK market bucked this trend with a 4% increase in luxury jewellery revenue. Despite these challenges, the core brands continued to perform well, particularly in the vintage and Certified Pre-Owned divisions.
The company, which carries high-end watch brands such as Rolex, Patek Philippe, and Breitling, is benefiting from its growing Certified Pre-Owned programme and robust pre-owned sales. CEO Brian Duffy highlighted the success of the newly acquired Roberto Coin business in North America, noting that it has performed strongly and is making a solid contribution to the group. He also pointed to the ongoing integration of Roberto Coin and the progress of their growth plans.
“We are encouraged by the performance of the Rolex Certified Pre-Owned programme and sustained growth in our overall pre-owned business,” Duffy said. “Additionally, we acquired Hodinkee, a leading global digital platform for luxury watch enthusiasts, which further strengthens our online sector leadership.”
As part of its centenary celebrations, Watches of Switzerland has also partnered with independent watchmakers Craig and Rebecca Struthers to create a Centenary Piece Unique, blending artistry with tradition. This limited-edition timepiece, alongside other anniversary pieces like the Serpenti Seduttori watch with Bulgari, highlights the company’s commitment to innovation and heritage.
Craig Bolton, president of Watches of Switzerland Group UK and Europe, expressed pride in the collaboration, noting that it was a “new milestone” for the business and a testament to the company’s rich watchmaking legacy.
Looking ahead, Watches of Switzerland continues to focus on showroom transformations and expanding its presence in the luxury market, with encouraging trading reported for Q3.
