Watches of Switzerland Shares Jump on Strong US Demand
The luxury retailer expects annual operating profit to reach up to 155 million pounds following a 24 percent revenue surge in the United States. Wealthy American consumers drove growth for brands like Rolex and TAG Heuer, helping the company exceed market expectations despite previous tariff concerns.
Watches of Switzerland Group shares rose 14% after forecasting annual operating profit between £152M and £155M, beating analyst estimates of £148.2M. Revenue in the United States surged 24% to $1.24B, representing more than half of total group sales. The performance reflects resilient demand among affluent American shoppers amid a post-pandemic slowdown in luxury retail.
The United Kingdom was overtaken by the American market as the group's top revenue source. CEO Brian Duffy told Reuters that higher-income shoppers in the region feel positive about their wealth, and that sentiment is benefiting the luxury watch and jewellery category.
