Watches of Switzerland Raises 2027 Revenue Guidance After Strong Sales

Watches of Switzerland Group raised its fiscal 2027 revenue guidance to between 7% and 10% at constant currency after reporting a 15% increase in first-half revenue to £974 million. The growth was primarily driven by the United States, where revenue rose 22% to £501 million, and the United Kingdom, where revenue grew 9% to £473 million.

Luxury jewellery outperformed luxury watches, growing 19% overall and 31% within the company's showrooms. The retailer expects adjusted EBIT for the first half to fall between £87 million and £89 million. Additionally, the company significantly reduced its net debt to £24 million, down from £112 million the previous year.

CEO Brian Duffy attributed the results to the company's market position and enduring demand for luxury goods despite an unsettled macroeconomic backdrop. He stated that the first-half performance provides the confidence to narrow the fiscal 2027 guidance toward the upper end of the range.