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Watches of Switzerland Raises Sales Outlook on U.S. Rebound and Tariff Relief

Stronger U.S. demand following tariff relief lifted holiday-quarter trading.

Overview

  • Guidance for full-year sales growth was increased to 9–11% in constant currency, up from 6–10%, after a robust fiscal third quarter ended Jan. 25.
  • Watches of Switzerland expects second-half EBIT margins to improve versus the first half, while keeping 2026 capital expenditure at £65–70 million.
  • U.S. performance led the gains, and the region now contributes nearly 60% of the company’s profitability.
  • The company expanded its footprint with a majority stake in Deutsch & Deutsch, adding four Rolex-anchored showrooms in Texas.
  • Industry data show Swiss watch exports rose 3% in December to 2.1 billion francs as shipments to the U.S. rebounded following a cut in U.S. import duties on Swiss watches.