Watches of Switzerland posted rising sales and profits despite US tariffs of up to 39% on Swiss goods.
Swiss luxury watch demand held firm in the US, as half-year results showed resilient high-end spending.
The UK-listed retailer, known for selling Rolex, Omega, and Cartier, reported revenue of £845 million for the 26 weeks to 26 October 2025, rising 10% in constant currency and 8% in reported terms.
Adjusted earnings before interest and tax increased to £69 million, growing 6% in constant currency.
Statutory profit before tax jumped 50% to £61 million.
These gains arrived even as steep US tariffs raised the cost of Swiss-made imports.
Washington imposed a 39% tariff on Swiss imports on 7 August 2025, then reduced it to 15% in November after talks with Bern.
Demand for high-priced Swiss watches still increased year-on-year, even with the elevated 15% rate.
US Market Drives Overall Growth
Chief executive Brian Duffy said the company delivered a strong first half with rising revenue, solid profitability, strong free cash flow, and healthy returns on capital.
The US produced standout numbers by lifting revenue 20% in constant currency to £409 million, representing 48% of group revenue and 59% of adjusted EBIT.
Duffy called the US the main engine of performance, citing broad demand across brands and categories while noting that the region now accounts for almost 60% of profits.
Brands raised prices in the US to counter higher costs from tariffs, gold prices, and currency movements, yet demand for core Swiss names stayed firm.
Luxury watches continued to anchor the group, generating 84% of revenue.
The company said demand for leading Swiss brands kept outpacing supply, with rising Registration of Interest lists and rapid growth in the US Rolex Certified Pre-Owned program.
Expansion Highlights Growing US Reliance
The results revealed growing dependence on US consumers for Swiss watchmakers and their retail partners.
UK and Europe revenue increased only 2% to £436 million, while the US delivered broad growth across labels and price tiers.
The group supported this expansion with investments in new boutiques, ecommerce, and the integration of US jewellery brand Roberto Coin.
Duffy said second-half trading began strongly and the group entered the holiday period well positioned and confident in the company’s underlying strength.
He added that leadership remained aware of global economic and geopolitical risks even as they maintained a robust full-year outlook.
