Watches of Switzerland shares soar as US luxury watch market booms

The UK’s largest luxury watch retailer hailed a 13 per cent jump in revenue to £1.8bn in the year to May

Shares in Watches of Switzerland soared after the company announced record revenue growth, driven by affluent Americans snapping up luxury timepieces.

The UK’s leading luxury watch retailer reported a 13 per cent rise in revenue to £1.8bn for the year ending May, with its US market alone posting a 24 per cent increase to £1.2bn.

Shares in the FTSE 250 company leapt 13 per cent to 600p when markets opened on Thursday, putting the stock up 28 per cent for the year to date.

The retailer had faced headwinds from Trump’s unpredictable tariff policy over the past 18 months, yet has successfully capitalised on booming demand across the Atlantic, which it describes as the world’s largest and fastest-growing luxury watch market.

Watches of Switzerland posted 25 per cent growth in its US retail market, while revenue at Roberto Coin — the Italian luxury jeweller it owns — surged by 22 per cent, as reported by City AM.

The US emerged as the firm’s largest market, with revenue climbing to £927m, while UK revenue grew by five per cent to £901m.

The Leicestershire-based retailer said it had succeeded in strengthening its domestic performance despite consumer confidence falling to a two-year low.

Chief executive Brian Duffy celebrated “a major milestone in the world’s largest and fastest growing luxury watch market, achieved in just over eight years from entering the US”.

He said: “In the UK, performance has improved despite the challenging macroeconomic backdrop, with resilient demand for luxury watches and jewellery.”

The toll being inflicted on some luxury giants by the decline in tourism after the Iran conflict was laid bare last month, when the owners of brands such as Gucci, Louis Vuitton and Birkin saw the situation dent their revenues.

However, Watches of Switzerland insisted it will not be pulled down by the conflict, noting it has minimal exposure to tourist consumers and to the Middle East market.

The company recently snapped up Texas-based luxury jeweller Deutsch & Deutsch and reported strong performance across its four US locations.

The outlets, which predominantly deal in Rolex watches, have delivered £16m in revenue since the acquisition, while the transaction pushed Watches of Switzerland’s net debt up to £57m.

The business was established in 1924, when Maurice Lane opened its first office in Ludgate Hill, London.