Watches of Switzerland says UK and US see “consistently strong trading” in H1

Watches of Switzerland Group (WOSG) updated on its recent trading on Wednesday with the former high-flyer delivering good news about its core UK and US markets. This is despite the tariff carnage of recent months and was a positive development after a series of earlier weaker reports had sent its share price down over 40% this year alone.

The company last week became the latest big name to urge the government to restore VAT-free shopping for tourists (the lack of which has been dubbed a ‘tourist tax’). But it said it’s “pleased with our performance in the 18 weeks to 31 August 2025 and are on track to deliver a good H1 FY26 in line with our expectations. We have seen consistently strong trading throughout the period, particularly in the US, despite the announcement of increased tariffs on Swiss imports. The stability we saw in the UK luxury watch and jewellery markets during H2 FY25 has continued, and we have delivered good year-on-year growth. Registration of Interest lists continue to grow in both markets”.

It was also upbeat about “the success of the flagship Rolex Boutique on Old Bond Street, London, which is exceeding our expectations”. We’re told that the response from clients “has been excellent and traffic levels and conversion rates are very good. The Rolex Certified Pre-Owned salon on the lower ground floor is fast becoming the destination for Rolex aficionados”.

Clearly the combination of a Bond Street address and the Rolex brand is proving to be a winning formula, even though London shopping tourism remains muted due to the aforementioned tourist tax.

The company’s e-commerce sales have also shown good growth, particularly in the US following the upgrade of its signature webstore.

And the group’s “well-established” Certified Pre-Owned business is “growing well in both markets, and we see significant opportunity for growth in this dynamic category”.

The firm’s earlier acquisition (in May 2024) of Roberto Coin Inc is “performing strongly” too. The company plans to “grow and develop the Roberto Coin brand” and has launched a campaign featuring Dakota Johnson as global brand ambassador. 

Looking at the wider WOSG business, it said that “elevation and brand expansion within our own showrooms is proving very successful. We continue to develop and refine the offering and there are opportunities to extend this to our retail partners”. 

It’s signed leases for three monobrand boutiques and the construction of newly designed boutiques in Miami, New York and Las Vegas is under way with openings due in Q3 of its 2026 financial year, which means they’ll be open before the end of November.

Showrooms remain a big focus for the business and it has recently refurbished Northern Goldsmiths, Newcastle, which has been retailing Rolex since 1919, as well as opening the Audemars Piguet AP House, Manchester, operating as a joint venture. 

The new Mappin & Webb Luxury Jewellery Boutique, Manchester is now complete and opens this week. This jewellery boutique has geographical exclusivity for several luxury jewellery brands, including WOSG’s first De Beers monobrand boutique. 

Outside of its domestic market, the relocated Mayors Lenox, Atlanta also opened last month. And the Q4 FY25 openings of Mayors Jacksonville, Florida and Watches of Switzerland Plano (its first showroom in Texas) “have got off to an encouraging start”.

Further showrooms are being developed/opened for this financial year including the new Watches of Switzerland Southdale, Minneapolis and the relocation of Mayors University Town Center Sarasota, Florida. In the UK, it will complete the Mappin & Webb Birmingham conversion, the relocation of Goldsmiths Merry Hill, Birmingham and the expansion of Goldsmiths Oxford.

There’s a lot of activity happening and some major investment cash going into it. The company didn’t say what impact this is having on profitability and didn’t specify any monetary figures in the outlook it delivered on Wednesday. But it did say that “performance in both markets is encouraging and in line with FY26 guidance provided in July 2025. We do not anticipate any material impact from the US tariffs in H1 FY26 as brand partners have increased inventories as shown by Swiss Watch Exports in July 2025 (+45% vs prior year)”.