Watches of Switzerland Group plc reported record full-year revenue of £1.83 billion for the 53 weeks ended 3 May 2026, a 13% increase at constant currency, with adjusted EBIT expected to land between £152 million and £155 million, ahead of previous guidance, sending the stock up more than 15% at the opening bell to £609 per share.
The standout story of the year was the United States, where revenue surged 24% in constant currency to $1.24 billion, crossing a milestone that Chief Executive Brian Duffy described as a major turning point: for the first time in the company’s history, the US is now a larger market by revenue and by profit contribution than the UK and Europe combined.
US revenue reached approximately £927 million in FY26, compared with roughly £901 million from the UK and European business combined, completing a transformation that Duffy said has taken eight years from the company’s first entry into the American market and validated the strategy of building a high-service, brand-authorised physical retail network in the country’s most concentrated luxury spending markets.
Duffy attributed the US growth primarily to the confidence of ultra-high-net-worth American consumers, telling The Times that rising stock markets and property appreciation in New York, Las Vegas, and Florida had left wealthy Americans “clearly feeling pretty good about life,” and that the jewellery business in particular benefited from this, with the CEO adding that “America has a love affair with gold, and we are happy to participate.”
Luxury watches remained the core revenue driver, generating £1.5 billion across the group at 13% constant currency growth, while luxury jewellery grew faster at 18% to reach £240 million as the Roberto Coin business, for which Watches of Switzerland holds exclusive distribution rights across the US, Canada, and Central America, delivered strong performance in both retail and wholesale channels.
Pre-owned watches were another clear highlight, with revenue growing 22% year-on-year aided by the continued rollout of Rolex Certified Pre-Owned in the UK, while ecommerce revenue climbed 21% following investment in US digital infrastructure and the relaunch of the Hodinkee app.
Physical retail investment remained aggressive, with £67 million spent on expansionary capital projects including a new showroom in Minneapolis, 12 showroom relocations or expansions across the UK and US, a new Mappin & Webb jewellery boutique in Manchester, and an AP House in Manchester operated jointly with Audemars Piguet.
The company acknowledged monitoring geopolitical risks closely, particularly around Swiss watch import tariffs into the US and the impact of the Middle East conflict on tourism, but stressed that it has minimal direct exposure to either Middle Eastern tourists or conflict-affected markets.
Net debt fell to approximately £57 million from £96 million the prior year, though the company’s acquisition programme including the purchase of Deutsch & Deutsch, which added four Rolex-anchored showrooms in Texas, means the balance sheet has moved away from the net cash position it held in earlier years.
For FY27, Watches of Switzerland guided to revenue growth of 5% to 10% in constant currency and projected adjusted EBIT margin improvement of 40 to 80 basis points, with management entering the new fiscal year describing themselves as confident and carrying strong momentum across both of its core luxury categories.
