Watches of Switzerland Group plc (LSE: WOSG) closed at 460.60p on Thursday, up just 0.09% on the day, as the stock continued to digest a blockbuster trading update published the previous week.
The luxury watch and jewellery retailer had surged more than 15% on 14 May after announcing that full-year revenue for the 53 weeks ended 3 May 2026 was expected to reach a record £1.83 billion, up 13% at constant currency.
Adjusted earnings before interest, taxes, and amortisation were guided to land between £152 million and £155 million, ahead of previous guidance, prompting widespread upgrades from City analysts.
The standout story of the full-year update 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 business.
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, a transformation that has taken place across just eight years of US expansion.
New York, Florida, and Texas emerged as the strongest performing regions during the fourth quarter, with broad-based demand across luxury watches and jewellery providing consistent momentum.
Pre-owned watch sales rose 22% for the year, supported by the continued rollout of Rolex Certified Pre-Owned across the group’s network, while ecommerce revenue climbed 21% following investment in US infrastructure and the relaunch of Hodinkee.
UK revenue grew 5% over the full year, with fourth-quarter trading described as solid, even as gold price inflation and import tariff uncertainty created some pricing complexity.
The group’s portfolio of 191 showrooms, including 81 dedicated mono-brand boutiques, gave it a significant structural advantage over smaller competitors in both the UK and US markets.
Broker Peel Hunt described the update as showing “rare momentum” and indicated that consensus forecasts for the new 2027 financial year were likely to move higher.
Thursday’s flat close reflected a natural pause after a strong run from the lows seen earlier in 2026, when the stock was trading below 400p.
