Watches of Switzerland 'cautiously optimistic' as Q4 sales rise 4%

(Sharecast News) - Luxury timepiece retailer Watches of Switzerland on Thursday said it was "cautiously optimistic" about future trading after a 4% rise in sales in the final quarter of its financial year driven by the US. Group revenue came in at £380m in the 13 weeks to April 30. US sales were up 14% to £190m but fell 4% to the same figure in the UK and Europe due to a lack of wealthy tourist spending in response to the British government's ban on VAT- free shopping for visitors.

Full-year group revenue rose 2% on a constant-currency basis to £1.53bn as a strong rise in the US was offset by macroeconomic conditions in the UK. WoS forecast adjusted operating profit of between £133m - and £136m, down from 2023's £165m.

Looking ahead for fiscal 2025, the seller of Rolex watches expects adjusted core earning to increase by just 0.2 -0.6%.

Reporting by Frank Prenesti for Sharecast.com