Watches of Switzerland Group (WOSG) investor relations material

Strategic growth pillars and market overview

• Six strategic pillars drive sustainable, profitable growth: showroom investment, certified pre-owned, e-commerce, luxury jewelry, client experience, and acquisitions.

• Maintains UK market leadership and has built a $1.2bn US luxury platform, with US now representing 51% of sales and a 26.4% CAGR in the US.

• Diversification across luxury watches, jewelry, pre-owned, and digital channels, with ongoing investment in showrooms, digital capabilities, and client experience.

• Pre-owned segment has grown from 1.6% to 8.3% of sales since FY 2019, with 77% of pre-owned clients new to the group and a target of 10% mix.

• Jewelry, especially branded and lab-grown, is a major growth driver, with Roberto Coin delivering strong EBIT margins and expansion plans.

US and UK market performance and expansion

• US business has doubled acquired revenue, driven by acquisitions and new projects, with a fragmented market offering further growth potential.

• Texas expansion leverages cross-border demand and affluent demographics, with four showrooms in high-growth corridors.

• UK business shows 8% CAGR over 12 years, outperforming the market and maintaining a leading share in luxury watches.

• Estate optimization in the UK has increased sales per showroom by 150% and reduced costs as a percentage of sales.

• Pre-owned and lab-grown diamonds are fastest-growing categories in the UK, attracting new and younger clients.

Acquisitions and integration

• Acquisitions in the US (e.g., Mayors, Betteridge, Deutsch & Deutsch) have accelerated growth, expanded geographic reach, and brought operational synergies.

• Integration of acquired businesses has preserved local culture while leveraging group scale, technology, and brand relationships.

• Roberto Coin acquisition has enhanced exposure to the US jewelry market, with plans for shop-in-shops, mono-brand stores, and a digital training platform.

• Hodinkee acquisition brings a highly engaged digital audience, media influence, and new monetization opportunities.

• Digital and showroom integration creates a seamless client journey, enhancing engagement and lifetime value.