Watches of Switzerland Group (WOSG) H2 2025 earnings summary

Executive summary

• Achieved record sales/revenue of $1.652 billion (£1,652m), up 8% in constant currency, with a stronger second half (+12%).

• U.S. sales surpassed $1 billion for the first time, now representing 48% of group sales, driven by showroom investments and acquisitions.

• Adjusted EBIT rose 12% to £150m, with margin up 30 basis points to 9.1%.

• Strategic acquisitions of Roberto Coin and HODINKEE completed and integrated, supporting growth in luxury jewelry, media, and digital engagement.

• Strong performance in certified pre-owned (CPO) watches and branded jewelry, with e-commerce expansion and ESG initiatives underway.

Financial highlights

• Group sales/revenue grew 8% in constant currency to £1,652m; U.S. sales up 16%, U.K. returned to growth.

• Adjusted EBIT reached £150m, up from £135m, with margin at 9.1% (+30bps); Adjusted EBITDA rose 8% to £192m.

• Free cash flow was £98m, with 51% conversion; net debt at £96m, leverage at 0.6x EBITDA.

• Adjusted EPS increased 9% to 41.6p.

• ROCE at 19.0%, reflecting strong returns on capital.

Outlook and guidance

• FY2026 revenue growth expected at 6%-10% in constant currency; 53-week year.

• Adjusted EBIT margin guidance: flat to down 100 basis points, reflecting margin changes from brand partners.

• Capex planned at £65–75m, excluding uncommitted projects.

• U.S. tariffs and brand partner margin changes introduce uncertainty; further updates to be provided as the situation evolves.