Watches of Switzerland Group (WOSG) Q4 2026 TU earnings summary

Executive summary

• Group sales grew 13% in constant currency (11% reported) to £1.83 billion, exceeding guidance and consensus, with record revenue in FY26 and strong growth in both US and UK markets.

• U.S. sales reached £1.24 billion, up 24% year-over-year, now representing over 50% of total sales.

• Adjusted EBIT expected between £152 million and £155 million, ahead of expectations.

• Strategic acquisitions and showroom investments supported expansion and sales momentum.

• H2 growth trends outpaced H1 despite tougher comparatives.

Financial highlights

• Group revenue rose 13% in constant currency (11% reported) year-over-year to £1,828 million.

• U.K. sales increased 5% year-over-year, with H2 showing improved momentum.

• US retail revenue grew 25% in constant currency; luxury watch revenue increased 13%, luxury jewellery revenue up 18% in constant currency.

• Ecommerce revenue climbed 21% in constant currency, with robust growth in both UK and US.

• Pre-owned category, especially Rolex CPO, is now the second largest brand category and performing above expectations.

Outlook and guidance

• FY 2027 sales growth guidance is 5–10% in constant currency (7–12% adjusting for 52 vs. 53 weeks).

• Profitability improvement of 40–80 bps expected, with operational leverage as a key driver.

• Capex of £60–£70 million and ~70% free cash flow conversion targeted.

• Guidance incorporates both price and volume growth, with known brand price increases factored in.

• Guidance excludes uncommitted capital projects and acquisitions; minimal direct exposure to Middle East or tourist consumers.