112% Increase in Adjusted Profit Before Tax for Luxury Watch Retailer

  • 112% increase in adjusted profit before tax since May 2019
  • Group revenues increased by 17.3% to £428.7m
  • 10.3% increase in like-for-like sales growth driven by luxury watch sales
  • Net cash from operating activities up £12.2m at £49.6m
  • £9m loss before tax due to one-off exceptional costs related to IPO and refinancing
  • Adjusted EBITDA increased 23.5% to £41.2m, improved margin of 9.6%
  • 12% increase in online sales
  • CEO Brian Duffy delighted with first half results
  • Strong progress in UK and US markets
  • Showroom portfolio elevation programme successful
  • Omni-channel strategy expansion in UK and US mono-brand openings planned

Watches of Switzerland, a high-end watch retailer, has reported an impressive 112% increase in adjusted profit before tax since May 2019. Group revenues rose by 17.3% to £428.7m with a 10.3% growth in like-for-like sales driven by luxury watch sales. In the six months to October 27, the company recorded net cash from operating activities of £49.6m, up £12.2m. The retailer also experienced a £9m loss before tax due to one-off exceptional costs related to its IPO and subsequent refinancing. Adjusted EBITDA increased by 23.5% to £41.2m, resulting in an improved margin of 9.6%. CEO Brian Duffy expressed delight with the first half results, citing strong progress in both UK and US markets as well as the success of their showroom portfolio elevation programme. The company’s omni-channel strategy includes expanding mono-brand openings in the US and UK, along with continued growth in online sales.

Factuality Level: 10
Factuality Justification: The article provides accurate information about Watches of Switzerland’s financial performance, including revenue growth, profit increase, and CEO’s comments on their strategies and successes.
Noise Level: 3
Noise Justification: The article provides relevant information about Watches of Switzerland’s financial performance and growth strategies, but it lacks a broader context or analysis of the luxury watch market or industry trends.
Financial Relevance: Yes
Financial Markets Impacted: Watches of Switzerland’s stock price may be impacted by these financial results
Financial Rating Justification: The article discusses the company’s financial performance, including profit before tax, revenue growth, and adjusted EBITDA, which are relevant to investors and financial markets.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of an extreme event in the text.

Reported publicly: www.retailsector.co.uk