Leicester-based Watches of Switzerland has hailed another record year of revenue and profitability.
In a new trading update, for the 52 weeks to 30 April 2023, the company highlighted group revenue of £1.54bn, up 25% on the prior year.
Meanwhile adjusted EBIT is expected to be between £163 million and £167 million, up from £130 million last year.
The business noted “excellent progress” in the first two years of its Long Range Plan, with Watches of Switzerland entering its new financial year “significantly ahead of schedule.”
Brian Duffy, Chief Executive Officer, said: “FY23 was another record year of revenue and profitability, with revenue growth of 25% at reported rates (+19% at constant currency) and continued EBIT margin expansion.
“Although, as expected, the second half of FY23 saw a more challenging trading environment, demand remains strong and continues to exceed supply, with client registration lists continuing to grow. I would like to thank all my colleagues for their continued hard work and dedication.
“We have an exciting pipeline of showroom projects, and I am delighted to announce the Group has signed a letter of intent with Audemars Piguet (AP) confirming its intention to open an AP House in the UK in the region of St Anne’s, Manchester, via a Joint Venture partnership in Spring 2024.
“This is an important expansion in our partnership with Audemars Piguet which has spanned more than 50 years and we look forward to what will be a great showroom for the city of Manchester. We also announce today our plan to open a flagship TUDOR mono-brand boutique at Old Bond Street, one of the most prestigious addresses in London, in Q4 FY24.
“We enter FY24 significantly ahead of where we expected to be in our Long Range Plan following two years of exceptional performance and notwithstanding the macroeconomic backdrop. Our FY24 guidance assumes revenue growth of 8 to 11% at constant currency with EBIT margin in line with prior year.
“We remain confident in our goals to maintain our leadership position in the UK, become the clear leader in the US, and capitalise on our growth potential in Europe.”
