The Swatch Group has reported an 8.5-percent rise in first-half sales at constant exchange rates, reaching 3.12 billion Swiss francs.
The Swiss horology titan credited its portfolio-wide momentum to the runaway success of its new Royal Pop collaboration with Audemars Piguet. Launched in mid-May, the line generated over 25 billion social media views, enticing younger buyers into physical stores and reinvigorating interest in previous hit partnerships such as the MoonSwatch. Regional demand was robust across the board, led by a 27-percent surge in the United States and a 9-percent rise in Greater China, alongside a 30-percent jump in e-commerce.
However, profitability faced severe headwinds. Operating profit slipped to 52 million Swiss francs from 68 million Swiss francs a year earlier, missing market expectations and dragging down share prices. The company attributed the profit squeeze to unfavourable currency fluctuations—which stripped nearly 200 million Swiss francs from revenues—and a deliberate strategy to preserve manufacturing capacity and retain staff rather than institute cost-cutting measures.
Looking ahead, the owner of Omega, Longines, and Tissot struck an optimistic note. With sales accelerating sharply through May and June—a trajectory carrying into July—Swatch expects significant revenue expansion and margin recovery during the second half of 2026.
14-09-2026
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