Watches of Switzerland (LSE: WOSG) shares popped more than 8% in early trading before settling 5.9% higher at 398.80 pence. The retailer’s upbeat full-year guidance has bolstered investor confidence as the luxury watch and jewellery market continues its recovery.
In a recent trading update, the company reported ongoing stabilisation in the UK market for luxury watches and jewellery, following a challenging year due to macroeconomic conditions. The retailer noted that demand for its key luxury brands, especially those on Registration of Interest lists, remains strong in both the UK and US, with demand outstripping supply.
Trading for the first 18 weeks of the financial year has aligned with expectations, positioning the company to meet its financial 2025 guidance. Watches of Switzerland plans to increase showroom stock levels in the US during the first half of 2025, with growth anticipated to be more pronounced in the second half of the year.
The company also highlighted progress in integrating Roberto Coin Inc, following its acquisition in May, and reported positive developments on its new Manchester luxury jewellery boutique, slated to open in April 2025.
Despite the gains, Watches of Switzerland shares are still down 41% year-to-date.
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