Watches of Switzerland Group PLC (LSE:WOSG) has reported full-year revenue growth as customers flocked to pre-owned luxury models.
Adjusted underlying earnings were up 26% to £201mln in the year to 30 April 2023, while statutory profit before tax ahead 23% to £155mln.
Sales, according to a statement, grew by a quarter compared to the previous year to £1.5bn.
The Rolex seller added that sales of pre-owned luxury watches grew by double digits in the 12 months, with pricing and margins staying unchanged.
Sales of luxury watches were up 28%, and accounted for 87% of total revenue, with performance driven by an increase in average selling prices as well as volume growth.
“Luxury watch demand remains strong and continues to outpace supply, with our client registration lists extending and average selling prices growing,” said Watches of Switzerland chief executive Brian Duffy.
Trading in the US contributed more than a third of sales at £653mln, while business also improved in airports as traffic recovers post-pandemic.
Looking ahead, the FTSE 250 retailer has kept guidance unchanged for the current year, with revenue in the region of £1.65bn to £1.7bn.
“We reiterate our guidance for the financial year 2024 which reflects our continued confidence in the strength of our organic growth strategy, whilst we continue to actively pursue additional inorganic growth opportunities to enhance that growth,” Duffy added.
"We enter the financial year 2024 significantly ahead of where we expected to be when we presented our Long Range Plan in 2021, and we look forward to presenting our Long Range Plan update, which will outline our growth ambitions beyond the financial year 2026 to the financial year 2028, in Autumn this year."