Watches of Switzerland Group PLC (LSE:WOSG) shares bounced 15%, having recently sunk to almost a three-year low, as it reported better trading in the US and UK, as well as its new ‘long range plan’.
Revenue of £379 million was generated in the three months to 29 October, its second quarter, up 1% year-on-year or 5% if currency swings are ignored.
In the first quarter, revenues had fallen 2% to £382 million.
In the US, second-quarter sales rose 11% at constant currency rates, improving from 7% in the first.
UK and Europe sales were flat on last year, improving from an 8% decline in the first quarter, with the UK said to have exited the quarter “strongly” and returned to growth in October.
Chief executive Brian Duffy was encouraged by the early response to the Rolex Certified Pre-Owned programme which launched in the UK in September, following the US launch in July.
“The UK performance was delivered despite the impact of several high turnover Goldsmiths and Mappin & Webb showrooms being closed for upgrade and trading from pop-up locations during the quarter,” he said, adding that they will reopen pre-Christmas.
On the new five-year plan, Duffy said the aim is to more than double sales and profits by the 2028 financial year, with “multiple significant organic and inorganic growth opportunities across UK, US and Europe”.
The shares ticked up to 599p in early trading, having closed at 519p yesterday and sunk below 500p last month for the first time since late 2020. After almost an hour of trading, they were up just over 6% at 552.16p.