Swatch Group More than three billion in six months

Senior Associate Posts : 1372 Join date : 2010-06-26

After losing the pace slightly as a result of the financial and economic crisis, the Swatch Group is once more riding on a wave of success thanks to an excellent first half-year performance in 2010 which holdspromise of another record year.

With a gross turnover of 3,031 million francs from January to June this year, the Swatch Group achieved what is quite simply the best half-year in its history. Sales rose by 22.2% compared to the first six months of2009 and by 2.0% compared to the record first half of 2008. And operating and net profit were equally impressive with increases of 81.4% to 626 million and 54.5% to 465 million respectively. This isdespite the sharp rise in the price of gold and a traditionally very cautious policy in terms of price increases for the consumer.

This unexpected result – most observers forecasted a low-key emergence from the crisis for the sector – was due mainly to the watch andjewellery division (19 brands), which saw its sales surge by 30.6% to2,572 million francs, there by enabling the group to record an operating profit of 547 million (+90.6%) and to win new market share.

The production segment for its part recorded a gross turnover of 761million francs (-5.1%) and an operating profit of 65 million (-12.2%).This downturn is explained by the fact that demand for movements and components is out of phase with demand for watches, particularly as regards third parties (-22.2% compared to an increase of 7.0% for groupbrands). It should be noted however that orders have once more reached the level of previous years and that for some companies this level has even been exceeded. The sector’s turnover should therefore improve gradually between now and the end of the year.

Lastly, electronic systems saw sales increase by 12.5% to 207 million francs in the first half of 2010. Profitability meanwhile achieved atenfold increase, rising from 2 to 20 million.

Regarding the future, the group remains steadfastly optimistic (growth was steady in July), and is banking on solid second-half results interms of both sales and profit. Its greatest challenge will be to quickly resolve problems relating to production capacity which arealready evident in some sectors. It also intends to continue its development policy on a global scale in terms of retail sales, with inparticular the forthcoming opening of a Breguet store on the Bahnhofstrasse in Zurich.

http://www.fhs.ch/en/news/news.php?id=792

Business is ticking right along it seems...

...or is that sweeping?

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Swatch Group More than three billion in six months ANOMALYSIG2A-1

Sounds pretty good, that's for sure !!! ..We'll have to see if
things continue to get better for the rest of the year, and
into the next ! ..Excellent news and information here Ron !
..Thanks for the link there also ! Swatch Group More than three billion in six months 803574

Swatch Group More than three billion in six months 803574

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Swatch Group More than three billion in six months NewSigcopy

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