Swatch H1 Profits Jump Boosted by Rise in Luxury Brand Sales

The world's largest watchmaker Swatch Group today (Wednesday) reported a 22 percent rise in first-half profits, boosted by strong sales in the United States and Asia of luxury watches including Omega and Blancpain.

It said it was “very confident” about business for the second half of this year and forecast could generate “record high” revenue if currency rates remain stable.

"Demand appears to continue unabated, particularly for watches in the upper price bracket," the watchmaker said.

The company’s results show that it is far outpacing exports by the wider Swiss watch making industry.

Data released on Tuesday by the Swiss Federation of Watchmakers showed Swiss watch exports rising just 2.6 percent to 983.4 million francs in July, helped by a 14 percent jump in shipments to the U.S. For the first half of the year, Swiss watch exports rose by 11 percent.

Swatch said sales growth of its high-end watches, such as Breguet, was significantly higher in the first six months than the figures published by the Federation of the Swiss Watch Industry.