Categories: Market

Profit but below expectations: Swatch will earn more in 2023 than in the previous year

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Watch manufacturer Swatch increased its sales and profits in 2023.

Sales rose 5.2 percent to 7.89 billion francs in 2023, Swatch announced on Tuesday. When adjusted for exchange rate effects, sales increased by 12.6 percent. Analysts were expecting organic growth of this magnitude.

Swatch also managed to improve its results: Operating profit EBIT increased by 2.8 percent to 1.19 billion francs. This led to a lower margin of 0.3 percentage points to 15.1 percent. As a result, net profit increased by 8.1 percent to 890 million. Analysts were expecting more here at 972 million francs.

Shareholders get more

Swatch says it wants to pay shareholders a dividend of 6.50 francs per title deed. Last year the dividend was 6.00 francs per bearer share.

Swatch is confident about the future direction of the business. Growth opportunities for 2024 are great, especially in the lower and mid-price segments. According to the statement, the development of the foreign exchange situation will continue to influence the group’s results due to its strong industrial base in Switzerland. (SDA/kae)

Source :Blick

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