Watches of Switzerland Capitalizes on Lab-Grown Diamond Surge with Jewellery Expansion
Watches of Switzerland taps into lab grown – The luxury timepiece and accessories retailer Watches of Switzerland has delivered impressive financial results, with annual profits climbing 76% as the company positions itself to benefit from surging consumer appetite for lab-grown diamonds. The group, renowned for its premium collection of Rolex and Omega timepieces, announced pre-tax earnings of £133 million for the fiscal year ending May 3, representing a substantial increase from the £76 million recorded in the prior year.
Strong Sales Performance Across Global Markets
Total annual sales experienced a robust 13% expansion, reaching £1.83 billion. This growth trajectory was significantly bolstered by a 24% surge in American operations, which successfully counterbalanced more challenging conditions in the United Kingdom and European markets. Despite the headwinds in these traditional strongholds, revenues in the UK and Europe still managed to climb by 5%.
Chief executive Brian Duffy highlighted that the company’s domestic market is demonstrating positive momentum.
“Our UK home market is showing encouraging signs of improvement,”
Duffy noted, reflecting optimism about the trajectory of British consumer spending.
Jewellery Strategy Takes Center Stage
Watches of Switzerland is actively broadening its commercial footprint beyond horology into the luxury jewellery sector. The retailer recently unveiled its inaugural jewellery showroom in partnership with the Mappin & Webb boutique located in Manchester. This strategic initiative represents a significant milestone in the company’s diversification efforts.
“This marks an important step in the development of our jewellery strategy and reflects our confidence in the long‑term opportunity in this category,”
the group explained in its official statement regarding the expansion.
Concurrently, the company has introduced a lab-grown diamond collection within the United Kingdom through its Goldsmiths brand. Management indicated that this product offering is
“resonating with consumers”
, aligning with broader industry trends showing increased demand for ethically sourced and more affordable alternatives to traditional mined diamonds.
Financial Metrics and Future Outlook
The jewellery segment demonstrated particularly strong performance during the 2025-26 period, with luxury jewellery sales accelerating by 17%. This represents an acceleration from the 12% growth recorded in the UK and the 26% expansion observed in the United States during the previous comparable timeframe.
The company’s jewellery portfolio encompasses several established house brands alongside Roberto Coin. These include Goldsmiths, Mappin & Webb, Mayors, and Betteridge, creating a comprehensive offering across multiple price points and consumer segments.
Looking ahead, Watches of Switzerland projects continued group-wide sales expansion throughout the upcoming financial year. Management anticipates revenue growth ranging between 5% and 10%. The company noted that trading conditions during the initial ten weeks of the new financial year have been
“encouraging”
.
“Whilst we remain mindful of the geopolitical environment, we have carried good US momentum into the new year and see encouraging signs the UK market is improving,”
the group concluded in its forward-looking statement.
The retailer’s strategic pivot toward jewellery, combined with its successful navigation of international market dynamics, positions Watches of Switzerland favorably for sustained growth. The company’s ability to leverage both its established watch expertise and emerging jewellery opportunities demonstrates a comprehensive approach to capturing consumer spending across multiple luxury categories.
As global economic conditions continue to evolve, Watches of Switzerland’s balanced portfolio and diversified geographic presence provide resilience against regional volatility. The lab-grown diamond initiative represents not merely a product addition but a strategic response to shifting consumer preferences toward sustainable luxury goods.
The company’s performance underscores the broader trend of luxury retailers expanding beyond their traditional categories to capture additional market share. With strong US momentum and improving UK conditions, Watches of Switzerland appears well-positioned to deliver on its growth projections for the coming year.
