Watches of Switzerland, Boux Avenue and Teal Grow

Watches of Switzerland grows

Watches of Switzerland Group reported revenue of £974 million for the first half, up 15%. Growth was also 15% on a constant currency basis. Adjusted EBIT increased by around 28%.

US revenue rose 22% to £501 million, helped by the acquisition of Deutsch & Deutsch. UK revenue increased 9% to £473 million as market conditions improved. The group said flagship boutiques and stores in many regional cities performed well.

Luxury jewellery sales grew 19%, ahead of luxury watches, which were up 15%. Jewellery sales in showrooms increased by 31%.

The business expects first-half adjusted EBIT of between £87 million and £89 million. It also expects EBIT margins to improve.

Chief executive Brian Duffy said the group finished the half slightly ahead of expectations. While it remains cautious because of economic uncertainty, it has increased the lower end of its full-year revenue growth guidance from 5% to 7%. The expected range is now 7% to 10%.

Boux Avenue grows across channels

Boux Avenue increased sales by 16% in the year to March 2026. Growth came from stores, online and third-party channels.

Like-for-like sales rose 10.5% in stores and 14.9% online. EBITDA reached £5 million, taking the improvement over the last two years to more than £11 million.

The retailer said new ranges in lingerie, nightwear, swimwear and accessories helped improve sell-through and margins. Active customers increased by 6%. Sales to students rose 13%, while sales to customers aged 35 and over increased 9%.

Sales also grew across marketplaces including Next, M&S, Very and ASOS.

The company continued investing in stores. Its northern flagship moved to a larger Trafford Centre site in Manchester. It opened a new location in Liverpool One and refitted stores in Bluewater, Westfield White City, Guildford and Belfast. It is also looking for sites in Edinburgh, Bristol, Nottingham and Leeds.

Chairman and owner Theo Paphitis said the business is already seeing further growth as it enters the peak trading period.

Record sales at Teal Group

Teal Group, owner of The Entertainer, reported record sales of £315 million, up 10% from £286.6 million.

Despite this, pre-tax losses widened to £19 million and operating losses doubled to £16.8 million. Adjusted EBITDA was £2.9 million.

The group said higher employment costs, business rates, depreciation and exceptional charges affected profitability. These included costs linked to moving to employee ownership and setting up its largest retail partnership.

Trading has improved since the year end. Like-for-like sales at The Entertainer stores rose 22% in the first half, while sales across all channels increased 13%.

The business has invested £5 million in lower prices and restructured operations to remove £10 million of operating costs from 2027/28. It expects profitability to improve significantly this year and plans several store openings in 2027, including at least three in the UK's top 20 retail locations.

October spending slows

BRC-KPMG figures showed total UK retail sales rose 1.5% in the four weeks to 31 October. This was slightly below the level recorded a year earlier but above the three-month average.

Food sales increased 3.2%, while non-food sales were flat. Customers delayed purchases of furniture and white goods.

In-store non-food sales fell 1.1%, while online non-food sales rose 1.8%. Online penetration increased to 38.6% from 38.2% a year earlier.

The market was described as subdued, with many shoppers waiting for Black Friday deals. Wetter weather supported online sales, while Halloween boosted spending on snacks, costumes and decorations. Clothing, footwear and duvets benefited from colder weather, but higher household costs and uncertainty continued to affect consumer confidence.

What RHR thinks

We believe these results show how much difference there is between the wider market and retailers that are performing well. Overall spending growth remains slow and shoppers are cautious, but businesses with a clear offer in areas such as luxury, specialist fashion and toys are still achieving double-digit growth.

We believe The Entertainer's results show that sales growth on its own is not enough. Employment costs and business rates are putting pressure on profits across retail. We expect more retailers to restructure costs while continuing to invest in pricing, product ranges and stores.

We expect the next two months to be crucial. With many shoppers delaying larger purchases until Black Friday, more trade is concentrated into a short period. We believe retailers that have invested in stores, products and teams will be best placed to benefit.

What this means for hiring. Store managers, sales assistants and luxury retail staff could be in demand at Watches of Switzerland as revenue grows across the UK and US. Boux Avenue's store investment and search for new sites may create opportunities in stores, retail management and ecommerce. The Entertainer's planned 2027 openings could support future hiring in stores and operations.