Swatch Group expects positive new year after 2013 revenue rose 8.3 percent
Biggest Swiss watch-maker, Swatch Group, owner of brands such as Omega and Harry Winston forecasts a positive 2014 after 2013 revenue rose 8.3 percent, sending the shares up the most in eight months. Swatch Group “expects good results for 2013 at operating profit and net income level,” the company said. “Based on the strong start by all brands in the first few days of January, dynamic growth is expected for the entire year 2014.”
The predictions spurred optimism that sales may start to rebound after a Chinese crackdown on extravagant gifts contributed to Swatch’s slowest sales growth in four years. The Swiss watch industry’s growth rate has sputtered as China, which buys more than a quarter of Swiss watches, gets tough over the use of luxury goods as bribes and illegitimate gifts.
adapted from Bloomberg