- Luxury watch and jewellery retailer Watches of Switzerland upgraded its annual revenue and margin guidance after its sales jumped in the second quarter of its financial year.

Revenue for the year through April was now expected to between £880.0 million and £910.0 million, up from previous guidance of £840.0 million-to-£860.0 million.

The company's earnings before interest, tax, depreciation and amortisation margin was seen rising 1.0% year-on-year, while the adjusted EBITDA margin was seen rising 1.5%, up from previous guidance for a flat result.

Revenue in the first 10 weeks of the second quarter had been stronger than expected, rising 18%, or by 20% in constant currency terms year-on-year.

'We are very pleased with the strong second-quarter performance we are delivering in what continue to be unprecedented market conditions,' chief executive Brian Duffy said.

'Stronger-than-anticipated UK domestic sales are offsetting lower tourist and airport traffic, whilst regional stores are continuing to outperform London stores,' Duffy added

'Furthermore, the strong momentum we have established in the US has further accelerated. All US regions are contributing to this positive trend.'

Duffy said the company's annual guidance assumed that the positive trend experienced in the second quarter would be moderated by the impact of pandemic-related retail disruption and uncertainty in the US economy.

'We do not assume any improvement in recent trends regarding the travel or tourist sectors,' he said.

'Looking ahead, we will continue to focus on our strategy by investing in high quality growth through selective capital projects and targeted marketing activity.'

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