File photo: Fabrice Coffrini/AFP
Swatch shares plummet after drop in sales
AFP · 15 Jul 2016, 14:36
Published: 15 Jul 2016 14:36 GMT+02:00
Shares in Swatch plunged more than 11 percent on Friday after the Swiss watch group warned that sales had slumped and profit
had plunged in the first half of the year.
Although full publication of results is not expected until next week, the company said first half sales had fallen by 12 percent due to drops "in important markets like Hong Kong and partially Europe, especially France and Switzerland..."
Two terror attacks in Paris last year have hit tourism to the French capital and its luxury shops hard. At least 84 people were killed in a terror attack in the southern city of Nice that targeted Bastille Day celebrations late on Thursday.
In addition to its bright mass market Swatch watches, the group also owns the luxury Omega brand and up-market Tissot.
The company said that operating and net profit "are expected to be lower of some 50 percent to 60 percent".
Swatch earned an operating profit of 761 million Swiss francs ($777 million, 698 million euros at current rates) in the first half of last year on sales of 4.25 billion.
In late morning trading Swatch shares were down 11.4 percent as Zurich's SMI index was down nearly 0.6 percent overall.
For more news from Switzerland, join us on
Photo: Jack Guez / AFP file picture
A Swiss court has ruled against a company that fired a longtime employee after she began wearing the Muslim headscarf, marking one of the first such rulings in Switzerland, media reported Sunday.
Could Montreux host the 2026 Games? Photo: Ivo Scholz/Swiss Tourism
Montreux is to put itself forward as the host city for the 2026 winter Olympics as part of a potential bid by the cantons of Valais and Vaud.
Catch a Car is aimed at short hops within a city. Photo: Catch a Car
Catch a Car, already in Basel, launches in Geneva next month.
Female employees in Switzerland earn 19.3 percent less than their male colleagues. File photo: Randy Kashka
Switzerland's gender pay gap means from today, Friday October 21st, women in the country will effectively be working for free for the rest of 2016.
Police outside the Girard-Perregaux watch store on Thursday. Photo: Bertrand Guay/AFP
The 10 Girard-Perregaux watches are worth half a million euros in total.
The victim worked in a school in Stabio, near the town of Mendrisio. Photo: Oliver Graf
The primary school teacher was found dead in Ticino earlier this week.
Designed to house 20,000 people, the bunker was built in and over two motorway tunnels. Photo: Unterirdisch Ueberleben
The Local takes a tour of the Sonnenberg bunker in Lucerne, opened 40 years ago at the height of the Cold War.
File photo: Renato Bagattini/Swiss Tourism
Skiers in Switzerland pay the highest prices for their ski passes of anywhere in Europe, according to research.
There are currently more than 30 wind farms in Switzerland. Photo: Alpiq
Wind turbines are “gigantic and destructive” machines, says Paysage Libre Suisse.
Antoni Da Campo will now carry out his military service. Photo: Antoni Da Campo
A Swiss man who was told he would not be accepted for military service because of his strict veganism has finally succeeded in making the army change its mind.