ZURICH, July 21 (Reuters) – Swatch Group (UHR.S), reported an improvement in sales but missed profit forecasts on Tuesday as the Swiss owner of Omega, Longines and Tissot watch brands suffered from negative currency effects.
Net sales rose 8.5% at constant exchange rates in the first half of 2026 to reach 3.12 million Swiss francs, despite the geopolitical challenges in the Middle East, the company said.
Operating profit came in at 52 million Swiss francs ($64 million), down from 68 million francs a year earlier, missing forecasts for 120 million francs.
Profits were burdened by negative currency effects and the results from the production segment, due to the decision to maintain capacities and jobs, Swatch said.
A strong acceleration of sales in May and June point to continued growth and improved profitability in the second half of the year, the company added.
($1 = 0.8101 Swiss francs)
Reporting by Ariane Luthi, Editing by Miranda Murray.
