# Swatch Reports Lower-Than-Expected First-Half Profits, Anticipates Second-Half Rebound

*Swiss watch giant Swatch reported a 5.8 percent drop in net profit for the first half of the year but anticipates a rebound in the second half.*

July 21, 2026 · business

Swiss watch giant Swatch announced a 5.8 percent decrease in net profit for the first half of the year, falling short of analyst expectations. Despite this, the company remains confident about a profit rebound in the second half, driven by robust sales momentum across all price segments.

## First Half Performance

Swatch reported a net profit of 16 million Swiss francs ($19.8 million) for the January-to-June period, a 5.8 percent decline from the previous year. Sales, however, increased by two percent to 3.1 billion francs, with an 8.5 percent rise when excluding exchange rate fluctuations.

## Analyst Expectations

Analysts surveyed by the Swiss news agency AWP had predicted a profit of 95 million francs on sales of three billion francs, highlighting the shortfall in Swatch's first-half performance.

## Second Half Outlook

The company expressed confidence in a second-half recovery, citing the strong acceleration in sales observed in May, June, and July. This momentum is expected to lead to better utilization of production capacity and a significant improvement in profitability.

## Sources

- BSS

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Source: https://pulsetoday.com.bd/en/business/swatch-profits-first-half-2026