Watch manufacturer Swatch's profit halved

Over the past year, Swiss watch manufacturer Swatch‘s profit dropped nearly 50 %, with turnover down 11 % as well although it did bounce back in the fourth quarter.

Progress in China

The company’s turnover, including brands like Omega and Longines, dropped 11 % to 75.5 billion Swiss francs (71 billion euro) in 2016. Its net profit got hammered 47 % and dropped to 593 million Swiss francs (550 million euro), which was below analysts’ expectations.

However, by the end of the year, the company seemed to bounce back, particularly in China. “The months of November, December and January showed very good growth in the Watches and Jewelry segment. […] Based on the positive development of the last three months, healthy growth is expected for the year 2017,” the company said.