Swatch falls as H1 results miss expectations, hit by weakness in China

Julius Baer Gruppe AG

17/07/2025 07:38

** Swatch UHR.S falls 4% in Julius Baer premarket indications as its half year results missed market expectations hit by weak demand in China

** H1 sales fell 7.1% in constant exchange rates to 3.06 billion Swiss francs ($3.81 billion) compared to the same period last year, missing analysts' expectation of 3.2 billion euros as polled by LSEG

** Swatch expects China to improve throughout the second half of the year, but Vontobel analysts say that market expectations will need to be adjusted downward significantly

** "The company faces an urgent need to restore positive growth and, most critically, achieve positive free cash flow," the broker adds

** Up to the previous session's close, shares were down 16.9%​ YTD

($1 = 0.8026 Swiss francs)

 (Reporting by Isabel Demetz and Marleen Kaesebier)

 ((Isabel.demetz@thomsonreuters.com))