Swatch announces Double Digit increase in Sales, Profit in H1

The Swatch Group reported record of double digit increase with gross sales of CHF 3.36 billion ($4.1 billion) in the first half of 2011. Watch and jewelry sales soared despite production bottlenecks. Gross sales exceed the record half year 2010 by 24.2 percent at constant rates and 11.4 percent at current rates. Sales in the Watches and Jewelry segment grew 27.4 percent at constant rates or 13.3 percent at current rates, to CHF 2.91 billion ($3.55 billion). Net income of CHF 579 million ($704.8 million) is a 24.5 percent increase versus the record half year 2010, representing 18.2 percent of net sales. The company said a strongly overvalued Swiss franc negatively impacted sales by CHF 387 million at 2010 rates.