Swatch: Conference call feedback

Research evidence excerpt

Swatch: Conference call feedback

Equity Research

European Luxury Goods & Specialty Retail

21 July 2026

Swatch

Conference call feedback

Swatch just hosted a conference call following the release of

its 1H26 results this morning. We share the key takeaways

below. UHR.S/UHR SW UNDERWEIGHT European Luxury Goods & NEUTRAL Specialty Retail

Price Target CHF 130.00Conference call highlights – Optimism remains for H2: Swatch just hosted a conference call

Price (20-Jul-26) CHF 203.00following its 1H26 results announcement this morning. During the call, management remained

Potential Upside/Downside -36.0%optimistic about H2 on the back of encouraging current trading (July trends likely better than Source: Bloomberg, Barclays Research

June which was already better than May). Group EBIT, which reached 8.6% in the last 2 months

of the first half, also opens the door to a profitable scenario in the Production segment in H2

according to management. European Luxury Goods & Specialty

Retail

We note that management is usually optimistic about the short-term outlook and this call was Carole Madjo

no exception. Shares are, however, down 7% at the time of writing (3:30pm) vs flat for the Stoxx +44 (0)20 3134 3168

carole.madjo@barclays.comEurope 600, which likely reflects ongoing scepticism around the outlook, notably around

Barclays, UK

profitability.

Filippo Croce

+44 (0)20 3555 2994

Conference Call Highlights filippo.croce1@barclays.com

General Commentary

Viktoria Petrova

•• Strong acceleration in May and June, continuing into July (> June), after launch of Royal Pop, +49 (0)69 7161 1052

growing stronger than others. viktoria.petrova@barclays.com

BBI, Frankfurt

•• +13.5% growth in May and June, factory starting to work again and using more existing

capacity.