Billions wiped off the value of Breitling
Breitling's value has significantly dropped as its private equity owners, CVC Capital and Partners Group, have revised their valuations due to declining sales and profits. Since reaching a peak in 2023, sales have fallen from CHF 870 million to CHF 820 million by 2025. The financial assessment reveals that CVC has reduced the value of its stake by half, while Partners Group has valued its holding at approximately 70% of its previous worth. As a result, Breitling's turnover has also declined sharply in the UK, from nearly £90 million in FY2023 to under £60 million in the latest report. Despite these setbacks, Breitling has undergone a transformation under CEO Georges Kern, expanding its product range and enhancing its retail presence with 300 boutiques worldwide. The brand has engaged high-profile ambassadors and formed partnerships with notable organizations, yet these efforts have not translated into increased sales since 2022. Additionally, the company's credit rating has been downgraded due to a decline in earnings and rising costs associated with expanding its retail network, raising concerns about its financial stability in the competitive luxury watch market.
