Swatch Group Criticizes Morgan Stanley Report, Claims Longines is Profitable and Tissot Sales Grew
Swatch Group AG has publicly challenged the recent Morgan Stanley "Swiss Watcher" report, claiming that the data presented is flawed and based on questionable assumptions. The letter highlights that contrary to Morgan Stanley's assertions, Longines is profitable with a reported profit margin of 16.6% on net sales for 2025. Swatch also disputes the report's claims regarding its Tissot and Hamilton brands, asserting that Tissot's sales grew by 3% while Hamilton's unit sales are significantly higher than reported. The critique not only addresses the accuracy of Morgan Stanley's estimates but also emphasizes the broader issue of transparency in the Swiss watch industry, where many leading brands are privately owned, making it difficult to ascertain individual performance metrics. Swatch Group's letter serves as a rebuttal to the narrative established by the Morgan Stanley report, which suggested that the group's flagship Omega brand had seen a decline in market share and overall sales, positioning itself notably lower in the rankings than previously held.
