Key Figures 2025

P

RESS RELEASE | AD HOC

Biel / Bienne, 30 January 2026

Ad hoc announcement pursuant to Art. 53 of the Listing Rules

• Net sales of CHF 6 280 million, -1.3% at constant exchange rates compared to the previous year (-5.9% at current rates)1). Negative currency impacts of CHF 308 million.

• Excellent performance in the second half of the year with sales growth of 4.7% at constant exchange rates. Strong acceleration in the fourth quarter with sales up 7.2% worldwide and across all price segments.

• Operating profit of CHF 549 million (operating margin of 9.5%) in the Watches & Jewelry segment (excluding Production). Strongly negative operating result in the Production segment following the deliberate decision to maintain production capacities and jobs, without resorting to compensation for reduced working hours.

• Operating profit of CHF 135 million (previous year: CHF 304 million). Operating margin of 2.1% (previous year: 4.5%).

• Net profit of CHF 25 million (previous year: CHF 219 million). Net margin of 0.4% (previous year: 3.3%).

• Operating cash flow of CHF 507 million, +52.3% compared to the previous year. Net liquidity2) of CHF 1 195 million (previous year: CHF 1 376 million).

• Equity of CHF 11.7 billion. Equity ratio of 87.1%.

• Dividend proposal from the Board of Directors: CHF 0.90 per registered share (previous year: CHF 0.90) and CHF 4.50 per bearer share (previous year: CHF 4.50).

• The very positive momentum in the second half of the year, and the acceleration in the last quarter, continued in January 2026 for all price segments. The Group expects very positive sales and volume developments for 2026, giving the opportunity to massively reduce losses in the Production segment and substantially improve the Group's profitability.

1. At the end of 2024, the Group transferred the Rivoli Group's eyewear business to a new company in which it holds a minority stake. Unless otherwise stated, all changes in sales compared to the previous year are calculated excluding the transferred business.

2. Cash and cash equivalents as well as financial assets, securities and derivative financial instruments minus current financial debts and derivative financial liabilities

KEY FIGURES 2025

At constant exchange rates, the Group's net sales were 1.3% below the previous year1). The negative currency impacts amounted to CHF 308 million, or 4.6%.

Watches & Jewelry

The Watches & Jewelry segment (excluding Production) ended the 2025 financial year with a slight decline in sales and, as a result, a slightly lower operating margin at 9.5% (previous year: 10.6%), mainly due to increased marketing investments in the second half of the year to support the launch of the many new products.

At constant exchange rates, excluding China, Hong Kong SAR, and Macau SAR, sales were up 3.4% for the year, 8.2% in the second half, and 10.4% in the last quarter. The Americas, led by the United States, enjoyed a record year with an increase in sales of almost 20% in local currencies, confirming sustainable and solid growth throughout the year, regardless of the tariffs' chaos. Several important markets with strong potential for future growth experienced substantial progress in 2025. India, the Middle East, Mexico, and Poland, for example, recorded double-digit sales growth in all price segments. Sales increased in the second half of the year in Europe and Asia, particularly in the United Kingdom, Germany, South Korea and Taiwan.

The consistent ongoing strategy of investing in the Group's own distribution network (retail) made it possible to exceed 47% of sales generated with end consumers in 2025. The Group's own point of sales supported last quarter growth with strong sales across all price segments. December 2025 was the best month in Harry Winston's history. China achieved last quarter growth in local currency compared to the same period of the previous year, despite a reduction of the point of sales in this country.

Throughout the year, the development of online sales was spectacular, surpassing the record levels reached during the Covid years in many regions and for all brands in this distribution channel.

Breguet created strong momentum with many new launches to mark its 250th anniversary. In particular, the brand unveiled the Classique Souscription, which won the Grand Prix de l'Aiguille d'Or at the GPHG awards and embodies the dialogue between heritage and modernity. The year ended with the Experimentale 1, a kind of watchmaking manifesto at the cutting edge of innovation.

For Blancpain, the second half of 2025 was marked by the unveiling of a world first, the Grande Double Sonnerie, a major watch complication, combined with a retrograde perpetual calendar and a flying tourbillon.

For Omega, one of the highlights of the second half of 2025 was the launch of the fourth generation of the Seamaster Planet Ocean, a completely redesigned collection featuring seven new references with various cases and strap configurations.

Tissot continued to be a mainstay and key driver of the Group's entry-level segment. In 2025, the brand introduced models such as the PRC 100 Solar, featuring innovative photovoltaic technology, and unveiled the Tissot SRV Collection, a new timepiece with an art deco silhouette and faceted glass that evoke the bold geometry of the era. The brand also enjoys a strong global presence and made significant gains in market share thanks to strong performance in Europe and especially in North America, with double-digit growth and another acceleration in sales in the fourth quarter.

Swatch continued its innovation strategy, including the launch of a watch personalization system where consumers can use the artistic intelligence tool called AI-DADA to create unique watches inspired by a creative historical database. The concept, which was an immediate success in the markets where it was launched, will be rolled out globally in the coming weeks. Swatch's new MISSION TO EARTHPHASE - MOONSHINE GOLD Cold Moon is a resounding success and will be available worldwide until 20 March but only on snowy days in Switzerland.

1. At the end of 2024, the Group transferred the Rivoli Group's eyewear business to a new company in which it holds a minority stake. Unless otherwise stated, all changes in sales compared to the previous year are calculated excluding the transferred business.

KEY FIGURES 2025

Production

Significantly lower sales in the Production segment due to a reduction of the orders, both from third parties and the Group's own brands, resulted in a strongly negative operating result. The Group maintained its deliberate policy of not making redundancies and did not request for any compensation for reduced working hours, which would have represented a significant amount for the year. Maintaining production capacity is very important to respond to the positive dynamic seen in the second half of 2025, which will continue this year, so the Production result will improve substantially.

Electronic Systems

Although heavily affected by exchange rate effects, sales improved significantly in 2025, exceeding the figure for 2024. The segment posted yearly sales of CHF 359 million (+13.3% at constant rates, +8.8% at current rates). EM Microelectronic-Marin further strengthened its position in the medical and gaming fields and began delivering chips to a major player in the toy industry, opening new horizons.

Investments

The Group continued to invest in its own retail and strategic manufacturing projects, such as those at EM Microelectronic-Marin and ETA. A total of CHF 462 million was invested (previous year: CHF 568 million).

Inventories

Inventories decreased by 4.5% or CHF 346 million.

Research and development

Intensive research and development activities resulted in 187 new patent applications being filed in 2025 (previous year: 196).

Staff

The number of employees decreased by 2.1% due to natural fluctuations. The number of employees at the end of the year was 31 796 (previous year: 32 477).

KEY FIGURES 2025

Considering the very positive momentum in the second half of 2025, with a strong acceleration in the fourth quarter - which continues in January 2026, the Group expects substantial growth for the year 2026 in all price segments. As a result, capacity utilization will improve significantly in the coming months and should massively reduce, or even help reverse, the negative result for the Production segment.

18.03.2026 Publication of the annual report and the sustainability report 2025 Press conference

12.05.2026 Annual General Meeting

End of July Publication of 2026 half-year results

Original: French

Translations: German, English and Italian

Thierry Kenel, Chief Financial Officer Phone: +41 32 343 68 11

The Swatch Group Ltd, Biel/Bienne (Switzerland) E-mail: https://www.swatchgroup.com/contactus

Bastien Buss, Corporate Communications Phone: +41 32 343 68 11

The Swatch Group Ltd, Biel/Bienne (Switzerland) E-mail: https://www.swatchgroup.com/contactus

KEY FIGURES 2025

2025 2024

CHF million % CHF million %

Net sales

6 280

100.0

6 735

100.0

Other operating income Changes in inventories Material purchases Personnel expense

Depreciation and impairment on property, plant and equipment Amortization and impairment on intangible assets

Other operating expenses

263

213

-1 345

-2 506

-368

-48

-2 640

3.9

3.2

-20.0

-37.2

-5.5

-0.7

-39.2

Other financial income and expense

Interest expense

Share of result from associates and joint ventures

9

-4

8

Ordinary result

148

Non-operating result

Income taxes

Attributable to shareholders of The Swatch Group Ltd Attributable to non-controlling interests

193

26

304 4.5

44

-3

-2

0.6

-0.0

-0.0

0.2

2

0.0

2.5 345 5.1

-2.1

-126

-1.8

0.4 219 3.3

343 5.1