Swatch CEO ready to accept lower profit after tough first half

Swatch UHR Chief Executive Nick Hayek is counting on improvements in China in the second half of 2025, he said on Thursday, but is also ready to accept lower profits after the Swiss watchmaker's first half profit plunged.

"It will not be a revolution, it will not be massive, but it's a trend in the right direction," Hayek told Reuters, referring to an improvement in Chinese consumer demand.

Swatch, whose brands include Omega and Tissot, has been struggling with weak demand in China - which makes up 24% of group sales - for over a year, with sales once more sliding in the first half of 2025.

The company would deal with the downturn, and had no plans to cut jobs in Switzerland, Hayek said.

"We can cope with it. We can also accept to have less profits," Hayek said. "But we stick with our people."

"We train them. We have our factories. We have our know-how. If there is a slowdown and the capacities cannot be filled, we start to develop new products."