HOW SWATCH FOUGHT OFF THREAT OF APPLE WATCH

SWATCH has ticked back into growth as it fights back against Apple’s smart watches.

The world’s biggest watchmaker saw sales of its watches and jewellery grow 2.9pc over the latest half year, with income for the Swiss group up 6.8pc to £227m.

It marks a comeback for the Omega and Longines owner, whose profits fell 47pc to £480m during 2016.

Swiss watchmakers have been hurt by declining sales in Hong Kong amid a crackdown on gift giving and corruption.

Sales have also slowed in London while there is increased competition from products such as Apple’s smart watch. But yesterday Swatch said demand in China and Europe was improving, with Hong Kong sales stabilising.

Bosses said sales for the whole group had grown 1.2pc over the latest half year, with growth in all brands, in particular prestige and luxury.

Jon Cox, luxury goods analyst at Kepler Cheuvreux, told Reuters: ‘Most people expect the watch market to improve in the second half of the year, but they don’t expect any fireworks.’