Rhone Products (UK) Ltd has reported revenues rising by over 14% to £142.26 million last year.
The company is the exclusive importer and distributor for Patek Philippe watches in the UK, and the de facto subsidiary for the Swiss watchmaker.
Patek Philippe’s president, Thierry Stern, is on the board of directors for Rhone Products.
In accounts filed at Companies House, Rhone Products reported revenue rising from £124.3 million in the 2016 financial year (ending January 31 2016) to £142.26 million this year.
At a typical mark-up of x1.6 – x1.9, the value of Patek Philippe watch sales to its network of retailers is likely to have been somewhere between £230 – £270 million last year.
Operating profit rose slightly from £7.9 million to £8.2 million for Rhone Products (UK) Ltd.
The company paid £1.9 million in tax, leaving net profit for the financial year of £6.3 million.
Mark Hearn, managing director of Rhone Products, wrote in a note accompanying the financial report that: “The results for the year and the financial position at the year end were considered satisfactory by the directors, who were pleased with the continued progress despite operating in a continually challenging economic environment.”
Mr Hearn’s assessment for the year ahead, in his report filed in the first week of May, was that “the local economic conditions forecast for 2017, and the forthcoming planned promotional activity, should maintain demand moving forward.”
No mention was made of last year’s weakened pound contributing to rising sales, but the financial report does say that the exchange rate has caused purchasing costs to rise, which has put pressure on achieving acceptable margins.
