The Swatch Group AG reported a significant decline in its first-half financial results, attributing the downturn to weak demand for luxury goods in China. The company reported a net profit of CHF 147 million, a sharp decrease from CHF 498 million in the same period last year. Operating profit also fell to CHF 204 million, down from CHF 500.2 million, while revenue dropped to CHF 3.45 billion from CHF 3.77 billion. The revenue decline of 14.3% contrasts with an expected increase of 1.5%. This disappointing performance has led to a substantial drop in Swatch's share price, marking the most significant decline in four years, with shares hammered.