@ChrisX1: Sleep Mode won't use your Galaxy Watch7, as the mode is activated/deactivated based on the schedules that you apply, or if you turn it on manually.
Think of the Sleeping condition as an alternative to setting an alarm via the clock app, as you can use it to assign your sleep time, and set up a Wake-up alarm to sound at the end of the sleep time period.
@ChrisX1: Your Watch7 tracks your sleep patterns when the feature is enabled, however this is not connected to Sleep Mode on your phone. Sleep mode is designed to help you wind down, and avoid disturbances or distractions so you're able to sleep better, and achieves this by enabling Do not disturb and applying Greyscale to your display to reduce blue light exposure.
If your Watch is displaying a different alarm time to the one you have enabled in the Sleep Mode settings, then I recommend checking the Alarm app on the Watch itself, and disabling any alarms that you may have set up here. Similarly, check the Clock app > Alarms on your connected phone, and remove any conflicting alarms from here (press and hold on the alarm > Delete (or Delete all)).
