HomeDiamonds & GemstonesGem Diamonds records H1,2021 revenue of US$104 million

Gem Diamonds records H1,2021 revenue of US$104 million

Gem Diamonds has provided a Trading Update detailing the Group’s operational and sales performance from 1 January 2021 to 30 June 2021 (H1 2021.)

Highlights:

  • Three diamonds greater than 100 carats were recovered during the Period, including the recovery of the high quality 367 and 254 carat Type IIa white diamonds.
  • The highest price per carat achieved in the Period was US$119 886 for a 3.35 carat pink diamond.
  • The highest price per carat achieved in the Period for a white Type IIa diamond was US$40 139 for the 254 carat stone.
  • Carats recovered during the Period were 58 831 (H2 2020: 57 504).
  • Carats sold during the Period were 55 124 (H2 2020: 55 939).
  • Revenue for the Period was US$104.0 million (H2 2020: US$115.1 million).
  • Average price achieved for Q2 2021 was US$2 131 per carat, an increase of 31% over Q1 2021, resulting in an average of US$1 886 for the Period (H2 2020: US$2 057 per carat).
  • 10 diamonds sold for more than US$1.0 million each, generating revenue of US$36.1 million during the Period.
  • The 2021 production and cost guidance, as reported on 11 March 2021, remains on target.

Gem Diamonds’ CEO, Clifford Elphick, comments:

“It is pleasing to see demand for Letšeng’s high quality diamonds continue the upward momentum from late 2020 with strong prices achieved in the Period.

The stringent Covid-19 protocols implemented at Letšeng have contained infections and allowed operations to continue in a safe and responsible manner especially through the recent third wave experienced in Southern Africa. It is encouraging to have received confirmation from the Lesotho Department of Health that the vaccination rollout at the Letšeng mine will commence on 13 August.

We were pleased to welcome Rosalind Kainyah to the Board and are grateful to Johnny Velloza, who has stepped off the Board, for the invaluable service he has given to the Company over the past 5 years, initially as COO and deputy CEO and more recently as a non-executive director and are delighted that he will continue to act for the Group in a consultant capacity.”

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