Platinum’s rare nature gives it additional value and appeal

Huw Daniel is the CEO of Platinum Guild International, overseeing market development activities in China, Japan, India and the USA, on behalf of the platinum producers of South Africa. Before taking up this role in 2015, Huw ran PGI USA for 12 years...

13 september 2021

Marco Carniello: We want to continue to be the engine boosting the jewellery industry

Italian Exhibition Group (IEG) is a leader in Italy in the organisation of trade fairs and one of the main operators in the trade fair and conference sector at European level, with structures in Rimini and Vicenza, as well as further sites in...

06 september 2021

There is a significant need for smart and technological financial solutions in the diamond industry

MDPS, the Israeli start-up Fintech company from the Mazalit Group is gearing up to enter the diamond industry soon. Zeev Maimon, the CEO of MDPS is also the Founder / CEO of MAZALIT, a B2B payment platform designed and dedicated to the global diamond...

30 august 2021

The future for synthetics lies in that it has become possible to grow a stone you want and make what you want out of it

Alex Popov, President of the Moscow Diamond Exchange and head of the Âme jewelry brand, which uses lab-grown diamonds to produce jewelry, sat for an interview with Rough&Polished sharing his views on the coexistence of natural and man-made diamonds in...

23 august 2021

De Beers’ GemFair ropes in more than 160 Sierra Leone artisanal miners

De Beers inaugurated its GemFair pilot programme in Sierra Leone’s Kono District with 14-member mine sites in 2018 to create a secure route to market for ethically sourced artisanal and small-scale diamonds. GemFair programme manager Ruby Stocklin-Weinberg...

16 august 2021

Petra Diamonds fails to declare dividend for FY 2016

19 october 2016
Petra Diamonds said it not declare a dividend for the fiscal year 2016 as it failed to meet the distribution covenant associated with its debt facilities for the 12-month measurement period to 30 June 2016.
Since Petra did not meet the distribution covenants it was not permitted by its lender group to declare a dividend for the period under consideration.
However, the company said it was dedicated to resuming returns to shareholders.
“Petra is highly committed to returns to shareholders and the resumption of dividend payments remains a priority for the board,” said company chief executive Johan Dippenaar.
Meanwhile, the group said its revenue for the fiscal year 2016 increased 1 percent to $430.9 million compared with the previous year’s $425.0 million due to an increase in volumes sold, most notably tailings carats sold from the Kimberley Mines joint operation and tolling agreement, partially offset by softer diamond prices.
Adjusted EBITDA rose 18 percent to $164.3 million from $139.3 million, a year earlier, reflecting an adjusted EBITDA margin of 38 percent, which, it said, was a “solid” achievement given that the group was still in the process of transitioning from older mining areas to the mining of undiluted ore.
The group’s net profit after tax also increased 12 percent to $66.8 million compared with $59.6 million realised last year.
It said its production increased 16 percent to 3.7 million carats during the period under review, beating own market guidance of 3.6 – 3.65 million carats, due to additional production from operations in Kimberley that were acquired last January.
Dippenaar said the diamond market remained under pressure in the first half of the year under review, as it continued to be impacted by excess polished inventory in the pipeline, liquidity issues in the midstream, the strong US Dollar and a slowdown in retail demand from China.
“However, a number of steps taken by the major diamond producers to address the challenges, including reduced supply from the major diamond producers (via production cuts and decreased sales volumes), reduced rough diamond pricing and increased consumer marketing (both branded and generic diamond marketing), saw a stabilisation in market conditions in H2, with much improved sales volumes of rough diamonds and a slight increase in prices,” he said.

Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished