Part 2: KPCSC wants Russia to help end impasse on new definition of conflict diamonds

In the first installment of this two-part exclusive interview with Shamiso Mtisi, the coordinator of the Kimberley Process Civil Society Coalition (KPCSC), we focused on illegal diamond mining in the continent and where the contraband ends up...

25 october 2021

Part 1: KPCSC gives insight into illegal diamond mining, trading in Africa

Although the diamond watchdog Kimberley Process (KP) prides itself for significantly reducing the flow of conflict goods since its establishment in 2003, the Kimberley Process Civil Society Coalition (KPCSC) alleged that illegal diamond...

18 october 2021

The jewelry industry in Russia needs to be upgraded in a serious way

Dina Nasyrova is a vice-president of the International Jewelry Exhibition-Congress J-1 recently hosted by the Atrium of Gostiny Dvor in Moscow. As a partner and the Muse of the famous jeweler Ilgiz Fazulzyanov, she actively participated in the preparation...

11 october 2021

Smiling Rocks, a philanthropic business model, inspires companies to work for betterment of the world

Zulu Ghevriya, the CEO and Co-Founder of Smiling Rocks, Founder of Vedantti Jewellery and Managing Director of Prism Group has been in the diamond and jewellery industry for over 20 years. Zulu started his business, Prism Group, as a natural diamond...

04 october 2021

Work hard and you will find success

Eduard Utkin, Director General of the “Jewellers’ Guild of Russia” Association, expert of the RF Chamber of Commerce and Industry’s Committee on Precious Metals and Precious Stones, told R&P about implementing the SIIS PMPS (State Integrated Information...

27 september 2021

ALROSA's net profit for the first quarter fell 87% y-o-y

05 june 2020

alrosa_logo.jpgALROSA’s net profit for the 1st quarter of 2020 under IFRS amounted to 3 billion rubles, which is a 74% drop from 11.7 billion rubles compared to the previous quarter and fall of 87% compared to last year due to non-cash factors (foreign exchange loss of RUB 21 bn resulting from the revaluation of foreign currency debt).
Revenue in Q1 was RUB 63 bn (-3% q-o-q) amid a 14% decline in the average realised price, and decrease in other revenue and income from grants.
On a y-o-y basis, revenue decreased by 11% as a result of lower sales volumes (down 11% y-o-y) caused by COVID-19 and price index reduction.
EBITDA increased to RUB 30 bn (up 2% q-o-q) mainly due to seasonal reduction in social and SG&A expenses. A 4% y-o-y reduction resulted primarily from lower sales volumes (down 11%).
EBITDA margin expanded to 48% (up 2 pp q-o-q and up 4 pp y-o-y) on the backdrop of lower costs.
Free cash flow (FCF) in Q1 went up by 30% q-o-q to RUB 22 bn amid a stronger operating cash flow (up RUB 0.7 bn) and a seasonal reduction in CAPEX (down RUB 4.3 bn).
A 16% y-o-y decline was mostly driven by a RUB 5.2 bn decrease in the operating cash flow partially offset by a RUB 1.2 bn reduction in CAPEX.
ALROSA also released a revised production plan, which was reduced to 28-31 million carats (previously 34 million carats).
In addition, the company cut CAPEX from RUB 22 bn to RUB 20 bn.

Victoria Quiri, Correspondent of the European Bureau, Rough & Polished, Strasbourg