Petra Diamonds reported a 13% increase in sales for the full fiscal year, driven by higher recovery and sales of rough diamonds that were carried over from the previous period due to low demand.
The company announced on Tuesday that revenue rose to $366 million for the 12 months ending June 30. Sales volume also saw a significant growth of 36%, totaling 3.2 million carats.
Petra credited part of the sales boost to the successful ramp-up of steady processing at its Williamson mine. Additionally, the company sold rough diamonds that were held back from sale in the previous year when prices were depressed due to weak demand.
The miner also benefited from revising last year’s figures, which included sales from the now-discontinued Koffiefontein mine in South Africa.
In the fourth quarter of the fiscal year (April to June), revenue surged by 124% to $112 million, with sales volume increasing by 82% to 1 million carats. By the end of the quarter, Petra’s inventories decreased to 286,303 carats, down from 715,222 carats on June 30, 2023.
Annual production slightly exceeded 2.73 million carats, a 2% increase primarily driven by enhanced ore processing at Williamson, albeit slightly below initial expectations.
Looking ahead to the fiscal year ending June 2025, Petra anticipates diamond output to range between 2.8 million and 3.1 million carats, down from its previous forecast of 3.4 million to 3.7 million carats due to the closure of the Koffiefontein mine.
CEO Richard Duffy acknowledged the current weakness in the diamond market, expecting it to persist through the end of the calendar year with some price fluctuations. However, he expressed optimism for a modest recovery in diamond prices in the new year, supported by market fundamentals in the medium and long term. Duffy highlighted Petra’s confidence in its world-class assets and resilience in navigating market and capital cycles.
