Petra Diamonds has reported a decline in revenue and like-for-like prices at its latest tender, with a cautious outlook for the remainder of 2024. Despite this, the company noted a 13% increase in total revenue for the financial year compared to FY 2023.
During its seventh and final tender cycle of FY 2024, Petra achieved $38 million from the sale of 337,064 carats, marking a nearly 14% decrease from the previous tender held in May, where $49 million was generated. Like-for-like prices decreased by 3.8% compared to the preceding tender, which Petra attributed to decreased demand for larger rough diamonds, particularly in the 1 to 10 carat range.
For the entire FY 2024, average like-for-like prices declined by 12.4% compared to FY 2023 figures. However, total revenue from rough diamond sales for FY 2024 reached $366 million, reflecting a significant 13% rise from $324 million in FY 2023, excluding the Koffiefontein mine currently under care and maintenance and slated for sale.
Petra highlighted that year-on-year volume differences were influenced by the deferment of certain diamond parcels from FY 2023, which were eventually sold in the first tender of FY 2024.
Richard Duffy, CEO of Petra Diamonds, acknowledged the challenging market conditions, stating, “We anticipate a subdued market for the remainder of the year. Our FY 2025 pricing assumptions, recently disclosed, remain unchanged.”
