The net profit of the Russian diamond mining company ALROSA under IFRS decreased in the first half of 2023 to 55.57 billion rubles ($547 million), against 85.32 billion rubles ($836.5 million) in the same period a year earlier.
At the same time, the company's revenue in the reporting period increased slightly to 188.2 billion rubles, against 187.88 billion rubles in January-June 2022.
In the second quarter, ALROSA's net profit decreased by 25% to 27.07 billion rubles against 36.12 billion rubles a year earlier, while revenue increased by 8% to 92.51 billion rubles.
Profit from sales amounted to 57.9 billion rubles, which is 28% less than a year earlier.
ALROSA added that pressure of sanctions on the company's operations and increased market volatility are factors that could affect its business continuity in the future.
At the same time, ALROSA currently notes the stability of its operations even in the face of declining profits: "The group has no intention or need to significantly reduce the volume of operating activities. The Group considers its current liquidity position sufficient for sustainable operation."
Theodor Lisovoy, Editor in Chief of the European bureau, Rough&Polished
