Petra Diamonds, which has operations in South Africa and Tanzania, reduced its net debt by $11 million to $201 million as of 30 June 2024, compared to $212 million at 31 December 2023.
Company chief executive Richard Duffy said the decrease in net debt shows Petra’s “agility in exceeding the cost reduction, capital savings and deferral targets announced in November 2023.”
Petra sold about 3.2 million carats in the fiscal year (FY) 2024, a 36% increase compared to 2.3 million carats sold during FY 2023.
Its revenue rose 13% to $366 million during FY 2024 from $324 million a year earlier.
“This increase was driven by the Williamson mine ramping up to steady-state operations and the planned benefit of the delayed sale of the final tender in FY 2023,” said Duffy.
Petra’s annual production was slightly below the revised guidance at 2.73 million carats.
The FY 2024 output was, however, 2% higher compared to 2.66 million carats in FY 2023.
Petra set its production guidance for FY2025 between 2.8 million and 3.1 million carats.
Meanwhile, Duffy said the current diamond market weakness is expected to continue through the end of the calendar year with some price volatility.
“We expect diamond prices to show modest recovery in the new year with market fundamentals providing pricing support in the medium and longer term,” he said.
“We look forward to addressing the challenges ahead of us from a position of strength, with world-class assets that have long-term potential, strong sustainability credentials and an ability to withstand market and capital cycles.”
Mathew Nyaungwa, Editor in Chief of the African Bureau, Rough&Polished
