UK's Gem Diamonds H1 revenue rises 32% on higher prices

Gem Diamonds

03/09/2026 07:12

Overview
UK diamond producer's H1 revenue rose 32% yr/yr, driven by higher prices and quality
Company returned to profit in H1 with EPS of 0.5 US cents, after prior-year loss
Cost control and royalty relief supported improved EBITDA and reduced net debt

Outlook
Gem Diamonds says FY2026 production and cost forecasts remain in line with guidance
Company says diamond market recovery timing and extent remain uncertain
Gem Diamonds is in talks to renew or extend revolving credit facilities expiring December 2026

Result Drivers
HIGHER PRICES AND QUALITY - Co said increased revenue was due to improved quality of diamonds sold and higher prices achieved
COST REDUCTIONS - Structural cost measures and the Business Resilience Programme implemented in July 2025 materially reduced operating costs, per CEO Clifford Elphick
ROYALTY RELIEF - Extended suspension of Letšeng royalties lowered selling costs and supported profitability

Company press release: ID:nRSC1719Ta

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
$59.70 mln
 
H1 EPS
 
$0.005
 
H1 Net Income
 
$2.20 mln
 
H1 Adjusted EBITDA
 
$8.60 mln
 
H1 Pretax Profit
 
$3.10 mln
 

Analyst Coverage
The one available analyst rating on the shares is "strong buy"
The average consensus recommendation for the non-gold precious metals & minerals peer group is "buy."
Wall Street's median 12-month price target for Gem Diamonds Ltd is GBp13.00, about 108% above its September 2 closing price of GBp6.25

Reuters Recommended Reads
Sept 1 - South Africa's Sibanye-Stillwater H1 revenue jumps on strong commodity prices
Sept 1 - Sibanye presses ahead with first copper project as half-year profit triples

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)