REG - Gemfields Group Ltd - Trading Statement

GemfieldsAnnouncement

14/09/2023 07:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230914:nRSN3970Ma&default-theme=true

RNS Number : 3970M  Gemfields Group Limited  14 September 2023

Incorporated in Guernsey. Guernsey registration Number: 47656.

South African external company registration number 2009/012636/10

Share code on JSE:GML  / AIM:GEM

    ISIN: GG00BG0KTL52   |   LEI: 21380017GAVXTCYS5R31

("Gemfields" or the "Company")

 

Trading Statement for the six months ended 30 June 2023

LONDON, 14 SEPTEMBER 2023

In accordance with paragraph 3.4(b) of the JSE Listings Requirements,
Gemfields is reasonably certain that its net profit after tax(1) will be USD
18.1 million for the six months ended 30 June 2023 (comparative six-month
period ended 30 June 2022: USD 56.7 million). In ZAR terms, the net profit
after tax is expected to be ZAR 334 million (comparative period: ZAR 864
million).

Earnings per share(2) is expected to be USDc 0.8 for the six months ended 30
June 2023 (comparative period: USDc 3.7). In ZAR terms, the earnings per share
is expected to be ZARc 14.9 (comparative period: ZARc 57.1).

Gemfields' two key operating assets, Kagem and MRM, generated revenues of USD
64.6 million and USD 80.4 million respectively during the six-month period to
30 June 2023 (comparative period: Kagem - USD 85.2 million; MRM - USD 95.6
million). After the step-change in market pricing seen in 2022, the
commercial-quality emerald and mixed-quality ruby auctions saw robust demand
for coloured gemstones, alongside June's higher-quality emerald auction
setting a new record for any Kagem auction.

Fabergé recorded revenues of USD 8.4 million (comparative period: USD 9.5
million) due to a softer luxury market. A review of Gemfields' shareholding in
Sedibelo Resources Limited ("Sedibelo") has resulted in a fair value write
down of USD 13.3 million to USD 18.7 million. The write down of the asset
reflects the reduced public market valuations for comparable platinum group
metals companies and the reduced operating and financial results for Sedibelo
over the period.

Headline earnings per share(2), which includes Sedibelo's fair value loss, is
expected to be USDc 0.8 for the six months ended 30 June 2023 (comparative
period: USDc 3.7). In ZAR terms, headline earnings per share is expected to be
ZARc 14.9 (comparative period: ZARc 57.1).

Adjusted headline earnings per share(2), which excludes Sedibelo's fair value
loss, is expected to be USDc 1.9 for the six months ended 30 June 2023
(comparative period: USDc 4.1). In ZAR terms, headline earnings per share is
expected to be ZARc 35.1 (comparative period: ZARc 62.6). ( )

The Company's weighted average shares in issue during the six months ended 30
June 2023 was 1,214,296,090 (1,177,416,414 for the six months ended 30 June
2022).

The financial information upon which this trading statement is based, is under
review by Gemfields' auditors. The Company's financial results for the six
month period ended 30 June 2023 are expected to be released on SENS and RNS on
22 September 2023.

(1) Net profit after tax is reported on a 100% basis for the current period
(i.e. inclusive of the minority interest).

(2) Per share metrics based on weighted average number of shares over the
period and earnings are based on parent-only figures (i.e. exclusive of the
minority interest).

 

Shareholder and analyst webcast

There will be a shareholder and analyst webcast on Friday, 22 September 2023
at 09:00 am (UK) / 10:00 am (South African). Sean Gilbertson (CEO) and David
Lovett (CFO) will present the Company's 2023 Interim Results. The webcast will
contain a telephone dial-in option. Questions will only be taken in writing
via the webcast page. The Company will also accept questions received before
the webcast via email to ir@gemfields.com (mailto:ir@gemfields.com) .

Shareholders who wish to participate in the webcast are requested to register
via the link below:
https://investorpresentations.co.za/gemfields/events/39-gemfields-group-limited-interim-results-presentation
(https://protect-eu.mimecast.com/s/2ED5CL8MBfRGLB2sB12Jy?domain=investorpresentations.co.za)

Should you have any further queries with regards to the proceedings of the
event, kindly contact Investor Relations (ir@gemfields.com
(mailto:ir@gemfields.com) ) below by 5pm (UK) on Thursday, 21 September 2023
to obtain further details.

 

-ENDS-

 

Further information on Gemfields Group Limited can be found at:

 GEMFIELDSGROUP.COM (http://WWW.GEMFIELDSGROUP.COM)

 

To join our investor mailing list, contact us on:
ir@gemfields.com (mailto:ir@gemfields.com)

 

For any press enquiries please contact us on:
gemfields@camarco.co.uk (mailto:gemfields@camarco.co.uk)

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) no. 596/2014 which forms part of domestic UK
law pursuant to the European Union (withdrawal) act 2018 ("MAR").

 

ENQUIRIES

 

 

 GEMFIELDS                  Sean Gilbertson / David Lovett / Ian Hughes

                            ir@gemfields.com (mailto:ir@gemfields.com)

T:  +44(0) 20 7518 3400
 SPONSOR (JSE)              Investec Bank Limited
 NOMINATED ADVISER          Cavendish Capital Markets Limited

(AIM) & JOINT BROKER      Christopher Raggett / Tim Redfern / Edward Whiley
                            T: +44(0) 20 7220 0500
 JOINT BROKER               Liberum

Scott Mathieson / Kane Collings
                            T: +44(0) 20 3100 2222
 FINANCIAL PR/ IR           Camarco
                            Gordon Poole / Emily Hall

T: +44(0) 20 3757 4980

 

 

 

 

ADDITIONAL INFORMATION ON GEMFIELDS

 

Gemfields is a world-leading responsible miner and marketer of coloured
gemstones. Gemfields is the operator and 75% owner of both the Kagem emerald
mine in Zambia (believed to be the world's single largest producing emerald
mine) and the Montepuez ruby mine in Mozambique (one of the most significant
recently discovered ruby deposits in the world). In addition, Gemfields also
holds controlling interests in various other gemstone mining and prospecting
licences in Zambia, Mozambique, Ethiopia and Madagascar.

 

Gemfields' outright ownership of Fabergé - an iconic and prestigious brand of
exceptional heritage - enables Gemfields to optimise positioning, perception
and consumer awareness of coloured gemstones through Fabergé designs,
advancing the wider group's "mine and market" vision.

 

Gemfields has developed a proprietary grading system and a pioneering auction
and trading platform to provide a consistent supply of coloured gemstones to
downstream markets, a key component of Gemfields' business model that has
played an important role in the growth of the global coloured gemstone sector.

 

 

GEMFIELDS

GEMFIELDS.COM (https://gemfields.com/) (https://gemfields.com/) | INVESTORS
(https://www.gemfieldsgroup.com/) (https://www.gemfieldsgroup.com/)
|FOUNDATION (https://www.gemfieldsfoundation.org/)

INSTAGRAM (https://www.instagram.com/gemfields/)
(https://www.instagram.com/gemfields/) | FACEBOOK
(https://www.facebook.com/Gemfields/) (https://www.facebook.com/Gemfields/) |
TWITTER (https://twitter.com/GemfieldsLtd?lang=en)
(https://twitter.com/GemfieldsLtd?lang=en) | YOUTUBE
(https://www.youtube.com/channel/UCArCE0JFtakTP-tHq6v0KVg)

 

FABERGÉ

FABERGÉ.COM (https://www.faberge.com/) | INSTAGRAM
(https://www.instagram.com/officialfaberge/)
(https://www.instagram.com/officialfaberge/) | FACEBOOK
(https://www.facebook.com/OfficialFaberge)
(https://www.facebook.com/OfficialFaberge) | TWITTER
(https://twitter.com/OfficialFaberge) (https://twitter.com/OfficialFaberge) |
YOUTUBE (https://www.youtube.com/user/officialfaberge)

 

KAGEM MINING LINKEDIN (https://www.linkedin.com/company/kagem-mining-ltd)

MONTEPUEZ RUBY MINING LINKEDIN
(https://www.linkedin.com/company/montepuez-ruby-mining)

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTGGGDCBBBDGXS