REG-Petra Diamonds Ltd: Q1 FY 2026 Operating Update

Petra DiamondsAnnouncement

Yesterday 07:02

 

 

 

 

 

 

 29 October 2025    
 LSE: PDL           

 

 

Petra Diamonds Limited

(                     Petra                     or                      the
Company                    )

 

Q1 FY 2026 Operating Update

 

Vivek Gadodia and Juan Kemp, Joint Interim Chief Executive Officers of Petra
Diamonds, commented:

 

“As mentioned in our FY 2025 Financial Results announcement on 17 October
2025, this quarter we have been focused on the continued execution of our
updated business plan. Our product mix has continued to improve, especially
for Cullinan Mine, as evidenced by the results of our first two tenders of FY
2026. The tenders delivered US$52 million in revenue with average prices
increasing 53% over Q4 FY 2025, with product mix contributing 61%, partially
offset by an 8% decrease in like-for-like prices.                             
  

 

Cullinan Mine faced some productivity issues in the early part of the quarter
as it transitioned from a continuous operation to its new 3-shift
configuration, but this has since begun to stabilise. Finsch had a steady
production quarter as we continue to open up new parts of the orebody. We
remain confident of delivering on our FY 2026 guidance released in August
2025.

 

Petra recorded 8.5 years fatality free by the end of Q1 FY 2026 representing
8.5 million fatality free shifts, with the LTIFR improving to 0.27 from 0.58
in Q4 FY 2025. Safety remains a key priority area with the key focus on
reinstating a sense of stability for our employees following a time of
significant internal change at the Company."

 

Investor presentation

 

The Company is pleased to announce that the Joint Interim Chief Executive
Officers and the Chief Financial Officer will provide a live presentation
relating to this update, and recent newsflow, via Investor Meet Company on 30
Oct 2025, 11:30 GMT.

 

The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
29 Oct 2025, 17:00 GMT, or at any time during the live presentation.

 

Investors can sign up to Investor Meet Company for free and add to meet PETRA
DIAMONDS LIMITED via:

 

https://www.investormeetcompany.com/petra-diamonds-limited/register-investor

Highlights vs Q4 FY 2025

 
*                        LTIFR reduced to 0.27 and LTIs halved to 2 (Q4 FY
2025: 0.58 and 4, respectively)                      
*                        Ore processed decreased marginally by 1% to 1.74Mt at
Cullinan Mine and Finsch, showing steady state production (Q4 FY 2025:
1.77Mt), despite the move away from Continuous operations to the new 3-shift
configuration at the Cullinan Mine                     
*                        Total revenue amounted to US$52 million (Q4 FY 2025:
US$50 million) from 469,286 carats sold (Q4 FY 2025: 687,870 carats), with an
average price of US$110/ct (Q4 FY 2025: US$72/ct)                     
*                        The South African Rand strengthened during the
quarter, averaging ZAR17.64:US$1 (Q4 FY 2025: ZAR18.29:US$1)                  
  
         *                        The ZAR1.75 billion (US$102 million)
Revolving Credit Facility with Absa Bank was fully drawn at 30 September 2025
(30 June 2025: fully drawn)                     
*                        Consolidated net debt increased to US$287 million as
at 30 September 2025 (30 June 2025: US$264 million), due to only having two
tenders during the quarter                      
*                        Average diamond prices increased 53% from Q4 FY 2025
to Q1 FY 2025, with like-for-like prices down by 8% and product mix
improvements contributing to a 61% increase
 

Operating Summary

 

                              Unit    FY 2026    FY 2025  1                                    
                              Q1                 Q4         Var.   Q1         Var.  12 months  
 Safety                                                                                        
 LTIFR                        Rate    0.27       0.58       -53%   0.45       -40%  0.42       
 LTIs                         Number  2          4          -50%   4          0%    13         
                                                                                               
 Sales                                                                                         
 Diamonds sold                Carats  469,286    687,870    -32%   19         n/a   2,359,904  
 Revenue 2                    US$m    52         50         +4%    9          n/a   206        
                                                                                               
 Production                                                                                    
 ROM tonnes                   Mt      1,587,808  1,691,762  -6%    1,566,837  +1%   6,485,074  
 Tailings and other tonnes    Mt      154,756    74,249     +108%  98,002     +58%  407,579    
 Total tonnes treated         Mt      1,742,564  1,766,011  -1%    1,664,839  +5%   6,892,653  
                                                                                               
 ROM diamonds                 Carats  565,750    599,104    -6%    518,364    +9%   2,248,645  
 Tailings and other diamonds  Carats  43,586     20,270     +115%  48,857     -11%  180,190    
 Total diamonds               Carats  609,336    619,374    -2%    567,221    +7%   2,428,835  

1                                All figures exclude Williamson which, having
been sold during FY 2025, was classified as a discontinued operation in our FY
2025 audited results

2                     Revenue reflects proceeds from the sale of rough
diamonds and excludes revenue from profit share arrangements


LTIs and LTIFR

 

The Group reached 8.5 million fatality-free shifts during the quarter, with a
significant (50%) reduction in LTI compared to Q4 FY 2025 (Q1 FY 2026: LTI: 2,
LTIFR: 0.27) and (Q4 FY 2025: LTI: 4, LTIFR: 0.58).

 

Various interventions and initiatives have been implemented at our operations.
These initiatives intend to address specific challenges at each operation to
ensure the health and safety of our employees. These initiatives include:

 
*                        Increased management visibility through Visual Felt
Leadership interventions                     
*                        Empowerment of Health and Safety Representatives in
the workplace to conduct their duties effectively                     
*                        Enhanced on-the-job coaching for risk assessments    
                
*                        Targeted safety blitzes to address specific
operational risks
 

These efforts are aimed at strengthening our safety culture and ensuring that
every team member remains vigilant and empowered to work safely.

 

Q1 FY 2026 sales results

 

Diamond sales for Q1 FY 2025 were US$52 million from 469,286 carats. Average
prices increased 53% over Q4 FY 2025, with product mix contributing 61%,
partially offset by an 8% decrease in like-for-like prices across all product
categories. Rough diamond sales results for the respective periods are shown
below.

 

There were no tender sales in Q1 FY 2025 and therefore the tables do not
include a comparison against the prior period.

 

                         Quarter 1   FY 2026  Quarter 4   FY 2025  Variance  FY 2025  1  
 Diamonds sold (carats)  469,286              687,870              -32%      2,359,904   
 Sales (US$ million)     52                   50                   +4%       206         
 Average price (US$/Ct)  110                  72                   +53%      87          

 

                      1                                All figures exclude
Williamson which, having been sold during FY 2025, was classified as a
discontinued operation in our FY 2025 audited results



Price comparison by operation

 

Mine by mine average prices for the respective periods are set out in the
table below:

 

 US$/carat      Quarter 1   FY 2026  Quarter 4  FY 2025  FY 2025  
 Cullinan Mine  130                  73                  96       
 Finsch         81                   70                  74       

 

Pricing assumptions for FY 2026 remain unchanged:

 

                FY 2026     
 Cullinan Mine  85 – 105    
 Finsch         75 – 95     

 

Future diamond prices are influenced by a range of factors outside of
Petra’s control and so these assumptions are internal estimates only and no
reliance should be placed on them. The Company’s pricing assumptions will be
considered on an ongoing basis and may be updated as appropriate.

 

For further information please contact

 

Investor Relations, London

                                                                   

Julia Stone                                                      
Telephone: +44 (0)7495470187

Kelsey Traynor

investorrelations@petradiamonds.com

 

 

Notes:

The following definitions have been used in this announcement:
1.            cpht: carats per hundred tonnes          
2.            LTIs: lost time injuries          
3.            LTIFR: lost time injury frequency rate, calculated as the number
of LTIs multiplied by 200,000 and divided by the number of hours worked       
  
4.            FY: financial year ending 30 June          
5.            CY: calendar year ending 31 December          
6.            Q: quarter of the financial year          
7.            ROM: run-of-mine (i.e. production from the primary orebody)     
    
8.            m: million          
9.            Mt: million tonnes          
10.            Mcts: million carats          
11.            period: the first quarter of FY 2026          
12.            Preceding Period: Q4 FY 2025          
13.            Prior Period: Q1 FY 2025
 

 

ABOUT PETRA DIAMONDS

 

 

Petra Diamonds                     is a leading independent diamond mining
group and a supplier of gem quality rough diamonds to the international
market. The Company's portfolio incorporates interests in two underground
mines in                     South Africa                     (Cullinan Mine
and Finsch).

 

Petra's strategy is to focus on value rather than volume production by
optimising recoveries from its high-quality asset base in order to maximise
their efficiency and profitability. The Group has a significant resource base
which supports the potential for long-life operations.

 

Petra strives to conduct all operations according to the highest ethical
standards and only operates in countries which are members of the Kimberley
Process. The Company aims to generate tangible value for each of its
stakeholders, thereby contributing to the socio-economic development of its
host countries and supporting long-term sustainable operations to the benefit
of its employees, partners and communities.

 

Petra is quoted on the Main Market of the                     London Stock
Exchange                     under the ticker 'PDL'. The Company's loan
notes, due in 2026, are listed on EuroNext Dublin (Irish Stock Exchange). For
more information, visit                                           
www.petradiamonds.com                               .

 

 

Corporate and financial summary as at 30 September 2025                       
       1

 

                                          Unit          As at 30 September   2025  As at 30 June   2025  As at 31 March 2025  As at 31 December   2024  As at 30 September   2024  
 Total cash at bank 3                     US$m          46                         49                    36                   52                        47                         
 Diamond debtors                          US$m          2                          12                    2                    -                         -                          
 Diamond inventories 4                    US$m  Carats  44   468,733               30  328,689           31  397,182          27  346,037               84  826,857                
 2026 Loan Notes 5                        US$m          233                        226                   231                  225                       245                        
 Bank loans and borrowings 6              US$m  ZARm    102   1,750                99  1,750             66  1,205            43  805                   76  1,305                  
 Consolidated Net Debt 7                  US$m          287                        264                   258                  215                       273                        
 Bank facilities undrawn and available 5  US$m          -                          -                     30                   50                        26                         

 

Notes:
1.            All figures exclude Williamson which, having been sold during FY
2025, was classified as a discontinued operation in our FY 2025 audited
results          
2.            The following exchange rates have been used for this
announcement: average for 3M FY 2025 US$1: ZAR17.64 (FY 2025: US$1: ZAR18.15);
closing rate as at 30 September 2025 US$1: ZAR17.25 (30 June 2025: US$1:
ZAR17.75; 31 December 2024: US$1: ZAR18.85; and 30 June 2024: US$1: ZAR18.19).
         
3.            The Group’s cash balances comprise unrestricted balances of
US$27 million, and restricted balances of US$19 million.          
4.            Recorded at the lower of cost and net realisable value.         

5.            The 2026 Loan Notes, originally issued following the capital
restructuring (the “Restructuring”) completed during March 2021, have a
carrying value of US$233 million which represents the outstanding principal
amount of US$186 million plus US$48 million of capitalised (PIK) and accrued
interest and is net of unamortised transaction costs of US$1 million.         
 
6.            Bank loans and borrowings represent the Group’s ZAR1.75
billion (US$102 million) revolving credit facility. As at 30 September 2025,
the whole facility was drawn.           
7.            Consolidated Net Debt is bank loans and borrowings plus loan
notes, less cash and diamond debtors.
 


Mine-by-mine tables:

 

Cullinan Mine – South Africa

                          Unit    FY 2026    FY 2025                                       
                          Q1                 Q4         Var.   Q1         Var.  12 months  
 Sales                                                                                     
 Revenue                  US$m    36         35         +3%    9          n/a   135        
 Diamonds sold            Carats  278,968    481,690    -42%   19         n/a   1,416,351  
 Average price per carat  US$     130        73         +78%   450,928    n/a   96         
                                                                                           
 ROM Production                                                                            
 Tonnes treated           Tonnes  959,257    1,094,268  -12%   1,089,570  -12%  4,292,080  
 Diamonds produced        Carats  286,897    333,393    -14%   314,126    -9%   1,272,818  
 Grade 1                  Cpht    29.9       30.5       -2%    28.8       +4%   29.7       
                                                                                           
 Tailings Production                                                                       
 Tonnes treated           Tonnes  154,756    74,249     +108%  98,002     +58%  407,579    
 Diamonds produced        Carats  43,586     20,270     +115%  48,847     -11%  180,190    
 Grade 1                  Cpht    28.2       27.3       +3%    49.9       -43%  44.2       
                                                                                           
 Total Production                                                                          
 Tonnes treated           Tonnes  1,114,013  1,168,517  -5%    1,187,572  -6%   4,699,659  
 Diamonds produced        Carats  330,483    353,663    -7%    362,983    -9%   1,453,008  

Note:                                1.                                       
                      Petra is not able to precisely measure the ROM /
tailings grade split because ore from both sources is processed through the
same plant; the Company therefore back-calculates the grade with reference to
resource grades.

 

Finsch – South Africa

                          Unit    FY 2026  FY 2025                                  
                          Q1               Q4       Var.  Q1       Var.  12 months  
 Sales                                                                              
 Revenue                  US$m    15       14       +7%   -        n/a   70         
 Diamonds sold            Carats  190,318  206,180  -8%   -        n/a   943,554    
 Average price per carat  US$     81       70       +16%  -        n/a   74         
                                                                                    
 ROM Production                                                                     
 Tonnes treated           Tonnes  628,552  597,495  +5%   477,267  +32%  2,192,994  
 Diamonds produced        Carats  278,853  265,712  +5%   204,238  +37%  975,828    
 Grade                    Cpht    44.4     44.5     0%    42.8     4%    44.5       

 



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