Diamond Sales Surged 49% for Alrosa in 2021
Together, rough and polished sales topped $4 billion, fueled by consistent consumer demand for diamond jewelry.
The mining company reported late last week that fourth-quarter sales of rough and polished diamonds amounted to $895 million ($844 million in rough and $51 million in polished), down 27 percent from $1.22 billion in the prior-year period.
Alrosa attributed the drop to being up against a strong Q4 2020—diamond sales picked up midway through 2020 after the initial COVID lockdowns eased—and some December sales shifting to January.
For the full year, sales were up 49 percent, topping $4 billon, including $3.98 billion in rough sales and $192 million in polished.
In volume terms, fourth-quarter diamonds sales were down 45 percent year-over-year to 9.4 million carats due the strength of Q4 2020 and Alrosa having “minimum levels” of rough diamond inventory available for sale.
Industry analyst Edahn Golan observed on social media that high demand coupled with lower-than-usual production resulted in Alrosa’s 2021 sales and inventories nearly aligning, which is “uncharacteristic” for the miner.
ALROSA tends to hold inventories that are double its sales. This allows it to build consistent assortments.
— Edahn Golan (@edahn) January 21, 2022
In 2021, ALROSA’s sales and inventories were near fully aligned. This is a result of a lower than usual production against very high demand. Very uncharacteristic. pic.twitter.com/luE5in2PCi
Revenue per-carat from gem-quality diamonds was $124/carat, up 36 percent year-over-year. For the full year, revenue per carat totaled $128, up 17 percent due to higher prices and changes in the sales mix.
Alrosa’s diamond production rose too, both in the fourth quarter and on the year.
Fourth-quarter production was up 29 percent due to ore processing volume growth at Severalmaz and Aikhal, and a higher grade at the underground International diamond mine.
For the year, production was up 8 percent, reaching 32.4 million carats, due primarily to the V. Munskoye and Nyurba divisions.
Commenting on the market, Alrosa noted that consumer sentiment remained strong during the holiday season, with reports suggesting U.S. jewelers experienced their best holiday season in years.
Polished diamond prices rose in November and December on the back of stable orders from the United States while demand for rough diamonds is greater than the supply, which is a “boon” for rough prices, Alrosa said.
The Latest
Its “Her-ology” report highlights trends in the women’s luxury watch market, from top brands to movement preferences.
The smoked heirloom tomato mezcal martini, only available at Adalina in Chicago, is served with a 9-carat diamond tennis necklace.
Scheduled for Sept. 25, the online-only event will be open to non-AGS members this year, for a fee.
Growing your Instagram following organically is more important than ever in today's technological environment.
Customers in more than 150 countries can now shop at the jewelry retailer’s online store.
The organization, which was started by the International Colored Gemstone Association, is now a 501(c)(3).
The Gemvision founder is remembered as a passionate mentor with a deep love for God.
Supplier Spotlight Sponsored by GIA.
The “Golden Hour” collection was designed to “inspire and encourage reflection,” said the brand.
Movado has named five new brand ambassadors, featuring them in its new “When I Move You Move” campaign.
The jewelry historian discusses the history and cultural significance of jewelry throughout time and across the globe.
Bonhams will offer more than 70 pieces of the late dignitary’s jewelry next month.
The “Love, Unleashed” campaign is an ode to love, featuring 16 new designs from Hearts On Fire’s “Vela” collection.
It’s showtime for these jewels, inspired by the motifs and color palette of the new Tim Burton film.
CEO Efraim Grinberg pointed to a challenging consumer spending environment, particularly in the watch category.
Inspired by a 19th century sculpture, Mandler transformed gold into liquid for these earrings.
The model and entrepreneur stars in two new Chopard campaigns.
Members of the founding family partnered with Mexican retail company El Puerto de Liverpool to possibly take Nordstrom private.
The iconic design has joined a lineup of notable pieces featured in the jeweler’s “With Love, Since 1837” campaign.
Ralph Simons is now CEO of the jewelry brand started by fashion designer Michal Kadar and her husband, Avraham Kadar, in 2015.
Jen Cullen Williams and Duvall O’Steen say it’s all about giving your social media feeds a human touch.
The models and friends of founder and artistic designer Valérie Messika showcase the brand’s jewelry in the “Back to Icons” campaign.
“From Italy, With Love” will showcase Roberto Coin, Marco Bicego, and other Italian brands.
The jewelry retailer will also have a diamond-set tennis racket on display at the tournament.
The retailer has moved into a 3,200-square-foot space at The Shops of Highland Park.
The month’s birthstone is vibrant in every color.
The special editions of the Premier, Navitimer, and Chronomat are equipped with a new perpetual calendar movement from the brand.