Sourcing

De Beers’ H1 Revenue Falls 21% in ‘Weak’ Market

SourcingJul 25, 2024

De Beers’ H1 Revenue Falls 21% in ‘Weak’ Market

Lab-grown diamond sales in the United States and ongoing economic challenges in China are impacting natural diamond demand.

De Beers’ Venetia diamond mine
A shot of the Venetia diamond mine in South Africa, owned by De Beers Group. The diamond miner and marketer saw revenue drop 21 percent and rough diamond sales decline 20 percent in a “weak” market for diamonds.
London—Revenue declined 21 percent in the first half of the year for De Beers Group, with the company cutting its annual production forecast as weaker demand for natural diamonds persists.

De Beers’ results were announced Thursday as part of parent company Anglo American’s half-year report for the period ended June 30. 

The diamond miner and marketer’s total revenue in the first half of the year fell 21 percent to $2.2 billion, compared with $2.8 billion in the same period last year.

Rough diamond sales totaled $2 billion, down 20 percent year-over-year. 

Total rough diamond sales volumes fell 22 percent, from 15.3 million in H1 2023 to 11.9 million carats in the first half of 2024. 

Underlying EBITDA decreased 14 percent to $300 million ($347 million a year ago) due to lower sales, high unit costs associated with lower production, and the costs associated with ramping up production at the underground portion of the Venetia mine.  

 Related stories will be right here … 

The first half of 2024 was a tale of two quarters for De Beers.

Following a “challenging” 2023, rough diamond demand started to pick up in the first quarter, with India lifting its ban on rough diamond imports and U.S. retailers looking to restock after the holiday season.

However, conditions deteriorated in the second quarter, as midstream inventory levels remained high and retailers took a conservative approach to buying.

Diamond demand remains muted in De Beers’ two biggest markets, China and the United States.

In the U.S., consumer confidence was “soft” due to economic uncertainty, and lab-grown diamonds continued to take a bite out of natural diamond sales, though De Beers maintains that this dynamic will soon change.

It said in its H1 results, “Given the rapidly deteriorating economics of selling lab-grown diamonds as their prices continue to drop, there are also signs that retailers in the United States are returning their focus to natural diamonds.”

In China, consumer confidence is also low as the country continues to grapple with its real estate crisis.

The first-half bright spot was India, where strong economic growth underpinned growth in demand for natural diamond jewelry. India is the also market where De Beers is looking to relaunch Forevermark as a jewelry brand.

In response to weaker demand and the glut of inventory in the midstream, production dropped 19 percent in the first half of the year.   

De Beers mined 13.3 million carats of diamonds through June 30, compared with 16.5 million carats in the same period a year ago.

In Botswana, the company’s largest producer, production fell 24 percent year-over-year to 9.7 million carats.

De Beers and the government of Botswana tentatively reached a new 10-year agreement for divvying up Debswana’s rough diamond production and a 25-year renewal of Debswana’s mining licenses in July 2023.

While the two parties signed “heads of terms” three months later, the deal still has not been finalized. 

De Beers said Thursday that they are “working together to progress and then implement the formal new sales agreement and related documents, including the mining licenses. In the interim, the terms of the most recent sales agreement remain in place.”

The company has lowered its annual production guidance to 23-26 million carats from the previous forecast of 26-29 million carats due to the “prolonged period” of lower demand, higher levels of inventory in the midstream, and a focus on working capital.  

As previously reported, Anglo American is in the process of divesting or demerging De Beers.

As a result, De Beers has implemented a new strategy aimed streamlining the business. Dubbed “Origins,” the plan was introduced during the JCK Las Vegas shows in late May/early June.

It involves cutting costs across the board, shedding non-core assets, working with retailers to market natural diamonds, and getting out of the business of growing diamonds for jewelry.

On Thursday, De Beers CEO Al Cook said the company has made “great progress” on Origins.

He said, “We have streamlined the business, materially reducing our costs and ensuring we are best placed to grow value from mining to stores as conditions improve. We’re revitalizing demand for natural diamonds for a new generation of consumers through our collaborations with Signet, Chow Tai Fook, and other leading jewelry retailers.

“While we expect the challenging rough diamond trading conditions to continue in the near-term, the actions we are taking will support the recovery in natural diamond demand and position De Beers well for the future.”

Michelle Graffis the editor-in-chief at National Jeweler, directing the publication’s coverage both online and in print.

The Latest

Jewelers of America Fly In
Policies & IssuesSep 25, 2025
JA CEO Provides Tariff Update Following Annual Fly-In

A trade deal with Switzerland seems probable, but reaching an agreement with India remains a challenge, David Bonaparte said.

Kira Jewels Growing Rowing Machines
Lab-GrownSep 25, 2025
Kira Jewels Expands Lab-Grown Diamond Production

The manufacturer is adding 1,400 chemical vapor deposition (CVD) reactors to its growing facility in India.

Alex Moss SoHo store
IndependentsSep 25, 2025
Alex Moss’ New Flagship Brings Bold Jewels to SoHo

The jeweler to the stars has worked with Drake, A$AP Rocky, Tyler the Creator, and other celebrities.

reDollar-fine-jewelry-department.jpg
Brought to you by
reDollar.com Is Rolling Out the Next Level Jewelry, Diamond & Watch Consignment Program

With their unmatched services and low fees, reDollar.com is challenging some big names in the online consignment world.

Matthew Wilson, Kavin Kulamavalava, and a Elmasolvex VA
WatchesSep 25, 2025
Wilson & Son Jewelers Donates to the Horological Society of New York

The Scarsdale, New York-based jeweler donated a professional-grade watch cleaning machine.

Weekly QuizSep 25, 2025
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Representatives of India’s Gem and Jewellery Export Promotion Council and Indian government leaders
Policies & IssuesSep 24, 2025
Tariffs Throw Diamond Trade Into Disarray

The 50 percent tariffs on diamonds shipped from India to the U.S. have pushed midstream manufacturers to the edge.

Policies & IssuesSep 24, 2025
For Jewelry Manufacturers, Higher Tariffs Create Long-Term Worries

They are trying to balance the need to sustain well-established relationships with the pressure higher tariffs have put on margins.

japac-btyb.png
Brought to you by
Rallying Call for the Jewelry Industry on Tariffs and Other Key Issues

Jewelers of America is leading the charge to protect the industry amidst rising economic threats.

Guest lecture for people with disabilities at the Jewelex factory
SourcingSep 24, 2025
A Helping Hand: An Effort to Boost Inclusivity in the Industry

Jewelry manufacturer Jewelex has partnered with JOSH, an industry training center, on a program for people with disabilities.

Greenwich St. Jewelers Estate Capsule Campaign
CollectionsSep 24, 2025
Greenwich St. Jewelers Goes Back in Time With First Estate Collection

The collection includes pieces dating back to the Victorian and Art Deco periods as well as mid-century and late 20th-century designs.

Marcus ter Haar
Policies & IssuesSep 24, 2025
Diamonds Do Good Names Marcus ter Haar as President-Elect

He previously served as co-chair of the nonprofit’s beneficiary committee.

Jane Goodall Brilliant Earth campaign
CollectionsSep 24, 2025
Brilliant Earth’s New Jane Goodall Collection Calls for Peace

Its second collaboration with the conservationist features jewelry with dove and olive branch motifs.

SRK Kriam Pharma
SourcingSep 24, 2025
SRK Launches Kriam Pharma

The diamond manufacturer’s new company will provide accessible and affordable high-quality medicines across India.

Emmanuel Raheb, CEO of Smart Age Solutions and National Jeweler columnist
ColumnistsSep 23, 2025
Quiet Luxury: What Fall’s Top Trend Means for Jewelers

Emmanuel Raheb shares tips on how a jeweler’s showcases, marketing, and social media presence can whisper, instead of shout.

Claire’s storefront
MajorsSep 23, 2025
Ames Watson Completes $140M Acquisition of Claire’s

The private equity firm has a plan to revive the mall staple.

Super Smalls Super Book of Gems, Maria Dueñas Jacobs, and Bianca Gottesman
SourcingSep 23, 2025
Super Smalls’ New Book Introduces Kids to Gems, Fine Jewelry

The “Super Book of Gems” dives into the Mohs Hardness Scale, the Four C’s, and designs from jewelers like Cartier and Bulgari.

Mattioli CEO Claudio Pasta
MajorsSep 23, 2025
Mattioli Names Kering Exec as New CEO

Claudio Pasta will take the lead at the Italian fine jewelry brand, succeeding company founder Licia Mattioli.

Monique Lhuillier fashion jewelry Kay
CollectionsSep 23, 2025
Monique Lhuillier Adds Fashion Jewelry to Kay Jewelers Line

The new lab-grown diamond jewelry offering is the latest expansion of the designer’s “Bliss” collection.

Rio Tinto tender
SourcingSep 22, 2025
Rio Tinto Announces Final ‘Beyond Rare’ Tender

The miner is honoring the end of an era with an offering of 52 lots from the now-closed Argyle and the soon-to-close Diavik mines.

Vibhor and Alor logos
MajorsSep 22, 2025
Jewelry Manufacturer Vibhor Acquires Alor

The California-based fine jewelry brand will retain its identity post-acquisition, with new collections launching next year.

Gurhan Crown Gold Aquamarine Peacock
CollectionsSep 22, 2025
Gurhan's Collection is an 'Untamed' Zoo

The “Untamed” collection centers on carved gemstone jewelry depicting a range of animals embodying one of the four elemental forces.

Community for Ethical Jewelry logo
Policies & IssuesSep 22, 2025
Ethical Metalsmiths Has a New Name

Founded in 2004, the organization is now called the Community for Ethical Jewelry.

Madison Keys
EditorsSep 19, 2025
These Female Athletes Had the Best Jewelry of the Summer

From Coco Gauff’s hoops to Madison Keys’ diamond medallion, these are Senior Editor Lenore Fedow’s standout jewelry looks of the season.

Vanessa Fernández Studio Curva Wrap Hoops
CollectionsSep 19, 2025
Piece of the Week: Vanessa Fernández Studio’s ‘Curva’ Wrap Hoops

The trendy earrings feature asymmetrical drops, one with a grossular garnet and the other with a diamond.

Graphic for A Step-by-Step Guide to Using TikTok and Instagram Reels webinar
Recorded WebinarsSep 19, 2025
Watch: A Step-by-Step Guide to Using TikTok and Instagram Reels

Four social media marketing experts discuss their go-to methods and favorite tools for making high-quality short-form video content.

agta-sb-0925.png
Supplier BulletinSep 18, 2025
Will Your Design Define 2026? Enter The Spectrum & Cutting Edge Awards

Sponsored by American Gem Trade Association

Stock image of a woman shopping online with credit card
SurveysSep 18, 2025
Deloitte Thinks the Holidays Will Be Merry, PwC Isn’t So Sure

In its holiday report, PwC said the season will be more like jazz—improvisational and less predictable—than an easy-to-follow melody.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy