SourcingJul 23, 2024
De Beers’ Production Drops 15% in Q2SourcingJul 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.
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 …
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.
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.”
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.”
More on Sourcing
The Latest
MajorsApr 02, 2026
Pandora Opens New Canadian Distribution Center Amid Tariff ConcernsThe new facility was also designed to better serve its growing customer base in Canada.
TrendsApr 02, 2026
Michelle Yeoh Fronts New Mikimoto Campaign The campaign is a tribute to the year 1893, when Kokichi Mikimoto created the world’s first cultured pearl.
GradingApr 02, 2026
GIA Debuts New Campus in TaiwanIt is the only GIA school to offer the GIA Graduate Gemologist program in Chinese.
Brought to you by
Protect Your Customers and Your BusinessYou deserve to know what you are selling–to protect your customers as well as your business and your reputation.
MajorsApr 02, 2026
DCA Launches ‘Second Spark’ Workforce InitiativeThe initiative connects veterans and parents returning to the workforce with careers in jewelry retail.
Weekly QuizMar 26, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsApr 02, 2026
Hoover & Strong Names New National Sales RepresentativeThe wholesale manufacturer and precious metals refiner has appointed Michael Angelo as its new national sales representative.
MajorsApr 01, 2026
Foundrae Sues Pandora for Allegedly Copying Its Medallion DesignsFoundrae also accused the jewelry giant of copying its mood board style of marketing.
Brought to you by
Is This You? Every Jeweler Has This Problem; We Have the Solution.Every jeweler faces the same challenge: helping customers protect what they love. Here’s the solution designed for today’s jewelry business.
AuctionsApr 01, 2026
John Jacob Astor IV’s Titanic Pocket Watch Heads to AuctionA Patek Philippe for Tiffany & Co. timepiece owned by the American businessman who died on the Titanic will be offered at Freeman's Chicago.
SurveysApr 01, 2026
Consumers’ Outlook Improves Again in MarchThe Conference Board’s Consumer Confidence Index edged up, with optimism about the present outweighing worries about the future.
IndependentsApr 01, 2026
Zachary’s Jewelers’ Constance Polamalu to Release Children’s BookThe retailer’s Zach Bear gift comes to life in “Zach Bear and the Window Necklace,” which centers on curiosity, bravery, and helping.
Events & AwardsApr 01, 2026
AGA Opens 2026 Gemological Scholarship, Research Grant ApplicationsApplications are open for the AGA Gemological Scholarship Program through May 15, and until June 2027 for the Gemological Research Grant.
ColumnistsMar 31, 2026
Q1 Clues That Reveal Where Your Jewelry Store’s Sales Are Heading These customer behavior patterns say a lot about how successful your jewelry store is going to be this year, Emmanuel Raheb writes.
CollectionsMar 31, 2026
Mejuri Adds Silver to ‘Puzzle’ CollectionMejuri’s popular collection of 18-karat yellow gold vermeil rings debuted in sterling silver alongside new “Puzzle” slider charms.
CollectionsMar 31, 2026
Buddha Mama, Ashley Longshore to Host Pop-Up in DallasThe Miami-based jewelry brand and the NYC-based artist will be in Dallas from April 9-11.
EditorsMar 30, 2026
Tom Moses Looks Back on His Decades at GIA Moses, who will leave the lab in May after nearly 50 years, discusses his start in the business, gemstones that stand out, and what’s next.
TrendsMar 30, 2026
Oscar Heyman Debuts First Spring CatalogThe new catalog, which showcases 35 one-of-a-kind pieces of jewelry, is a compliment to the company’s popular holiday catalog.
SourcingMar 30, 2026
Rio Tinto Hauls Last Load from DiavikProduction has ceased at the Canadian diamond mine, which has yielded more than 150 million carats of rough diamonds in its 23-year run.
MajorsMar 30, 2026
Tanishq Opens First New England LocationThe store opening marks the 10th United States location for the India-based jewelry retailer.
MajorsMar 27, 2026
Saks Global Has Changed Its Mind About Closing These 3 StoresTwo Saks Fifth Avenue locations, one in Florida and one in California, and one Neiman Marcus store are off the chopping block.
IndependentsMar 27, 2026
Jimmy West, Longtime LJG Executive Director, Dies at 72West, who started in the art department at the Leading Jewelers Guild in 1979, is remembered for his patience, kindness, and dedication.
CollectionsMar 27, 2026
Itä’s ‘Yarí Whirl’ Ring Tells Every Side of the StoryIn the “Tesoro” version of the ring, our Piece of the Week, each side of the gold hexagonal nugget has a unique colored gemstone design.
WatchesMar 26, 2026
Q&A: Citizen Watch America President Jeffrey Cohen on Eco-Drive’s 50th AnniversaryCohen discusses the evolution of Citizen’s light-powered technology, the brand’s cross-generational appeal, and tariffs.
IndependentsMar 26, 2026
Peter Smith Pens Book on Human Behavior in Sales“Essentially Human: On Sales and Salespeople" reveals the underlying human traits and behaviors of the most successful sales professionals.
CollectionsMar 26, 2026
Lionheart Celebrates 13 Years of ‘Cassandane’The collection features symbols of love, luck, and light, based on the story of Queen Cassandane and Cyrus the Great of Persia.
Events & AwardsMar 26, 2026
NAJA, Instappraise Introduce New ScholarshipIt’s the third scholarship to be launched as part of the partnership to help appraisers advance their professional credentials.
Events & AwardsMar 26, 2026
JA Still Accepting Entries for 2026 CASE AwardsThe deadline for entries in the jewelry design competition has been extended to April 3.
