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
FinancialsNov 26, 2025
Movado CEO Talks Tariffs, Growing Interest in Accessible Luxury WatchesDuring its Q3 call, CEO Efraim Grinberg discussed the deal to lower tariffs on Swiss-made watches, watch market trends, and more.
TrendsNov 26, 2025
Piece of the Week: Rosior’s Pumpkin RingRosior’s high jewelry cocktail ring with orange sapphires and green diamonds is the perfect Thanksgiving accessory.
IndependentsNov 26, 2025
Greenwich St. Jewelers Launches Colorful Holiday CampaignThe “Embrace Your True Colors” campaign features jewels with a vibrant color palette and poetry by Grammy-nominated artist Aja Monet.
Brought to you by
Impacting Tomorrow TodayHow Jewelers of America’s 20 Under 40 are leading to ensure a brighter future for the jewelry industry.
MajorsNov 26, 2025
Serafino Consoli Names New VP of Sales, Brand Development for the AmericasLuxury veteran Alejandro Cuellar has stepped into the role at the Italian fine jewelry brand.
Weekly QuizNov 20, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
Events & AwardsNov 26, 2025
Grandview Klein Presents 4 Scholarships in NamibiaThe company gave awards to four students at the Namibia University of Science & Technology, including one who is a Grandview Klein employee.
IndependentsNov 25, 2025
Pearl Stringer Margaret Hoisik DiesShe is remembered as an artist who loved her craft and was devoted to her faith, her friends, and her family.
Brought to you by
Roseco Releases New Full-Line CatalogRoseco’s 704-page catalog showcases new lab-grown diamonds, findings, tools & more—available in print or interactive digital editions.
TrendsNov 25, 2025
Amanda’s Style File: Polka DotsThe polka dot pattern transcends time and has re-emerged as a trend in jewelry through round-shaped gemstones.
CrimeNov 25, 2025
Former Arizona AG Official Charged With Trafficking Stolen JewelryVanessa Hickman, 49, allegedly sold a diamond bracelet that was mistakenly sent to her home.
Events & AwardsNov 25, 2025
GIA Awards Susan Jacques With Its Highest HonorGIA’s former president and CEO was presented with the Richard T. Liddicoat Award for Distinguished Achievement.
Recorded WebinarsNov 24, 2025
Watch: Top Tips for Social Media EtiquetteSocial media experts spoke about protecting brand reputation through behaving mindfully online.
WatchesNov 24, 2025
Breitling Reveals Plans for Gallet, Universal GenèveIn 2026, the three will come together as “House of Brands,” with Gallet sold in Breitling stores and Universal Genève sold separately.
CollectionsNov 24, 2025
Muse Debuts a Wicked 'Have a Heart x Cynthia Erivo' SequelThe second drop, which includes more Elphaba-inspired pieces from additional designers, will continue to benefit nonprofit Dreams of Hope.
IndependentsNov 24, 2025
J.R. Dunn Jewelers Names New PresidentSecond-generation jeweler Sean Dunn has taken on the role.
MajorsNov 21, 2025
Natural Diamond Council Names New CEOAmber Pepper’s main focus will be on digital innovation and engaging younger consumers.
CollectionsNov 21, 2025
Piece of the Week: Melissa Kaye’s ‘Rocky Infinity’ NecklaceThe lariat necklace features a 4.88-carat oval-cut Zambian emerald in 18-karat yellow gold.
AuctionsNov 20, 2025
Vanderbilt Jewels Shine at Phillips Sale, Pink Diamond WithdrawnA 43-carat sapphire brooch from the Vanderbilt collection was the top lot of the Geneva sale.
CollectionsNov 20, 2025
Rebecca Rau Jewels Debuts With ‘Then & Now’ CollectionRau is a fourth-generation art and antique dealer from M.S. Rau gallery whose first jewelry collection merges artifacts with modern design.
Policies & IssuesNov 20, 2025
RJC Names New Executive DirectorFormer De Beers sustainability leader Purvi Shah will take over the role in February 2026.
WatchesNov 20, 2025
LVMH Takes Minority Stake in Citizen Group-Owned Movement Maker La Joux-Perret is based in La Chaux-de-Fonds, Switzerland, and makes solar quartz as well as mechanical watch movements.
GradingNov 20, 2025
Julia Griffith Joins SSEF as Head of EducationShe previously taught at Gem-A and is the founder of The Gem Academy.
CollectionsNov 19, 2025
Larkspur & Hawk Celebrates 25 Years With Helena Bonham Carter CampaignThe British actress and her daughter modeled pieces from the brand’s new “Palette” capsule for its “Once Upon a Time” holiday campaign.
TechnologyNov 19, 2025
Google Has a New Form for Reporting ‘Review Bombing’ Attacks Plus, the tech giant shares the steps retailers should take if they believe they’re a victim of a review extortion scam.
IndependentsNov 19, 2025
Houston Jeweler Keith Shaftel Retires, Next Generation Steps In Danny and Gaby Shaftel are now Shaftel Diamonds’ CEO and chief operating officer, respectively.
TrendsNov 19, 2025
Midas Chain Releases 2025 Holiday Style GuideThe jewelry manufacturer’s seasonal offering features its new “Melodie” bangles, as well as mini stud earrings and layering pieces.
Events & AwardsNov 18, 2025
NYC Jewelry Week 2025: 12 Must-See EventsWith more than 140 activations taking place in New York City now through Nov. 23, these 12 events are can’t-miss moments.
