CEO Efraim Grinberg noted a resurgence in the fashion watch market.
De Beers Sees Sales, Profits Jump in 2016
The diamond miner and marketer said U.S. diamond jewelry demand continued to grow, boosted in part by fourth quarter marketing campaigns.

De Beers’ total revenue increased 30 percent from $4.7 to $6.1 billion on the back of a 37 percent increase in rough diamond sales, which totaled $5.6 billion.
Consolidated rough diamond sales volumes rose 50 percent to 30 million carats but the average realized price per carat fell from $207 to $187 due to the drop in rough prices.
Underlying EBITDA (earnings before interest, taxes, depreciation and amortization) rose 42 percent to $1.4 million.
On a market-by-market basis, there was “sustained” growth in demand for diamond jewelry in the United States, which remains De Beers’ No. 1 market globally.
Additional generic diamond marketing in the fourth quarter had a “positive impact” on demand, De Beers’ year-end results stated. There were two new diamond-centric campaigns targeting consumers at the end of last year, Forevermark’s “Ever Us” and the “Real is Rare” campaign from the Diamond Producers Association.
Rough diamond production, meanwhile, was down 5 percent compared with the previous year to 27.3 million carats due to De Beers’ decision to scale back mining operations following a weak 2015.
Botswana produced the vast majority of De Beers’ diamonds in 2016, accounting for 20.5 million carats, or 75 percent of total production.
De Beers’ second largest producer was its mines in South Africa at 4.2 million carats followed by Namibia (1.6 million) and Canada (1 million).
Production was flat year-over-year in Botswana while declining in South Africa, Namibia and Canada.
In South Africa, the drop was due mainly to the sale of the Kimberley Mines, which was completed in January 2016.
The production decline in Canada was attributed to the closure of the Snap Lake Mine. De Beers said it began flooding the underground portion of the mine in January 2017 after an attempt to find a buyer for Snap Lake failed.
De Beers Diamond Jewellers, the chain of jewelry stores De Beers operates in partnership with LVMH, had 34 stores in 17 markets worldwide as of the close of 2016. Also last year, the company moved its New York flagship store to a new location on Madison Avenue to complete “the repositioning of the brand in the U.S.”
In 2017, De Beers predicts that production will increase to 31-33 million carats, with rough diamond demand expected to normalize and consumer demand worldwide expected to remain relatively stable.
However, the extent of growth in demand for diamonds will be dependent upon a number of macro-economic factors including the new administration in the U.S. and the strength of the U.S. dollar, De Beers said.
The Latest

The highlight of a single-owner jewelry and watch collection, it’s estimated to fetch up to $7 million at auction this December.

The “Bullseye” necklace, with vintage bakelite and peridot, August’s birthstone, is the perfect transitional piece as summer turns to fall.

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

Sponsored by Clientbook


It will classify lab-grown stones into one of two categories, “premium” or “standard,” in lieu of giving specific color and clarity grades.

Former Free People buyer Afton Robertson-Kanne recently joined the retailer.

As a leading global jewelry supplier, Rio Grande is rapidly expanding and developing new solutions to meet the needs of jewelers worldwide.

The jeweler teamed up with two local organizations for its inaugural “Back to School and Bling” event.

The singer’s new bling, reportedly a natural old mine-cut diamond, is no paper ring.

Plans for dining out, booking vacations, and buying big-ticket items were down.

The “Play” collection centers on nostalgic toys that have kinetic elements to carry playfulness and wonder into adulthood.

Designer Christina Puchi, the creative force behind CCWW Designs, has created charms and pendants based on iconic candies and crackers.

The Jonas Brothers star showed off new timepieces against the backdrop of his favorite spots in his home state of New Jersey.

The family-owned jeweler in Fayetteville, North Carolina, is in the hands of the second generation.

In his latest column, Emmanuel Raheb shares tips for encouraging customers to treat themselves to new jewelry.

The new stand-alone Rolex boutique is housed in the former Odd Fellows Hall, a landmark built in 1897.

The Brilliant Earth ambassador co-designed a diamond medallion featuring meaningful symbols.

Wrap jewelry is more than just a trend; it’s the perfect motif for the coming season of layering, scarves, and pumpkin spice.

The three-day watch collector show, coming this October, will feature 44 exhibiting brands, as well as a new dinner experience.

Sriram “Ram” Natarajan is now GIA’s senior vice president of laboratory operations and is based out of the lab’s headquarters in Carlsbad.

The one-of-a-kind collar represents the beauty of imperfection and the strength to rebuild.

Three C-suite executives, including former CEO Tom Nolan, have resigned as part of what the company describes as a “transition.”

The retailer, which recently filed Chapter 11, inked a deal to sell its North American business and intellectual property.

Target CEO Brian Cornell will step down in February and be replaced by the company’s chief operating officer, Michael Fiddelke.

The group met with the president's senior trade advisor earlier this week to express the industry’s concerns about the effects of tariffs.

The pop-up will display this year's Tiffany & Co. Singles Championship trophies along with a diamond-encrusted tennis racket and ball.