17-4-2020
Alrosa starts its first half of Q1 with a 15 percent raise in diamond sales, but ends up declining 10 percent for the whole Q1 due to coronavirus outbreak.
In December and January, diamond sales were “quite robust” as consumer sentiment improved across key markets for diamond jewellery, inventories at the midstream normalised, polished diamonds prices began to recover. The trend reversed in February in the wake of a sharp decline in consumer activity as markets closed in mainland China and Hong Kong. The virus spread to Europe and the United States added fuel to the fire of the situation driving revenue from rough and polished diamond sales slashed 10 percent yoy.
Alrosa expects to produce 34.2 million carats in 2020. For sales volumes in this year, the diamond producer said it would “depend on the COVID-19 epidemiological situation and respective measures taken globally”. China, which was hit first and was also the first to recover, will be the key driver for the recovery for the diamond business.
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