Gem Diamonds (GEMD) H2 2024 earnings summary

Executive summary

• Revenue reached $154.2 million in 2024, up 10% year-over-year, with 105,012 carats recovered and an average price of $1,390 per carat, a 5% increase.

• EBITDA nearly doubled to $29.7 million, and profit after tax rose to $8.1 million, with EPS at $0.021.

• Net debt reduced to $7.3 million, with $69–70 million in undrawn facilities.

• Record low all-injury frequency rate of 0.61 and zero fatalities for the second consecutive year.

• 13 diamonds over 100 carats recovered and sold, contributing significantly to revenue.

Financial highlights

• Revenue increased 10% year-over-year to $154.2 million, driven by higher carat sales and improved average price.

• EBITDA rose to $29.7 million, nearly double the prior year.

• Profit after tax reached $8.1 million, with an effective tax rate of 29.5%.

• Direct cash costs per tonne treated fell 13% to LSL 252, and cost per carat dropped 18% to $851.

• Net debt reduced to $7.3 million; available undrawn facilities of $69 million.

Outlook and guidance

• 2025 guidance: 87–90k carats recovered, 4.9–5.1 Mt ore treated, direct cash costs per tonne treated of 245–260 Maloti.

• Focus on operational efficiencies, cost containment, and updated mine plan.

• Early 2025 shows signs of price stabilization and modest increases, with cautious optimism for market recovery.