Anglo's De Beers warns of "protracted" demand recovery as sales fall

(Sharecast News) - Anglo American has reported another dip in rough diamond sales from De Beers as it warned of a "protracted" recovery in demand. In what is generally a quieter period for rough diamond sales, De Beers' fifth sales cycle generated $315m, down from $383m in the fourth cycle and $446m in the third.

However, this was also down from $456m in the fifth cycle of 2023.

De Beers chief executive Al Cook said while the company had seen a "resurgence in retailers' interest" in the US at the recent annual JCK jewellery show in Las Vegas, "ongoing economic growth challenges in China mean we continue to expect a protracted U-shaped recovery in demand".

Anglo announced in May that it intends to either divest or demerge the De Beers division "to improve strategic flexibility". The news came alongside an announced shake-up of the group's portfolio which includes the sale or spin-off of what it now deems non-core assets such as diamonds, steelmaking coal, nickel and platinum.