Gem Diamonds (LON: GEMD) is buckling under the weight of a worsening diamond market, reporting on Thursday an attributable loss of $11.7 million for the six months ended June 30.
The Africa-focused miner took a $10.7 million goodwill impairment as rough diamond prices continue to fall, supply outpaces demand, and lab-grown stones gain ground. The results mark a sharp reversal from the $2.1 million profit posted in the same period of 2024.
At its flagship Letšeng mine in Lesotho, Gem Diamonds assessed the recoverable amount of the operation and recorded the impairment to bring the carrying value in line with the market reality.
“The industry continues to face significant challenges. Sustained pricing pressure, softer demand in key markets, ongoing macroeconomic and geopolitical uncertainty and tariff uncertainties in respect of India combine to create difficult trading conditions,” chief executive…
