Petra Diamonds has issued its interim results for the six months to 31 December 2017 (H1 FY 2018) reporting that its profitability during the period was “adversely impacted by strike action at certain South African operations in Q1, the inability to sell the blocked Williamson parcel, and the strengthening ZAR against the USD”.
Petra reported a net loss of $117.7 million for the six months under review, compared to a net profit of $35.2 million in the six months ended December 2016. Revenue decreased to $225.2 million, compared with $228.5 million in the six months ended December 2016. Adjusted net profit was $5.3 million for H1 FY 2018, compared with a net profit of $24.1 million in the first half of the prior financial year. Production increased 10% year-on-year to 2.21 million carats. However, carat sales decreased 5% to 1,811,154 carats, mainly due to the blocked Williamson parcel not sold.
The company added that it expects full-year production to total 4.6-4.7 million carats, with an estimated 2.4-2.5-million carats to be produced in the second half of the 2018 financial year.
