De Beers is reportedly sitting on its largest stockpile of diamonds since the 2008 financial crisis, according to the Financial Times, as cited by IDEX Online.
The company now holds an estimated $2 billion worth of diamonds. This accumulation is attributed to weak demand, particularly in China, and rising competition from lab-grown diamonds.
In the third quarter of this year, De Beers reported revenues of just $213 million – a sharp decline compared to $899 million in the same period of 2023. First-half revenues also fell, dropping to $2.2 billion from $2.8 billion year-on-year, according to the report.
During the past quarter, De Beers held only one sight, compared to the usual three. The company’s future remains uncertain as its parent company, Anglo American, weighs options for a sale or IPO.
Recently, reports indicated that De Beers reduced rough diamond prices by up to 15% during its final sight of the year.
