1-4-2021
Gemfields released its annual financial report, reporting 84 percent revenue slump from US$216.2 million in 2019 to US$34.6 million in 2020 due to the absence of regular emerald and ruby auctions.
Since February, Gemfields has not held any gemstone auctions in 2020 due to the pandemic. The group carried out various cost reduction measures, including suspending operations at the emerald and ruby mines operated by Kagem Mining, in Zambia, and Montepuez Ruby Mining, in Mozambique, respectively. Operations have resumed already, with anticipation to returning to be fully operational by the end of April 2021.
Five small emerald auctions in November and December were held. 46 companies placed bids via its new digital platform and achieved sales of US$10.9 million. “Winning bids were in line with and, in some cases, higher than, pre-COVID prices, and the number of bids per schedule increased, which demonstrates good demand,” the company said.
For ruby sales, a series of small auctions have been held in March and expects to be completed in early April. Its CEO Sean Gilbertson foresees an optimal recovery in 2021.
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