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Alrosa Revenue Dips 6% in First Nine Months of 2025 Amid Sanctions and Market Slowdown

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Despite declining sales under Western sanctions, Alrosa’s profit rises 27% on Angolan asset sale; analysts warn of continued pressure from a strong ruble and weak global demand.

Alrosa, Russia’s state-controlled diamond miner, reported a 6% year-on-year drop in revenue to RUB 156.76 billion ($1.93 billion) for the first nine months of 2025, as Western sanctions and a sluggish global diamond market weighed on sales.

Despite weaker revenue, the company’s net profit climbed 27% to RUB 35.75 billion ($441.3 million), supported by the completion of its Angolan asset sale in the first half of the year, Alrosa said in a statement last Thursday.

Ongoing sanctions have curtailed Alrosa’s access to key markets such as the US and , further tightening its trade network and limiting rough-diamond exports. The miner did not disclose its country-wise sales distribution or confirm whether Gokhran — Russia’s state gem repository — had purchased any of its stock during the period.

In contrast, rival De Beers posted a 10% increase in consolidated rough-diamond sales over the same period, highlighting the divergent fortunes of the world’s top two diamond producers.

Russian investment bank BCS described Alrosa as being caught in a “perfect storm” of challenges — including an overvalued ruble, global industry headwinds, and ongoing sanctions. However, the bank added that once the company stabilizes its operations, it could see gradual improvement and eventual revaluation.

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DiamondBuzz

De Beers Group Sets Out Portfolio and Organisational Actions to Support Long-Term Value Creation

Company outlines strategic cost optimisation, portfolio streamlining and operational changes to strengthen resilience while positioning for long-term growth in the natural diamond industry.

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De Beers Group is advancing delivery of its business streamlining by setting out a number of planned portfolio and organisational changes to ensure an efficient cost base that strengthens resilience in the near-term while enhancing future competitiveness and retaining optionality as industry conditions improve.

Since 2024, De Beers has been streamlining its business in line with its Origins strategy to reduce costs, divest non-core assets and prioritise investment in activities that create the most value. Significant progress has been made, with more than $100 million of annual overhead costs removed from the business, the sale or closure of a number of non-core assets and significant capital and cost reconfigurations to asset expansion projects.

Simultaneously, De Beers has reinvested in natural diamond category marketing to support the industry’s efforts to grow natural diamond demand, launching new large-scale campaigns and collaborating with key stakeholders across the value chain to foster industry-wide investment. Global consumer demand for natural diamond jewellery returned to growth in 2025, while natural diamond sales increased across US independent jewellers in 2025 and into Q1 2026, led by higher value diamonds and those promoted by De Beers’ Desert Diamonds marketing campaign.

On the supply side, global rough diamond production is now decreasing, with several producers closing mines during 2026. Whilst the increasing rarity of diamonds and the emerging signs of improvement in consumer demand are likely to support longer-term value creation, rough diamond trading conditions are expected to remain challenging in the near-term due to cyclical and industry-specific factors.

Consistent with recent actions to improve business resilience, De Beers intends to pause production at the Venetia mine in South Africa for two years to reduce costs while also rephasing capital expenditure on its underground project. This will involve critical infrastructure investment to enhance the capacity and efficiency of the mine, with the intention to support future production growth as business and industry conditions improve.

De Beers is engaging with stakeholders in accordance with relevant requirements and the company’s values as it moves through this process, and will both support impacted employees and continue to invest in its community and Social and Labour Plan commitments.

This proposed action at Venetia Mine follows the decision earlier this year to pause the Tuzo Phase 3 expansion project at the Gahcho Kué Mine in Canada.

In parallel, De Beers plans to reconfigure its global operating model to refocus and prioritise resources on the core operational businesses and reduce its central corporate cost base.

Al Cook, CEO of De Beers Group, said:

“In line with our commitment to focus and streamline our business, we are making a number of changes to De Beers to ensure greater business resilience in the near-term, while supporting long-term value creation. We recognise the protracted challenging conditions as the diamond industry evolves, though we are encouraged by signs of consumer demand growth in the US and beyond, particularly in higher quality diamonds.

Global rough diamond supply is falling, bringing more support to the market. The changes we are making to our business are focused on underpinning our efficiency now and into the future, favourably positioning De Beers in its leadership role.”

De Beers Group will maintain current production levels through its other operations, and previous production guidance remains unchanged.

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JewelBuzz is Asia’s First Digital Jewellery Media & India’s No.1 B2B Jewellery Magazine, published by AM Media House. Since 2016, we’ve been the trusted source for jewellery news, market trends, trade insights, exhibitions, podcasts, and brand stories, connecting jewellers, retailers, and industry professionals worldwide.

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