Despite facing ongoing sanctions, Alrosa, the Russian diamond mining giant, witnessed a notable increase in revenue in 2023 as it continued its sales operations. The company disclosed a 9% surge in sales, reaching RUB 322.57 billion ($3.55 billion) for the year, albeit experiencing a 15% decline in net profit to RUB 85.18 billion ($939.3 million).
Since the eruption of Russia’s conflict in Ukraine in February 2022, Alrosa and its diamonds have been subjected to sanctions from the US and other Western nations. However, significant markets such as India and China continue to permit the import of Russian diamonds. Beginning March 1, the US will enforce stricter measures, prohibiting the import of Russian-origin stones of 1 carat or larger, even if they underwent manufacturing in a third country.
It is noteworthy that Alrosa’s recent announcement marked its second full results statement since March 2022. On both occasions, the company chose not to disclose the destination of its sales, which typically encompass Belgium, the United Arab Emirates (UAE), and India as primary buyers.
Last week, De Beers reported a substantial decline in revenue for 2023, totaling $4.27 billion, with its diamond unit recording a net impairment of $1.56 billion, reflecting a subdued demand outlook.
