De Beers’ diamond-trading business returned to profit in the first half of 2026, but earnings from its Botswana mines nearly halved and the group remained in the red. This is the financial exposure facing Richemont and Signet Jewelers in the reportedly discussed stake as a consortium seeking to acquire the diamond producer.
De Beers recorded $30 million in underlying EBITDA from trading during the six months ended June, reversing a $260 million loss a year earlier. But group underlying EBITDA was still negative at $113 million, according to results released July 30.
Mining earnings weakened in key jurisdictions. Botswana’s underlying EBITDA dropped 48% to $119 million from $227 million, while Namibia’s fell to $13 million from $78 million. The group generated $1.58 billion in revenue, down 19% year-over-year, even as consolidated rough-diamond sales volumes increased 13% to 12.4 million carats.
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The pressure came through pricing. De Beers’ average realized price fell 32% to $105 per carat. Rough-diamond production climbed 46% to 14.9 million carats, but higher output did not restore profitability.
Full-year 2025 results reveal how differently the company’s businesses performed. De Beers generated $381 million in underlying EBITDA from Botswana operations against a $424 million trading loss and a further $447 million loss across other businesses and corporate activities. Group revenue reached $3.49 billion, while the underlying operating loss totaled $787 million.
De Beers attributed the trading losses to selling inventory acquired at higher prices after diamond prices weakened.
Bloomberg reported Thursday that Richemont, the parent of Cartier and Van Cleef & Arpels, and Signet, owner of Kay, Zales, and Jared, were in advanced discussions to join the Global Diamond Consortium, citing five people familiar with private negotiations.
The consortium, led by former De Beers CEO Gareth Penny, is seeking Anglo American’s 85% holding. The reported exit in July included approximately $750 million upfront, $250 million deferred, and around $500 million in additional capital for De Beers, plus possible performance-linked payments.
Richemont reported €9.1 billion in net cash at June 30. Its jewellery division generated €4.73 billion in quarterly sales, up 24% at constant exchange rates.
Any agreement also requires resolving Botswana’s position. The government owns the remaining 15% and holds a right of first refusal. Bloomberg reported that discussions could increase its stake to about 25%.
De Beers has maintained 2026 production guidance of 21 million to 26 million carats, while warning that lower-value natural stones remain under pressure from lab-grown diamonds.
The reported talks remain preliminary, with prospective ownership stakes and future funding commitments undisclosed.
