Earnings Report /
Russia

Alrosa: October sales results – Solid revenues amid healthy consumer demand; Positive

  • ALROSA (ALRS.RX, O/W, RUB 159.1/share) delivered solid figures for its October trading period

  • Rough diamond sales reached $293 mn and polished diamond sales hit $15 mn

  • Management shared a positive outlook for demand through the year-end supported both by retailers and cutters

Boris Krasnozhenov
Boris Krasnozhenov

Head of Research (Managing Director)

Yulia Tolstykh
Yulia Tolstykh

Analyst, Metals & Mining

Alfa
10 November 2021
Published by

ALROSA (ALRS.RX, O/W, RUB 159.1/share) delivered solid figures for its October trading period. The company reported total diamond sales of $308 mn, which was 3% up m/m and broadly flat y/y. Rough diamond sales reached $293 mn and polished diamond sales hit $15 mn. 10M21 revenues increased 89% y/y to $3.6 bn. Management shared a positive outlook for demand through the year-end supported both by retailers and cutters. De Beers’s 8 cycle rough diamonds sales reached $490 mn, down 6% vs the previous cycle and were up 5% y/y. We assume that sales during the October session were additionally supported by anticipated closure of polishing factories in India for the annual Diwali celebrations which started on 4 November. We view the news as POSITIVE for the stock and look forward to tomorrow 3Q21 IFRS results.