Business
Results for the half year ended 30 June 2011
Results for the half year ended 30 June 2011.
About this update from Gem Diamonds Limited
[{"type":"text","content":"\n \nRNS Number : 6499M Gem Diamonds Limited 19 August 2011 \n \n\n \nGem Diamonds Limited\n(\"Gem Diamonds\" or the \"Company\")\n \n \nResults for the half year ended 30 June 2011\n \nGem Diamonds (LSE: GEMD) a leading diamond mining company reports its results for the half year ended 30 June 2011 (H1 2011):\n \nH1 2011 Highlights: \n \n§ Record rough diamond prices achieved. \n§ Record EBITDA of US$90.8 million:\n- 489% increase over the US$18.5 million achieved in H1 2010. \n- exceeding the US$82.0 million achieved for the full year 2010. \n§ Record attributable earnings of US$28.9 million (20.89 US cents per share).\n \nFinancial Highlights: \n \n§ Revenue of US$196.5 million; (US$103.9 million in H1 2010).\n§ Cash generated from operating activities of US$101.2 million; (US$27.9 million in\nH1 2010). \n§ Profit before tax from continuing operations of US$79.0 million; (US$7.8 million in H1 2010). \n§ US$165.6 million cash on hand (US$108.3 million in H1 2010). \n \nOperational highlights:\n \n§ Letšeng achieved a record average value of US$3 052 per carat in H1 2011 (US$1 728 per carat in H1 2010). \n§ Letšeng produced 105 rough diamonds that were valued at greater than US$20 000 per carat. \n§ Letšeng produced a total of 295 rough diamonds greater than 10.8 carats in size. \n§ Ellendale achieved a record average price of US$4 045 per carat for its fancy yellow diamonds in H1 2011 (US$2 588 per carat in H1 2010). \n§ A new pricing mechanism has been agreed for the fancy yellows which has resulted in price increases of 35.3%. \n§ The pre-feasibility study for the Letšeng expansion is nearing completion and a detailed presentation by Gem Diamonds management will be made on the Letšeng expansion in London on 5 September 2011. \n§ The first stage of the development of the Ghaghoo mine in Botswana (formerly known as Gope) has commenced. \n \nHealth, Safety, Social and Environmental Key Points:\n \n§ Subsequent to the Company's record safety achievements in 2010, a vehicle accident at Letšeng regrettably resulted in a fatality in March 2011.\n§ Group-wide All Injury Frequency Rate (AIFR) of 4.55 (well below both the 2011 AIFR threshol...