Gem Diamonds stock moved up on thin volume after sales from its Letšeng mine again came in well above the company’s market value.
- Gem Diamonds traded at 3.60p to 3.93p, rising 0.35p, or 9.93%, with 502,256 shares moved.
- Turnover at the last reported trade price came to around £19,300, which is under 0.4% of the quoted £5.39 million market value.
- Q1 revenue came in at $32.1 million, or around £24.3 million using Tuesday’s sterling rate. That’s about 4.5 times Gem’s current equity market value.
- The company hasn’t put out an RNS since June 3. The latest operating update is still the May Q1 statement.
Gem Diamonds Limited (LON:GEMD) climbed Tuesday with a notable trade driving the bump: a quote at 3.60p/3.93p, volume at 502,256 shares, market cap at £5.39 million. AJ Bell listed the last trade at 3.8475p. On that price, turnover for the day came in close to £19,300.
| Tuesday market read-through | Gem Diamonds |
|---|---|
| Last trade | 3.8475p |
| Bid / ask | 3.60p / 3.93p |
| Change on day | +0.35p / +9.93% |
| Shares traded | 502,256 shares |
| Trade value (est.) | ~£19,300 |
| Market cap | £5.39 million |
The stock move looks like a liquidity thing as much as it’s about diamonds. RNS shows no new Gem Diamonds updates in the last day or two. The most recent entries are from June 3—one on the new chair, one on AGM results. Last trading update was May 20 for Q1.
The fastest way to look at Gem’s value is straight from its numbers: Q1 revenue came in at $32.1 million, which is about £24.3 million using Tuesday’s $1.3233 rate. That stacks up to around 4.5 times the company’s stated equity value. But revenue isn’t the only thing in play for the stock. Debt, cheap rough stones and how the biggest gems are sold are driving most of the story.
Gem’s Q1 numbers showed shares react to light trading. Carats sold dropped from Q4, but prices climbed as Letšeng had sales of rare, pricey stones.
| Letšeng sales metric | Q1 2026 | Q4 2025 | Change |
|---|---|---|---|
| Carats sold | 16,727 | 21,191 | -21% |
| Total value, excluding extra parcel | $25.1 million | $27.3 million | -8% |
| Average price | $1,501/carat | $1,288/carat | +17% |
| Carats recovered | 21,605 | 20,961 | +3% |
Gem said it sold an extra parcel of 10 diamonds over 10.80 carats in Q1, with total weight of 363 carats. The batch included a 191.82-carat Type IIa white diamond. Sales from those stones came to $7.0 million. Four diamonds each fetched more than $1 million, with total sales of $9.9 million. The top price was $32,908 per carat for a 52.24-carat white diamond.
Gem delivered a big quarter for large stones but the numbers for 2025 don’t look good. Full-year revenue dropped 36% and underlying EBITDA fell 87%. The miner took a $77.5 million impairment at Letšeng and closed 2025 with $20.1 million in net debt.
| Full-year metric | 2025 | 2024 | Change |
|---|---|---|---|
| Revenue | $98.4 million | $154.2 million | -36% |
| Underlying EBITDA | $3.9 million | $29.7 million | -87% |
| Average value achieved | $1,105/carat | $1,390/carat | -20% |
| Carats recovered | 90,354 | 105,012 | -14% |
| Net debt | $20.1 million | $7.3 million | Higher |
Chief Executive Clifford Elphick warned in March that “continued weakness in the diamond market” meant “decisive action” was needed to protect Letšeng’s financial position. The company added its revolving credit facilities run out in December 2026 and flagged a material uncertainty on going concern as the renewal is inside the 12-month assessment window. Investegate
Gem named Mike Brown as non-executive chair after the June 3 AGM, taking over from Harry Kenyon-Slaney, who leaves after nine years. Governance shifted while the market stayed weak. Kenyon-Slaney said Brown’s appointment brings “continuity during a period of heightened complexity.” Investegate
UK stocks traded higher. The FTSE All Share gained 0.31%. Reuters had the FTSE 100 up 0.5% as of 0904 GMT, with mining and financial names leading. Gem’s swing was much bigger, but its size and trading put it well outside the main market risk profiles.
The next figure that could move the stock is the Q2 numbers. Gem said back in May it plans to sell a 100.71-carat Type I faint yellow diamond during Q2. Carats leftover from the same production run that didn’t sell in Q1 are also set to be sold in Q2.
