---
title: "Gem Diamonds Shares Jump 42% as Profit Rebounds and Net Debt Tumbles"
publisher: "Share Talk"
author: "sharetalk"
published: "2026-09-03T07:46:33+00:00"
modified: "2026-09-03T07:46:33+00:00"
date: 2026-09-03
canonical: "https://www.share-talk.com/gem-diamonds-shares-jump-42-as-profit-rebounds-and-net-debt-tumbles/"
category: "Mining"
categories: ["Mining"]
tags: ["Clifford Elphick", "Gem Diamonds Limited", "GEMD"]
image: "https://i0.wp.com/www.share-talk.com/wp-content/uploads/2026/09/01ba7e8e-c7f4-481c-9548-e9cc23f8759e.png?fit=1727%2C911&quality=80&ssl=1"
format: "news"
language: "en-GB"
---

# Gem Diamonds Shares Jump 42% as Profit Rebounds and Net Debt Tumbles

**Published:** September 3, 2026
**Author:** sharetalk
**Categories:** Mining
**Tags:** Clifford Elphick, Gem Diamonds Limited, GEMD
**Featured image:** ![](https://i0.wp.com/www.share-talk.com/wp-content/uploads/2026/09/01ba7e8e-c7f4-481c-9548-e9cc23f8759e.png?fit=1727%2C911&quality=80&ssl=1)

---

[Gem Diamonds Limited (LON: GEMD)](https://www.investegate.co.uk/announcement/rns/gem-diamonds-ltd-di---gemd/half-year-2026-results/9752817)shares surged **42% in the first 30 minutes of trading** after the diamond producer reported a sharp improvement in first-half profitability, higher revenue and a substantial reduction in net debt.

Revenue for the six months ended 30 June 2026 increased **32% to US$59.7 million**, compared with US$45.4 million a year earlier, supported by stronger diamond prices and improved production quality at the Letšeng mine.

Underlying EBITDA swung to a positive **US$8.6 million**, compared with negative EBITDA of US$2.6 million in the first half of 2025.

Gem Diamonds also returned to the black at the bottom line, recording an attributable profit of **US$0.6 million**, against a US$11.7 million loss a year earlier. Earnings per share improved to 0.5 US cents from a loss of 8.4 cents.

The group’s balance sheet strengthened considerably during the period. Cash increased to **US$20.2 million from US$3.8 million** at the end of December, while net debt fell by US$19.6 million to just **US$0.5 million**, from US$20.1 million.

At Letšeng, 2.6 million tonnes of ore were treated compared with 2.5 million tonnes a year earlier, although diamond recovery declined to 41,695 carats from 47,125 carats.

The impact was more than offset by significantly stronger pricing, with the **average price achieved rising 38% to US$1,395 per carat**, from US$1,008 per carat. The highest price achieved for a white rough diamond during the period was US$32,908 per carat.

Waste mining also dropped sharply to 0.3 million tonnes from 1.7 million tonnes, reflecting the mine plan and helping the company control costs.

**Chief executive Clifford Elphick said** the first-half improvement reflected **stronger diamond prices and improved production quality**, alongside the benefits of cost reductions introduced in July 2025.

He added that the extension of Letšeng’s royalty relief and structural cost measures had **materially reduced the group’s cost base**, helping Gem Diamonds improve profitability despite continued weakness across the global diamond market.

Gem Diamonds maintained its **2026 production and cost guidance**, although its revolving credit facilities expire in December and discussions with lenders regarding their renewal or extension are underway.

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