Gemfields 2025 Auctions Disappoint Amid Challenging Market

Revenue from Gemfields auctions fell short of expectations in 2025, as demand was uneven and skewed away from lower-quality, smaller-sized goods.

Sales from the miner’s seven auctions last year came to “only” $129 million, the company said Tuesday. Overall sentiment at the tenders was “fragile,” and “volatility persisted,” leading to lower cash generation despite disciplined cost control, Gemfields explained.

However, the company was encouraged by improved pricing throughout the year for high-quality emeralds and rubies, it said. Gemfields’ two primary sites are the Kagem emerald mine in Zambia and the Montepuez ruby deposit in Mozambique.

Additionally, the miner suffered from operational interruptions at both mines, which caused declines in output and cash generation, it stated.

“The delays to Montepuez’s second processing plant, combined with high levels of illegal mining and grade volatility, restricted premium ruby production and disrupted our auction cadence,” Gemfields said. The miner expects the delays with the plant to continue “well into the first half of 2026.”

Gemfields noted that it needed to stabilize operations and strengthen its balance sheet, for which “deleveraging,” or selling off some of its assets, was the “primary focus of its capital discipline in the short term, with a view to providing us with the opportunity to broaden our capital allocation options in the medium term.”

Last year, the company sold luxury brand Fabergé for $50 million to raise capital in light of the challenging market.

The miner will report its full-year results on March 26.

Image: Rough rubies. (Gemfields)