India Manufacturing Slump Hits Sarine Results
Sarine Technologies’ sales fell last year as the diamond market’s global slowdown led to a reduction in polished manufacturing at Indian factories.
Revenue dropped 5% to $58.8 million for 2022, while profit slumped 47% to $8.8 million, the Israel-based supplier of diamond-cutting technology reported Sunday. Sales of capital equipment — customers’ one-off machine acquisitions — declined 11%, with most of the downturn taking place in the first half of the year. Recurring revenues from fees clients pay on an ongoing basis, such as for diamond scans, increased 1%.
“Throughout 2022, the diamond industry faced significant global political and macroeconomic headwinds,” Sarine commented.
Sales to India fell 25% to $30.3 million for the year as manufacturing demand faltered. However, revenue from the African market jumped 68% to $13.7 million, reflecting the growth of the local cutting sector, while sales to Europe surged 89% to $3.5 million as Sarine expanded its wholesale and retail segment, which includes diamond provenance programs.
Image: Sarine Technologies’ lab in Israel. (Sarine Technologies)