(Alliance News) - Anglo American PLC on Wednesday reported lower rough diamond sales on an annual basis, although sales rose compared to the previous sales cycle.

The London-based mining company said provisional rough diamond sales value for the first sales cycle of 2023 slumped by 32% to USD450 million from USD660 million in the same cycle last year.

But sales in the latest cycle was up 7.9% from USD417 million in cycle 10.

The provisional rough diamond sales figure quoted for cycle one represents the expected sales value for the period from January 16 to January 31, and remains subject to adjustment based on final completed sales.

Cycle 10 actual sales value in 2022 represents sales between the dates December 5 and December 20.

"Consumer demand for diamond jewellery over the 2022 end-of-year holiday season performed well," De Beers Chief Executive Bruce Cleaver said. "As expected, given the macroeconomic outlook at the time, sightholders took a cautious approach in late 2022 in planning their 2023 allocation schedule, with a greater weighting of goods to be purchased as the year progresses."

While there is still some uncertainty over the macroeconomic environment, De Beers sees cautious optimism for demand to increase as China continues to reopen and inflation rates start to ease in many major economies.

Owing to the restrictions on the movement of people and products in various jurisdictions around the globe, the diamond group continued to implement a more flexible approach to rough diamond sales during the first sales cycle, with the sight event extended beyond its normal week-long duration.

Anglo American shares closed down 1.9% at 3,451.31 pence in London on Tuesday. They gained 0.9% at ZAR739.52 in Johannesburg on Wednesday morning.

By Artwell Dlamini, Alliance News reporter

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