ALROSA announced that its revenue grew 58 percent in a quarter-on-quarter comparison with last year to RUB 96 billion ($1.54 billion) in the first quarter of 2018. Pre-tax profits for the period were up 78 percent over the first quarter of 2017 to RUB 48 billion ($769 million), leading to earnings for the period of RUB 33.2 billion ($532 million) — double the earnings in Q1 2017.
Rough diamond sales for the period grew by 43 percent in a quarter-on-quarter comparison to 13.4 million carats despite a production decrease of 26 percent for the period. The growth was due to sales of around 6 million carats from company's stocks.
Free cash flow during the period rose 3.5 times, reaching RUB 41.1 billion ($658 million), while the company’s net debt for the quarter fell 4.6 times to RUB 18.6 billion ($298 million) on the back of stronger free cash flow and proceeds from the sale of its gas assets.
"ALROSA's excellent financial performance in Q1 2018 is largely due to improved market conditions, which we were able to fully benefit from, and stringent cost control," said CEO Sergey Ivanov.