Sarin Q3 Revenues Hurt by Rising Rough Diamond Prices
October 14, 10
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The company on Thursday said its results for the third quarter are significantly less than in each of the first two quarters of this year. Sarin's revenues tripled in the second quarter.
After record capital expenditures by Sarin's customers in the first half of the year, rising rough diamond prices unmatched by a similar increase in polished diamonds prices, caused them to slow down expenditures, Sarin reported in an investors update.
Another issue, "The quantity and quality of Zimbabwean rough diamonds released into the market, that caused uncertainty in the diamond trade," according to Sarin.
Further, clients responded to various market uncertainties relating to global economic conditions.
According to Sarin, some of the uncertainties have been partially alleviated, pointing out positive trade shows. It expects customer capital expenditures to somewhat rebound in the fourth quarter, notwithstanding the Diwali holiday in India.
In related news, Sarin announced that it has launched the Solaris 100 inclusion mapping system, especially designed for smaller rough diamonds below two carats. The Solaris 100 system is designed for the manufacturers of smaller diamonds with the Galaxy technology