Blue Diamonds Jewellery regains sparkle, records profits after a decade

Friday, 19 March 2021 00:22 - - {{hitsCtrl.values.hits}}

For the first time in nearly a decade, Blue Diamonds Jewellery PLC has regained its sparkle, recording profits during Q3 of FY 20/21.

Although Q1 and Q2 amidst the initial outbreak of the COVID-19 pandemic was justifiably bleak, Q3 of FY 20/21 saw the company making notable profits of Rs. 10.6 million, for the first time since 2012 based on business performance alone.

Further, the company recorded impressive revenues of Rs. 43.9 million in Q3 20/21. For the nine months up to 31 December 2020, company revenue has also recorded impressive gains of up by 59% to Rs. 60.6 million from Rs. 38.1 million recorded during FY 19/20.

Previous years’ profits seen in 2007 and 2005 were impacted by write-backs of creditors, as opposed to purely through the business’ operations.

Although well-known for its patented setting and unique jewellery, the high-end diamond jewellery manufacturer Blue Diamonds Jewellery PLC has performed poorly as a listed business for almost two decades. Numerous management changes, weak financial controls and overdependence on a few buyers have resulted in Blue Diamonds never being able to live up to the sparkle in its name.

However, the new Board, having taken over from in late 2016, has proven that quality products such as the celebrated Fior Floating Diamonds Jewellery continue to shine and demand has helped the company steadily recover.

In the short span of four years, the Board has ensured the successful turnaround of the company, with building blocks such as good governance, transparency, accountability in place to set a firm foundation for future growth and success.

Today, during challenging times when many industries witness a fall in revenues, Blue Diamonds continues to journey from strength to strength.

Blue Diamonds Jewellery PLC Chairman Sudath Jayasundara said: “We have been through several challenging years – the way in which the company, its staff and its remarkable product have been handled previously made it difficult for us to direct it towards a profit-making enterprise. However, I am pleased to note that we have really turned the corner. Despite being in the midst of the worst global economic shocks and catering to a luxury high-end market, we have not only managed to survive but thrive. The future looks bright for Blue Diamonds and we thank our shareholders for trusting us in steering the ship and regaining the company’s sparkle even though it had gone off course for so long.”