Moscow: ALROSA reported revenue jumped 8.4 percent to $3.28 billion (RUB 224.5 billion) last year as the rouble’s depreciation against the dollar boosted the Russian miner’s sales in local currency.
As a result, the company swung to a profit of $470.9 million from a loss of $246.2 million in a year ago, overcoming a 24 percent slide in the volume of diamonds sales, according to a statement. The value of diamond sales increased 9.3 percent to $2.94 billion.
“After a decline in rough diamond market activity in 2H 2015, we note signs of recovering market demand for the company’s main products,” Andrey Zharkov, ALROSA’s chief executive officer, said, adding that a “favorable foreign-exchange market environment” and cost controls supported the “strong” results.
The Russian rouble, in which ALROSA calculates its results, weakened 25 percent against the dollar in 2015, boosting reported figures as the miner sells diamonds in the U.S. currency.