Vancouver-based Lucara Diamond Corp. (TSX: LUC) reported a year-over-year revenue increase in the second quarter of 2025 as the diamond market navigates “structural shifts.”
The company announced on Friday that revenue reached $43.7 million for the quarter, up from $41.3 million during the same period last year.
This growth was largely driven by the sale of a 1,097-carat diamond, sold for $12 million to HB Company, a diamond manufacturer based in Belgium, the company said in a Friday statement.
Lucara noted that the long-term outlook for natural diamond prices “remains cautious” as the market continues to adjust to structural changes.
“Prices of lab-grown diamonds have continued to decrease in 2025, with production outweighing demand,” Lucara said in the statement.
“Global natural diamond production is [forecast] to decrease, following significant production guidance cuts by major diamond producers.”
The company added that premium-grade natural diamonds are showing renewed strength due to limited global supply growth and strong performance at international trade shows.
However, mid-range and lower-grade stones continue to face pricing pressure, influenced by “high inventories, cautious consumer sentiment, and the rapid rise of lab-grown diamonds,” according to the company.
Lucara also highlighted an "encouraging sign" of recovery in the Chinese diamond market.
In the second quarter of 2025, Lucara recovered 242 “specials” — diamonds larger than 10.8 carats — representing 9.4 per cent of total carats recovered, up from 206 during the same period last year.
Among those were 15 stones over 100 carats, including two exceeding 200 carats, all from its Karowe diamond mine in Botswana.
“The continued and consistent recovery of specials reflects not only the quality of the Karowe asset but also the strength of our operational team amid a complex and ever-changing global environment,” said William Lamb, Lucara’s president and CEO, in the statement.
Last August, Lucara announced it had uncovered a 2,492-carat raw diamond at its Karowe diamond mine — one of the largest ever found.
