Gem Diamonds' Letšeng averages $1,945 a carat in Q3, up 73% on year
Gem Diamonds sold 17,899 carats from Letšeng in the third quarter for $34.8m, against 22,830 carats and $25.7m a year earlier. Four stones above $1m each brought in $22.2m, and the miner raised its 2026 guidance.
By Carat Capital
What changed
Price rose as volume fell. Letšeng sold 21.6% fewer carats in the third quarter than a year earlier, at $1,945 a carat. Revenue rose to $34.8m.
What it means
- If you tender large rough: Four stones made 64% of quarterly revenue; the average tracks a few large goods.
- If you lend to or hold Gem: The credit lines expire on 21 December; Gem says renewal is progressing.
- What this is not: A market-wide price rise. Gem's chief executive calls prices firm for Letšeng-quality goods only.
Key figures
| Average price per caratQ3 2026, against $1,124 in Q3 2025 | $1,945 |
|---|---|
| Carats soldQ3 2026, against 22,830 in Q3 2025 | 17,899 |
| Four stones above $1m eachof $34.8m Q3 revenue | $22.2m |
| Carats recovered, top of 2026 guidancerange 78,000 to 80,000, from 75,000 to 78,000 | 80,000 |
Source: Gem Diamonds, Q3 2026 Trading Update, 4 November 2026; quarter 1 July to 30 September 2026.
Four stones carried the quarter.
Four above $1m. Four diamonds sold for more than $1m each and brought in $22.2m. Gem says the 347-carat Lesotho Jubilee, sold in the quarter, lifted the average.
Up 73% on year. Against $1,124 a carat in Q3 2025, the average is up 73%. Revenue was $25.7m a year earlier.
Recoveries fell too. Carats recovered fell to 19,299 from 22,268 a year earlier. Ore came mainly from the Main Pipe, in line with the mine plan.
| Period | Carats sold | Revenue, $m | $ per carat |
|---|---|---|---|
| Q3 2025 | 22,830 | 25.7 | 1,124 |
| H1 2026 | 42,624 | 59.5 | 1,395 |
| Q3 2026 | 17,899 | 34.8 | 1,945 |
| Nine months 2025 | 67,190 | 70.4 | 1,047 |
| Nine months 2026 | 60,524 | 94.3 | 1,558 |
Figures as printed by Gem Diamonds. H1 and Q3 are separate windows; the nine-month rows cover January to September.
Guidance rises before a deadline.
More carats expected. Gem raised its 2026 guidance for carats recovered to 78,000 to 80,000, from 75,000 to 78,000. It cites operating performance and cost control.
Facilities due 21 December. Gem's revolving credit facilities expire on 21 December. It says commercial terms are being finalised with Nedbank and Standard Bank.
Lesotho sets a variable royalty.
Three to six percent. Lesotho approved a royalty of 3% to 6%, set on the six-monthly average price per carat. It applies to sales after 1 October.
What to watch
- By 21 December 2026Renewal of Gem's revolving credit facilities. The test: whether terms are signed before they expire.
- Full-year 2026 report, date not announcedThe year's carats recovered. The test: whether they land inside the raised 78,000 to 80,000 range.
The story so far
Go deeper
What would change this call
A fourth quarter that holds near $1,945 a carat without stones above $1m would mean the run of goods, not a few large stones, is lifting Letšeng's price.
How the average is set
Gem reports the average as revenue divided by carats sold. Here $34.8m over 17,899 carats gives about $1,944, against the printed $1,945.
Method
Gem Diamonds, 'Q3 2026 Trading Update', RNS dated '04 November 2026' in the body, read at Investegate. Fetched by the Editor at 06:04 EST 4 November 2026 with tools/door.py, 200, 85,655 bytes (newsroom/sources/2026-11-04/desk/gem.html; the Bureau's 04:3x capture was 85,685, the difference in the page's sidebar). Read from the RNS text only, with Investegate's 'Summary by AI BETA' block removed before every grep. Grep of the raw bytes: '1 945' 2, '17 899' 2, '22 830' 2, '1 124' 2, '347 carat' 2, '19 299' 2, '22 268' 2, '21 December 2026' 2, '3% and 6%' 2, 'Nedbank' 2, '1 395' 1, '42 624' 1, '1 558' 1, '60 524' 1, '1 047' 1; 'US$34.8', 'US$22.2' and '78 – 80' are split by entities in the bytes and were read in the tag-stripped text (gem.txt): 'generating revenue of US$34.8 million (Q3 2025: US$25.7 million)', 'Four diamonds sold for more than US$1.0 million each, contributing US$22.2 million', 'Carats recovered (Kct) 75 – 78 78 – 80', 'Carats sold (Kct) 77 – 80 79 – 81', 'Carats sold 42 624 17 899 60 524 22 830 67 190', 'Total value (US$ millions) 59.5 34.8 94.3 25.7 70.4', 'positively revising its FY2026 guidance', 'Following strong operational performance and cost containment', 'which contributed to the higher US$ per carat achieved', 'commercial terms and conditions are currently being finalised with Nedbank Limited and Standard Bank', 'demand and prices for Letšeng quality diamonds are firm'. Arithmetic, ours: 17,899 / 22,830 = 0.784 -> 21.6% fewer; 1,945 / 1,124 = 1.730 -> 73% more; 34.8 / 25.7 = 1.354 -> +35%; 22.2 / 34.8 = 0.638 -> 64%; 34.8m / 17,899 = $1,944. The four stones above $1m and the Jubilee: the release does not say the Jubilee is one of the four, and this page does not say so. Gem says 'US$'; this page writes '$'. ARCHIVE, by entity: 'Gem Diamonds' 4 hits and 'Letšeng' 2 hits in website/content/articles.json (tools/archive-hits.py, the Editor, 4 November); the 24 August H1 piece and the 29 July Q1 piece are Gem's own. Ours: Q1 2026 (29 July) and H1 2026 ($1,395, 24 August) | new: Q3 2026 and revised 2026 guidance: ADVANCED, not a repeat. Q3 is not set against H1 as one measure.
Sources
- Gem Diamonds, Q3 2026 Trading Update (RNS) 4 November 2026