LSE-listed Petra Diamonds CE Johan Dippenaar on Monday said the company had achieved a solid progression for the full financial year ended June 30, after challenges in the 2017 financial year and in the first half of the 2018 financial year.

Production rose by 15% year-on-year to 4.6-million carats, compared with four-million-carats in the prior financial year, as underground expansion programmes continued to ramp up with a resultant higher contribution of undiluted ore from the new mining areas, together with the ongoing ramp-up of the new Cullinan plant.

Production was in line with guidance of between 4.6-million and 4.7-million carats.

Dippenaar said the diamond market remained stable throughout the period, with rough diamond prices on a like-for-like basis up about 2% for the year, compared with the prior financial year.

Revenue increased by 21% year-on-year to $576.4-million, while debt decreased to $436.1-million, compared with $513.9-million in the prior financial year.

Operational capital expenditure (capex) decreased to $142.7-million, compared with $255.1-million in the prior year and in line with the company’s decreasing capital profile.

Post year-end, Petra agreed to sell its interest in the Kimberley Ekapa Mining (KEM) joint venture (JV). The divestment is expected to be completed by end-September.

Meanwhile, the company expects to produce between 4.6-million and 4.8-million carats of diamonds in the 2019 financial year, a decrease on the five-million to 5.3-million carats guided late in 2017.

Excluding the KEM JV, production is forecast to decrease to between 3.8-million and four-million carats.

The diamond miner has, in recent months, shifted focus to achieving value over volumes, as well as on delivering the most effective capital and operational cost profile.

Capex for the 2019 financial year is expected to be about $100-million and is expected to further decrease to $72-million in the 2020 financial year.

Petra’s share price on the LSE fell by more than 8% on Monday morning.