Sarine FY 2014 Revenue +15%

(IDEX Online News) – Diamond technology toolmaker Sarine Technologies announced that FY2014 revenue increased 15 percent to $8.7 million. Net profit rose 14 percent to $27.2 million.

Gross profit grew 13 percent to $61.9 in FY2014 from $54.6 million in FY2013 and gross profit margin remained stable at 71 percent.

The company said the results were bolstered by recurring income related to the Galaxy™ family of products, which accounted for more than 35 percent of revenue, and higher sales of rough diamond planning and processing products.

“The current overall stable global economic conditions remain favorable to our business. However, the diamond manufacturing industry in India is still experiencing liquidity issues and the decoupling of rough and polished diamond prices intensified in Q4 2014. The continuation of these headwinds into 2015 will affect our business activities in the immediate term,” said CEO Uzi Levami.

“However, we anticipate a further price correction for rough diamonds early in 2015, on top of the minimal correction of 4 percent in January, and are optimistic of regaining our growth momentum with significant Galaxy family systems deliveries in 2015 when business sentiments in the diamond industry improve,” he added.

During FY2015, Sarine will continue marketing the Sarine Light™ and Sarine Loupe™ imaging services with the introduction of Sarine Profile™, a new marketing and promotional tool that utilizes Sarine’s technologies to “show and tell” the stone with graphic and video displays on a concise “page” rather than simply present a tabular non-intuitive report.

The company said that subject to diamond industry conditions, it expects material revenue contribution from Sarine Profile™ and its imaging systems in the current financial year.

Sarine will also add the Allegro™ system, which processes preformed gemstones (not diamonds) and transforms the rough stone directly into a fully shaped

(unfinished) gem. The company said the Allegro provides extremely accurately sized stones, with minimal unnecessary weight loss.

The company said it intends to offer the system’s capabilities as an inexpensive per-stone service and targets a beta-rollout in the second quarter of the year with commercialization of the new system in late 2015 or early 2016.