Sarine Posts $3.5m Net Loss, Blames Lab Growns and Higher Costs

(IDEX Online) - Sarine recorded a net loss of $3.49 million for the first half of 2026 amid continued pressure from lab growns and challenging market conditions.

The company said it expected business conditions to remain difficult, although it said anecdotal reports suggested that retail demand for natural diamonds appeared stable.

The Israel-based diamond tech group's net loss for the six months ended 30 June 2026 compared with a loss of $3.7 million in H2 2025 and a loss of $166,000 in H1 2025.

Sarine attributed the deficit mainly to higher operating expenses, which rose about 25% year on year. Nearly half of the increase was related to the weaker US dollar against the Israeli shekel.

The company said the natural-diamond polishing sector continued to face pressure from lab-grown-diamond competition in the US and subdued luxury demand in China. These factors weighed on equipment sales and some traditional services.

Revenue from its Most Valuable Plan (MVP) more than doubled in H1 2026 as manufacturers increasingly adopted AI-driven planning to optimize yield and reduce costs.

Certification volumes at GCAL, in which Sarine acquired a 70% stake in 2023, increased by more than 50%. The growth helped offset weaker capital-equipment sales and Galaxy scanning.

Revenue fell 6% year on year to $14.41 million, while the operating loss was approximately $2.2 million.