Fabergé Limited

Fabergé is one of the world’s most recognised luxury brand names, underscored by a well-documented and globally respected heritage.

For more information on Fabergé, please visit: www.faberge.com

Financial Performance

Fabergé achieved revenues of USD7.1 million in the year to 31 December 2020.

Points of Sale

Fabergé directly operated three points of sale: a by-appointment boutique at group HQ in London; a concession in Harrods Fine Jewellery Room, London; and a stand-alone boutique located in The Galleria Mall, Houston, Texas.

Assets

Fabergé is one of the world’s most recognised luxury brand names, underscored by a well-documented and globally respected heritage. As a wholly owned subsidiary of Gemfields, Fabergé provides direct access to the end-consumer of coloured gemstones through directly operated boutiques and international wholesale partners, and boosts the international presence and perception of coloured gemstones through its consumer-focussed marketing campaigns.

Points of Sale

For the year to 31 December 2020, Fabergé directly operated three points of sale: a by-appointment boutique at group HQ in London; a concession in Harrods Fine Jewellery Room, London; and a stand-alone boutique located in The Galleria Mall, Houston, Texas, United States of America (“USA”), the state’s premier retail destination.

In addition to its directly operated stores, Fabergé also has partner operated stand-alone boutiques located at: The Dubai Mall, UAE; Kiev, Ukraine; and Heydar Aliyev International Airport, Baku, Azerbaijan. Fabergé also continued to expand its global presence during the period via new agreements with multi-brand retail partners. At the end of the year, Fabergé products were available in Australia, Austria, Abu Dhabi, Andorra, Azerbaijan, Bahrain, Belgium, Canada, Czech Republic, Dubai, Finland, France, Germany, Greece, Holland, India, Italy, Jordan, Japan, Kuwait, Malta, Moldova, the Netherlands, Norway, Qatar, Romania, Saudi Arabia, South Africa, Switzerland, Thailand, UK, Ukraine and the USA. The total number of Fabergé points of sale increased from 75 to 81 during the period.

Marketing and Communications

Today, Fabergé continues to explore ‘A Life in Colour’, pushing the boundaries of artistry and craftsmanship with the use of coloured gemstones, enamels and innovative techniques. Fabergé works closely, but not exclusively, with Gemfields when sourcing exceptional coloured gemstones for its contemporary jewellery collections. The relationship between Gemfields and Fabergé will continue to grow over the coming years, exemplifying our mine and market strategy.

Financial

Fabergé achieved revenues of USD7.1 million in the year to 31 December 2020 (2019: USD10.5 million). During the same period, Fabergé recorded an EBITDA loss of USD3.4 million (2019: USD6.5 million) with average monthly operating expenses of USD0.6 million (2019: USD0.8 million) and a sales margin of 54% (2019: 31%) before any inventory provisions.

Operating costs reduced overall by USD2.2 million against the prior year in response to the Covid-19 crisis and associated temporary decline in sales

Exhibitions and Product Developments

2019 saw two new Fabergé egg objets d’art produced and sold to a client in the Middle East. Fabergé also expanded it’s Colours of Love collection which features Gemfields Rubies and Emeralds, proudly supporting the wider group’s “mine and market” vision.

During the period Fabergé returned to the Doha Jewellery and Watch exhibition, Doha, Qatar for its 8th consecutive year, operated a 3rd consecutive, successful trunk show in Singapore and a coloured gemstone focused event with the high-status department store Wako which is located in Ginza, Tokyo, Japan.

Fabergé also secured its participation at the exclusive Watches and Wonders Exhibition 2020 (formerly known as the Salon International de la Haute Horlogerie) a tremendous and exciting achievement to have been invited to participate in the industry’s most exclusive and elite tradeshow.

From The Directors

Fabergé’s development has continued with the opening of a new boutique in Houston. The luxury brand is focussing on achieving sustainable profitability for the business on a stand-alone basis.

Chief Executive

The Fabergé Inventory Partner Programme

Parties of good standing are invited to apply to Fabergé regarding participation in its programme for Fabergé Inventory Partners (“FIPs”). In short, FIPs pay the cost price of mutually agreed items of jewellery and participate in 50% of the upside. For more information please click here.

Outlook

Fabergé will continue to increase its digital presence, with a greater focus on social media platforms given the reach, adaptability and measurability offered by that medium. Coloured gemstone-set, fine-jewellery collections will remain at the heart of the campaign, allowing Fabergé to seek and utilise synergies with Gemfields’ marketing and to continue to promote the brand’s tagline: A Life in Colour.

Related News and Announcements

Monthly Operational Market Update – 30 June 2020

Gemfields shareholders are advised that the Company has released information about its business related and operational results and financial position up to and including 30 June 2020. The figures have been produced on a monthly‐basis for Gemfields’ 75% owned Kagem emerald mine, its 75% owned Montepuez ruby mine and Fabergé – the iconic luxury brand.

COVID-19 Update

The turmoil stemming from COVID-19 patently represents one of the most serious challenges faced by many companies globally. Gemfields is no exception and a significant detrimental impact on its operations, revenues and business is inevitable during 2020 and possibly beyond.