Atlas Pearls downsizes expectations

Company News

Atlas Pearls and Perfumes Limited (ASX:ATP) says its anticipated reduction in pearl sizes and prices for the 2015 financial year will impact cash revenue by around $2.5 million. 
 
The company has undergone an audit of auctions it held in October and December last year and says the predicted 15 per cent reduction in pearl sizes will have a symmetrical 15 per cent reduction in price per gram. 
 
Atlas says demand for its 9-13mm White South Sea pearls is increasing due to a growing North American market and consistent demand from China. Atlas says it is positioning itself to capitalise on increased demand. 
 
Atlas also says x-rays and pearl growth rates indicate a return to larger pearl sizes in the 2016 financial year. 
 
Atlas reported a net profit of $1.8 million for the 2014 financial year.