Atlas Pearls’ June Auction Hits $6.5M with Rising Price per Quality Point
Atlas Pearls reported strong sales at its June 2025 Kobe auction, achieving $6.5 million in revenue despite a lower average pearl quality index. The company’s proprietary index system showed an increase in price per quality point, underscoring sustained market demand.
- 75,803 pearls sold at an average price of $86 each
- Total revenue reached $6.5 million
- Average quality index per pearl was 21.16, down from 32 in April
- Price per index point rose to $4.08, up from $4.00 previously
- 7,017 pearls withheld for alternative sales channels to maximise returns
Auction Overview and Market Context
Atlas Pearls Ltd (ASX – ATP) has delivered a solid performance at its June 2025 auction held in Kobe, Japan, selling 75,803 pearls and generating $6.5 million in revenue. While the average quality index per pearl was lower than the April auction, the company’s proprietary index system revealed an encouraging rise in price per quality point, suggesting robust demand for its South Sea pearls despite a shift in product mix.
The auction presented 82,820 pearls, with a sell-through rate reflecting strong buyer engagement both onsite and online. This hybrid auction model continues to prove effective in attracting a global audience, reinforcing Atlas Pearls’ position in the luxury pearl market.
Quality Index and Pricing Dynamics
Atlas Pearls uses an internal Index Point system to benchmark pearl quality based on shape, grade, size, and colour. In June, the average index per pearl was 21.16, down from 32 in April, indicating fewer premium-grade pearls were offered. However, the average price per index point increased to $4.08 from $4.00, highlighting the market’s willingness to pay more for quality despite the lower average grade.
This nuanced pricing dynamic suggests that while the composition of pearls shifted, the underlying demand and pricing power for Atlas Pearls’ products remain strong. CEO Michael Ricci noted that competitive bidding and confidence in the market were evident throughout the event.
Strategic Stock Management and Sales Channels
The company strategically withheld 7,017 pearls from the auction, aiming to realise higher margins through alternative sales channels such as wholesale, value-added, and retail segments. This approach aligns with Atlas Pearls’ broader strategy to optimise returns across multiple platforms rather than relying solely on auction sales.
Such selective withholding indicates a focus on maximising value rather than volume, a tactic that may pay dividends if alternative channels can command premium prices for these pearls.
Looking Ahead
With the June auction marking the final major sale for FY25, Atlas Pearls appears well positioned to maintain pricing stability and market confidence. The company’s next major auction is scheduled for September 2025 in Kobe, where it will be interesting to see if the trends of rising price per quality point and strategic stock management continue.
Overall, the June auction results underscore the resilience of Atlas Pearls’ pricing strategy and the growing recognition of its brand in the global luxury pearl market.
Bottom Line?
Atlas Pearls’ June auction confirms steady demand and strategic sales discipline, setting the stage for a pivotal September event.
Questions in the middle?
- How will alternative sales channels perform in realising higher margins for withheld pearls?
- Will the September auction sustain or improve the price per index point amid changing pearl quality?
- How might global economic factors influence demand for luxury pearls in the coming months?
