By: DRD gold limited

DRDGOLD Limited (JSE: DRD, A2X, NYSE: DRD), in a voluntary trading update released today, reported a 26% increase in revenue to R7 878.2 million for the year ended 30 June 2025 (FY2024: R6 239.7 million) due to a 31% increase in the Rand gold price received.

DRDGOLD’s results for FY2025 will be published on SENS at 08:00 SA time on Wednesday, 20 August 2025. Publication will be followed later in the morning by a live presentation and webcast, details of which are provided at the end of this media statement. 

The Company expects to report earnings per share (EPS) and headline earnings per share (HEPS) of between 252.4 cents and 267.8 cents compared to EPS and HEPS of 154.3 cents and 154.1 cents respectively for FY2024, an increase of between 64% and 74%.

Revenue

Further to the increase in Group revenue reported above, in respect of the operations:

Far West Gold Recoveries Proprietary Limited (FWGR) revenue increased by R491.9 million to R2 206.7 million (FY2024: R1 714.8 million), mainly due to the afore-mentioned increase in the Rand gold price received and notwithstanding a marginal 1% decrease in gold sold to 1 352kg (2024: 1 364kg). Gold yield increased by 0.5% from 0.221g/t in FY2024 to 0.222g/t. Throughput tonnages remained consistent at 6.1Mt.

Ergo Mining Proprietary Limited (Ergo) revenue increased by R1 146.6 million to R5 671.5 million (FY2024: R4 524.9 million), mainly due to the increase in the Rand gold price received. Throughput tonnages increased by 21% from 16.1Mt in FY2024 to 19.5Mt. Gold yield decreased from 0.226g/t to 0.178g/t due to lower average grades, a feature of Ergo’s newly commissioned reclamation sites. Gold sold was 4% lower at 3 466kg (FY2024: 3 625kg).

Cash operating costs

Group cash operating costs increased by 4% to R4 372.7 million (FY2024: R4 193.4 million).

At Ergo, cash operating costs were 4% higher at R3 699.2 million (FY2024: R3 571.0 million) due to inflationary increases and higher reagent and consumable stores consumption resulting from the 21% in tonnage throughput. While unit cash operating costs in R/kg terms were 9% higher at R1 064 447/kg (FY2024: R974 494/kg) due to lower gold production, they were 14% lower on a R/t basis at R190/t (FY2024: R222) as Ergo transitions to a reclamation profile involving fewer sites which are mostly hydraulically mined.

With the solar plant and battery energy storage system (BESS) reaching practical commissioning in November 2024 and now fully integrated into the national grid, a key focus going forward is the optimisation of its contribution to the Group’s cost base through direct consumption, off-setting, and wheeling.

At FWGR, cash operating costs increased by R51.2 million, or 8%, to R673.5 million (FY2024: R622.3 million) due to expansion-related staffing increases, inflationary increases in labour costs, higher maintenance requirements for ageing plant equipment and reagent and consumable cost increases.

Operational performance against guidance

On 21 August 2024, in its annual results for the year ended 30 June 2024, the Company issued production guidance for FY2025 of between 155 000 and 165 000 ounces and cash operating costs of approximately R870 000/kg. In FY2025, the Company achieved production of 155 288oz at a cash operating cost of R 903 824, reflecting the circumstances detailed above.

Capital expenditure

Cash expenditure on capital projects decreased by 24% to R2 254.9 million (FY2024: R2 985.7 million mainly due to the practical completion of key projects such as the commissioning of reclamation sites and the solar plant and BESS at Ergo, for which significant capital was incurred in FY2024. FY2025 spend was mainly driven by ongoing key projects at FWGR such as the Regional Tailings Storage Facility (RTSF) construction, the Driefontein 2 Plant expansion, related pipeline infrastructure and the completion costs of the solar plant and BESS at Ergo.

Liquidity

At 30 June 2025, DRDGOLD held R1 306.2 million in cash and cash equivalents compared to R521.5 million at 30 June 2024. In FY2025, DRDGOLD had free cash inflow (cash inflow from operating activities, less cash outflow from investing activities) of R1 227.6 million (FY2024: free cash outflow of R1,197.6 million), after a R759.3 million decrease in cash outflow from investing activities to R2 283.3 million (FY2024: R3 042.6 million) and paying cash dividends of R431.0 million (FY2024: R731.7 million).

The Group remains free of any bank debt as at 30 June 2025, (30 June 2024: Rnil). To support liquidity in funding the significant capital expansion programme, the Group has a R1 billion revolving credit facility with a R500 million accordion option and a R500 million general bank facility with Nedbank Limited (acting through its Corporate and investment Banking division), available if needed. The facilities remained undrawn at 30 June 2025.

The financial information contained in this announcement is the responsibility of the directors of DRDGOLD, and such information has not been reviewed or reported on by the Company’s auditors.

Results presentation and webcast

The Company’s results for the year ended 30 June 2025 will be presented on Wednesday 20 August 2025 at the JSE Limited, with a concurrent webcast, at 10:00 SA time.

If you would like to attend the event in person, please advise: Patience Mtshali at Patience@rasc.co.za by 15 August 2025

If you would like to attend the event virtually, please register at this link: https://register.gotowebinar.com/register/721550556211451738

The results information will be available on the day on the website at: https://www.drdgold.com/investors/reports-and-results

Investor and media relations queries:

R&A Strategic Communications
Jane Kamau
jane@rasc.co.za