Loading ...8/26/20
DRDGOLD (DRD +1.3%) in a trading statement indicated earnings of 82.5c for fiscal year ended June 30, compared with 11.8c, a year ago, owing mainly to revenue increasing by 52% to R4,185M, boosted by higher revenue of East Rand Gold Operations (ERGO) to R3,064.3M, and Far West Gold Recoveries (FWGR) to R1,120.7M.
DRDGOLD’s headline EPS is also poised to soar to 82.4c a share, compared with 10.9c last year.
Sibanye-Stillwater has secured a majority 50.1% equity holding in DRDGOLD, in an acquisition described as being key to DRDGOLD’s surface operations strategy.
At ERGO, a 33% increase in gold price received offset an 11% reduction in gold sold, the result of a 3M tonne decrease in throughput to 20.2M. FWGR reported its first full financial year of Phase I production in the period.
The increase of 8% in cash operating costs is also reflective of the total volume throughput increasing by 8%. Cash operating costs per unit were stable at R100/t.
As reported by Bloomberg earlier this month, DRDGOLD was this year’s best-performing stock on the MSCI ACWI Select Gold Miners Investable Market Index.