DRDGold’s operating profit rose 42% to R1.63 billion in the quarter to 30 September, it said on 20 October, from R1.15 billion a year earlier.

The company produced 1,307kg of gold, up 10% from 1,191kg in the September 2025 quarter. Yield rose 15% to 0.212 grams a tonne, even though it processed 5% less material, 6.17 million tonnes. It sold 1,324kg, up 14%. Operating profit is net of the movement in gold in process, DRDGold said.

Revenue rose 31% to R2.95 billion. The average gold price DRDGold received was R2,223,112 a kilogram, up 14%, which the company reported as US$4,247 an ounce, up 24% in dollar terms. The rand averaged R16.28 to the dollar, against R17.63 a year earlier.

Costs rose too. Cash operating costs were R1.30 billion, up 12% from a year earlier. DRDGold said higher reagent and diesel costs, the purchase and processing of higher-grade third-party material, and a tariff adjustment and two winter months of electricity use all added to the bill, partly offset by solar and battery storage at Ergo. It said diesel costs rose because of the conflict in the Middle East. Cost per kilogram rose 5% to R999,396, and all-in sustaining costs rose 6% to R1,135,423 a kilogram, both against a year earlier.

Against the June 2026 quarter, revenue fell 6% and operating profit fell 14% from R1.89 billion. The average gold price received fell 6% from R2,364,070 a kilogram, and gold sold was flat at 1,324kg against 1,322kg. Cash costs rose 6%, which the company put down to wage increases from 1 July and higher contractor and machine hire costs.

DRDGold revenue, cash operating cost and operating profit, quarters to September 2025, June 2026 and September 2026
1,0001,5002,0002,5003,0003,500 RmSep 2025Jun 2026Sep 2026Revenue2,950.6 RmOperating profit1,627.4 RmCash operating cost1,300.7 Rm
1,0001,5002,0002,5003,0003,500 RmSep 2025Sep 2026Revenue2,950.6 RmOperating profit1,627.4 RmCash operating cost1,300.7 Rm

Source: DRDGOLD operating update for the quarter ended 30 September 2026. Chart: Rand Desk

Compared with a year earlier, growth capital spending fell 29% to R555.7 million as certain Vision 2028 projects moved towards completion. Sustaining capital spending more than doubled to R119.7 million. DRDGold said the DP2 plant expansion at Far West Gold Recoveries was substantially complete, with commissioning planned for October. The Daggafontein tailings storage facility at Ergo was commissioned in July, and approvals at Withok are still under way.

Cash fell by R318.9 million from 30 June to R2.45 billion after the R1.04 billion final dividend. Free cash inflow was R725.8 million, against R90.6 million in the September 2025 quarter. DRDGold had no debt and access to a R1 billion revolving credit facility from Nedbank.

DRDGold said it remains on track for production of 160,000 to 170,000 ounces in the year to 30 June 2027. It said the information is not an earnings forecast and has not been reviewed by its auditors. Related reading: Kumba’s quarterly report and mining input cost inflation. The company said it will consider an interim dividend in February 2027.