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Form 6-K DRDGOLD LTD For: Aug 17

August 17, 2022 9:43 AM EDT

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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
______________________
FORM 6-K
REPORT OF A FOREIGN PRIVATE
 
ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For August 2022
Commission File Number 0-28800
______________________
DRDGOLD Limited
Constantia Office Park
Cnr 14th Avenue
 
and Hendrik Potgieter Road
Cycad House, Building 17, Ground Floor
Weltevreden Park
South Africa, 1709
(
Address of principal executive offices
)
______________________
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form
40-
F.
Form 20-F
 
Form 40-F
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also
thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities
Exchange Act of 1934.
Yes
 
No
If ''Yes''
 
is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
N/A
 
 
Attached to the Registrant Form 6-K filing for the month of August 2022, incorporated by reference herein:
Exhibit
 
99.1
 
Release dated
 
August 17, 2022
 
“TRADING STATEMENT
 
AND TRADING
 
UPDATE FOR THE YEAR
ENDED 30 JUNE 2022.”
 
 
 
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report
to be signed on its behalf by the undersigned, thereunto duly authorized.
DRDGOLD LIMITED
Date: August 17, 2022
 
By: /s/ Riaan Davel
 
Name: Riaan Davel
 
Title: Chief Financial Officer
 
 
Exhibit 99.1
DRDGOLD LIMITED
(Incorporated in the Republic of South
 
Africa)
(Registration number:
 
1895/000926/06)
ISIN: ZAE000058723
JSE share code: DRD
NYSE trading symbol: DRD
(“
DRDGOLD
” or the “
Company
” or the “
Group
”)
TRADING STATEMENT AND TRADING UPDATE FOR THE YEAR ENDED 30 JUNE 2022
DRDGOLD
 
is
 
in
 
the
 
process
 
of
 
finalising
 
its
 
results
 
for
 
the
 
year
 
ended
 
30
 
June
 
2022
 
(“
Current
 
Reporting
 
Period
”).
DRDGOLD’s production guidance
 
for the Current Reporting Period
 
was between 160 000 and 180
 
000 ounces of gold at
 
a
cash operating
 
cost
 
of R600 000/kg,
 
with planned
 
capital investment
 
of R600
 
million. For
 
the Current
 
Reporting Period,
DRDGOLD
 
produced
 
183 902
 
ounces
 
of
 
gold
 
at
 
a
 
cash
 
operating
 
cost
 
of
 
R600,875/kg,
 
with
 
a
 
capital
 
investment
 
of
R584.1 million.
In
 
terms
 
of
 
paragraph
 
3.4(b)
 
of
 
the
 
JSE
 
Limited
 
Listings
 
Requirements,
 
companies
 
are
 
required
 
to
 
publish
 
a
 
trading
statement as
 
soon
 
as they
 
are satisfied,
 
with a
 
reasonable degree
 
of
 
certainty,
 
that
 
the financial
 
results
 
for
 
the current
reporting period will differ by at least 20%
 
from the financial results of
 
the previous corresponding
 
period.
Shareholders are accordingly
 
advised that the Company has reasonable
 
certainty that it will report:
-
 
earnings per share (“
EPS
”) of between
 
114.4 cents
 
and 148.0 cents compared to
 
168.4 cents for the
 
year ended
30 June 2021 (“
Previous Corresponding Period
”), being a decrease of between
 
32% and 12%; and
-
 
headline earnings per
 
share (“
HEPS
”) of
 
between 113.6
 
cents and
 
147.2 cents
 
compared to
 
168.4 cents
 
for the
Previous Corresponding
 
Period, being a decrease of between
 
33% and 13%.
The
 
expected decreases
 
in EPS
 
and
 
HEPS for
 
the Current
 
Reporting Period
 
compared to
 
the
 
Previous Corresponding
Period are due mainly to movements
 
in,
inter alia
, the following items:
1.
 
Revenue
For the
 
reclamation operations owned and
 
managed by
 
DRDGOLD,
 
being Ergo
 
Mining Proprietary Limited
 
(“
Ergo
”) and
Far West Gold Recoveries Proprietary
 
Limited (“
FWGR
”), revenue decreased by R150.5
 
million, or 3%, to R5,118.5 million
(2021:
 
R5,269.0 million).
Ergo’s
 
revenue
 
decreased
 
by
 
R238.1
 
million,
 
or
 
6%,
 
to
 
R3,704.9
 
million
 
(2021: R3,943.0 million), due
 
mainly
 
to
 
a
 
3%
decrease in the Rand
 
gold price received
 
and a 3% decrease
 
in gold sold.
 
The decrease in gold
 
sold resulted from a
 
4%
decrease in volume throughput
 
offset by a 1% increase in yield.
FWGR’s
 
revenue
 
increased
 
by
 
R87.6
 
million,
 
or
 
7%,
 
to
 
R1,413.6
 
million
 
(2021:
 
R1,326.0
 
million)
 
due
 
mainly
 
to
 
a
 
9%
increase in gold sold.
 
The increase in gold sold resulted from an
 
8% increase in yield,
 
notwithstanding volume throughput
decreasing by 1%.
 
2.
 
Cash operating costs
The impact
 
of the
 
decrease in
 
revenue on
 
earnings and
 
headline earnings was
 
further impacted
 
by an
 
increase in
 
cash
operating costs
 
of
 
R391.1 million,
 
or
 
13%, to
 
R3,463.8 million
 
(2021:
 
R3,072.7 million).
 
The
 
increases in
 
costs
 
at
 
both
operations were mainly caused
 
by above inflationary increases
 
in the costs of key consumables,
 
diesel, steel and cyanide.
At Ergo, cash operating costs increased
 
by R343.3 million, or 13%,
 
to R3,009.8 million (2021:
 
R2,666.5 million).
At FWGR, cash operating costs increased
 
by R47.8 million, or 12%, to
 
R454.0 million (2021: R406.2
 
million).
3.
 
Liquidity
As at
 
30 June
 
2022, DRDGOLD’s
 
cash and
 
cash equivalents
 
was R2,525.6
 
million (2021:
 
R2,180.0 million),
 
with a
 
revolving
credit facility with
 
ABSA Bank
 
Limited of
 
R200 million, available
 
if needed. During
 
the Current Reporting
 
Period, DRDGOLD
generated free cash flow (cash inflow
 
from operating activities less cash
 
outflow from investing activities)
 
of R871.6 million
and paid cash dividends
 
of R513.3 million. The Group remains free
 
of any bank debt as at 30 June 2022
 
(2021:
 
Rnil).
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.
 
The condensed consolidated reviewed provisional results for the
 
year ended 30 June 2022 are
 
expected to be published
on or about 24 August 2022.
Johannesburg
17 August 2022
Sponsor
One Capital


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