DRDGF (DRDGold) Interest Coverage: 61.98 (As of Jun. 2025) — 272% Above Median


DRDGF DRDGold Ltd DRDGF
89 GF Score
Price $2.51
GF Value $2.52
Valuation Fairly Valued
! 1 Warning Sign
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What is DRDGold Interest Coverage?

DRDGold DRDGF 89 Interest Coverage is 61.98 as of Jun. 2025, which is 272% above its 10-year median of 16.68. GuruFocus rates DRDGF with a GF Score™ of 89/100 and a GF Value™ of $2.52 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,318 Metals & Mining companies, DRDGold ranks worse than 68.74% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. DRDGold's Operating Income for the six months ended in Jun. 2025 was $95.6 Mil. DRDGold's Interest Expense for the six months ended in Jun. 2025 was $-1.5 Mil. DRDGold's interest coverage for the quarter that ended in Jun. 2025 was 61.98. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for DRDGold's Interest Coverage or its related term are showing as below:

DRDGF' s Interest Coverage Range Over the Past 10 Years
Min: 1.03   Med: 16.68   Max: 44.39
Current: 44.39


DRDGF's Interest Coverage is ranked worse than
68.74% of 1318 companies
in the Metals & Mining industry
Industry Median: No Debt vs DRDGF: 44.39

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


DRDGold  (OTCPK:DRDGF) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


DRDGold Interest Coverage Related Terms


DRDGold Interest Coverage Historical Data

* Premium members only.

The historical data trend for DRDGold's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

DRDGold Interest Coverage Chart

DRDGold Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.85 16.68 20.06 21.53 44.39

DRDGold Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Jun21 Jun22 Jun23 Dec23 Jun24 Dec24 Jun25
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only N/A 17.76 25.23 31.74 61.98

DRDGF vs NEM, AU, CDE: Interest Coverage Comparison

For the Gold subindustry, DRDGold's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


DRDGold Interest Coverage vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, DRDGold's Interest Coverage distribution charts can be found below:

* The bar in red indicates where DRDGold's Interest Coverage falls into.


DRDGF
89GF Score
DRDGold Ltd DRDGF
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

DRDGold Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

DRDGold's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, DRDGold's Interest Expense was $-3.7 Mil. Its Operating Income was $163.7 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.6 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*163.677/-3.687
=44.39

DRDGold's Interest Coverage for the quarter that ended in Jun. 2025 is calculated as

Here, for the six months ended in Jun. 2025, DRDGold's Interest Expense was $-1.5 Mil. Its Operating Income was $95.6 Mil. And its Long-Term Debt & Capital Lease Obligation was $0.6 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2025 )/Interest Expense (Q: Jun. 2025 )
=-1*95.63/-1.543
=61.98

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 61.98 mean?
DRDGold (DRDGF) has a Interest Coverage of 61.98 as of Jun. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on DRDGold and its competitors. This is 272% above median its historical median of 16.68. Over the past decade, DRDGold's Interest Coverage has ranged from 1.03 to 44.39. According to the industry distribution chart, DRDGold ranks #906 out of 1318 companies in the Metals & Mining industry, placing it in the top 68.7%.
Is DRDGold's Interest Coverage too high?
DRDGold's current Interest Coverage of 61.98 is 272% above median its 10-year median of 16.68. Over the past 10 years, this metric has ranged from a low of 1.03 to a high of 44.39. The Metals & Mining industry median Interest Coverage is 10,000.00. DRDGold's value of 61.98 is 99.4% below this industry median. Based on the distribution chart, DRDGold ranks #906 out of 1318 companies in the Metals & Mining industry, which is below the industry midpoint. Overall, DRDGold has a GF Score™ of 89/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does DRDGold's Interest Coverage compare to NEM and AU?
According to the Metals & Mining industry distribution chart, DRDGold ranks #906 out of 1318 companies for Interest Coverage. This places DRDGold in the lower half of its industry. The industry median Interest Coverage is 10,000.00. DRDGold's value of 61.98 is 99.4% below this benchmark. Historically, DRDGold's own Interest Coverage has ranged from 1.03 to 44.39 over the past decade. While the company's 10-year median is 16.68 vs. the industry median of 10,000.00, DRDGold has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Metals & Mining company?
The median Interest Coverage among Metals & Mining companies is 10,000.00, based on 1,318 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DRDGold's current Interest Coverage of 61.98 is 99.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on DRDGold and its competitors. For the Metals & Mining industry, the median Interest Coverage is 10,000.00 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DRDGold's current Interest Coverage is 61.98, which is 272% above median its own 10-year median of 16.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DRDGold stock overvalued right now?
Based on GuruFocus' analysis, DRDGold (DRDGF) is currently considered Fairly Valued. The stock's GF Value™ is $2.52, compared to a current price of $2.51 — trading 0.4% below its estimated fair value. The current Interest Coverage is 61.98, which is 272% above median its 10-year median of 16.68 and 99.4% below the Metals & Mining industry median of 10,000.00. DRDGold's overall GF Score™ is 89/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For DRDGold (DRDGF), the current Interest Coverage is 61.98 as of Jun. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is DRDGold (DRDGF) Overvalued in 2026?

Based on GuruFocus' analysis, DRDGold stock appears to be undervalued. The current stock price of $2.51 is trading 0.4% below its estimated GF Value™ of $2.52. GuruFocus considers DRDGold to be Fairly Valued.

Key valuation signals for DRDGF:

  • Interest Coverage: 61.98 (272% above median its 10-year median of 16.68)
  • GF Value™: $2.52 vs. price of $2.51 (0.4% below fair value)
  • GF Score™: 89/100 with 1 warning sign
  • Industry Position: 99.4% below the Metals & Mining median (#906 of 1318)

No single metric tells the full story. See the DRDGF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


DRDGold Business Description

Address Cnr 14th Avenue and Hendrik Potgieter Road, Constantia Office Park, Cycad House, Building 17, Ground Floor, Weltevreden Park, Johannesburg, ZAF, 1709
DRDGold Ltd is a South African gold mining company engaged in surface gold tailings retreatment including exploration, extraction, processing, and smelting. Its reportable operating segments are; Ergo, FWGR, and Corporate office and other reconciling items. The Ergo is a surface gold retreatment operation that treats old slime dams and sand dumps to the south of Johannesburg's central business district as well as the East and Central Rand goldfields, and the FWGR which is a surface gold retreatment operation and treats old slime dams in the West Rand goldfields. The Ergo segment derives a vast majority of the company's revenue.
89GF Score

Get the complete analysis for DRDGF

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$2.51
Price
$2.52
GF Value