Citi upgrade GXY to BUY..., page-96

Shall I cut and paste for lack of time....


One of many many similar examples is Thesi's workings from last month:

"Galaxy will be able to show the rest of the market how profitable the lithium sector can be.
Just a low ball assessment of the monthly export we might see..
(570 tonnes per day X 6 days ) x 4.3 weeks = 14,706 tonnes per month.
Mark it up to 15,000 tonnes then multiply by the minimum $830 per tonne arrives at US$12,450,000 per shipment or just under AU$16.6 million per month.
Multiply that by 12 months... and then adjust to Australian dollars and we have....
$200 million per annum before costs."

With production cash costs reported by the company being USD389/t (excl. royalties and marketing), it is relatively safe to assume about half of that revenue is profit.
Half of about AUD200,000,000 is about AUD100,000,000.

Hence: "circa $100M profit".

If you have some basis for your net profit target of 40-60M, please share, as I'm sure many are interested.