JB206 is correct, he is basically describing what I was trying to explain to you a while back, but I think we had miscommunication.
FMG's break even point is some where between $30 and $35 for the bench mark price depending on grade discount etc, this is the point where they neither make or lose money, every $1 above this number the bench mark sits at roughly equates to and after tax profit of $0.50 per tonne.
The reason for this is of course that when the bench mark price goes up by $1, that doesn't equate to a $1 profit for FMG, because the extra $1 in bench mark price is only going to be $0.80 after the grade discount, then they minus $0.03 for moisture, a few more cents for government royalties, etc, and then finally that profit will be taxed at 30%, which ends up leaving FMG with about $0.50 NPAT for every $1 the bench mark is above its break even costs.
As I said though its only a rough estimate, because grade discounts fluctuates, sustaining capital fluctuates, as does the production costs in USD etc
- Forums
- ASX - By Stock
- FMG
- Iron ore price
Iron ore price, page-41823
-
-
- There are more pages in this discussion • 11,894 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add FMG (ASX) to my watchlist
|
|||||
Last
$18.21 |
Change
-0.030(0.16%) |
Mkt cap ! $56.36B |
Open | High | Low | Value | Volume |
$18.43 | $18.45 | $18.17 | $62.00M | 3.386M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
23 | 8503 | $18.20 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$18.21 | 151 | 4 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
22 | 7644 | 18.200 |
21 | 24144 | 18.190 |
23 | 15645 | 18.180 |
12 | 27654 | 18.170 |
22 | 23545 | 18.160 |
Price($) | Vol. | No. |
---|---|---|
18.210 | 283 | 7 |
18.220 | 9117 | 26 |
18.230 | 8882 | 16 |
18.240 | 18566 | 11 |
18.250 | 8278 | 12 |
Last trade - 14.58pm 13/08/2024 (20 minute delay) ? |
Featured News
FMG (ASX) Chart |
The Watchlist
ACW
ACTINOGEN MEDICAL LIMITED
Steven Gourlay, Managing Director and CEO
Steven Gourlay
Managing Director and CEO
SPONSORED BY The Market Online