Crassius
I think earnings is different from Revenue. ie earnings is profit.
Basically put:
EPS = (Revenue - costs) / Shares
You need to project future profits which is a little more tricky than revenue.
In any event resource companies are not alway priced on earnings but sometimes whats in the ground - NCM is a good example
cheers
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- oxr 2009
OXR
oxiana limited
oxr 2009, page-6
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