I got excited yesterday when they announced these results and...

I got excited yesterday when they announced these results and described them as "Sensational Cashflow" in the production highlights. Reading the results, however, tells a different story. The profit margin has actually decreased compared to Q1, despite the rise in copper price. It was given in the table as $6.70 - 5.96 (AIC) (= $0.74) for this quarter versus $5.95 - 5.16 (AIC) (=$0.79) for Q1. So their costs have risen and wiped out any benefit of a higher Cu price. Whilst that is worrying (because it suggests they can't control their costs), it's not neccessarily a show stopper. But it is unacceptable in my book to try to BS the market by describing it as "sensational cashflow". So I sold out completely this morning, because I have simply lost faith in management. A1M are clearly a high cost producer, and will appear to remain so regardless of any surge in copper prices.

All IMHO, DYOR