At least they made a profit. However the profit from production is only $6.5 million in normal operating mode. The average amount received was AUD$68.56/ton,( IO sold $82,024,000 / tons produced- sold ) and cost of production was AUD$59/ton,( IO cost of sales $71,002,000 / tons produced- sold ) so where do they get their costs of under $50/ton. Creative accounting.
However with the current spot price so high and it seems that they sell about 20% discount on the normal top spot price we can assume AUD$95/ton going forward. Therefore on the same production and the same costs the next 6 months PROFIT result should be AUD$39 million.
There should be NO more debt left in 6 months time.
TTY Price at posting:
15.5¢ Sentiment: LT Buy Disclosure: Held