hi zen
zfx costs per pound are 35-40c per pound(its a 'medium' on the cost curve), it may increase to 50-55c in cost blowouts. Their profit margin is still high @ $1 per pound(100% profit margin?).
So if they get $1000 revenues @ $1, its more like
$500 is cost
$500 profit
Still a lot? Beats Woolies' 3% margins
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zinifex limited
what price will zfx be on monday, page-19
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