Novadx Ventures Corp NDXFF

Profit Margins

[cleverrox]

Anyone have any guesses on the profit margins at Rosa and Rex?  

I would think they would be fairly high as Rosa but I have no idea about Rex.  Rosa is selling the coal to a nearby customer and it is a surface mine.

[soccer57]

  REX Generally, $58 million of revenues will be generated each year of full  production and expenses are expected to be $39.8 million in cash costs plus  $1.7 million in non cash costs.  Operating income will be $16.6 million before  taxes and net income will be $11.6 million after taxes.   Adding non cash  costs back to the net income yields $13.2 million in

[cleverrox]

Thanks for your very informative post.  I think your revenue numbers are maybe low.  If they can ship 50,000 a month - 10,000 from Rosa and 40,000 from Rex - that is 600,000 tons a year * $180 a ton = $108M. I think a 20 P/E is way high and they will never get it.  But maybe I'm wrong.  Find me some other coal producers with a P/E of 20 though.