Rio Tinto CEO Jakob Stausholm emphasized in his assessment that the company achieved solid results thanks to its diversified portfolio and improved operational performance. Despite a 13% decrease in iron ore prices, the company generated USD 11.5 billion in underlying EBITDA (earnings before interest, taxes, depreciation, and amortization) and USD 6.9 billion in operating cash flow. Additionally, the company recorded USD 4.8 billion in underlying earnings. This performance was made possible by the increasing contribution from its Aluminum and Copper operations, as well as the swift recovery of operations in the Pilbara region despite four cyclones in the first quarter.
The company's cash flow from net operating activities was recorded at USD 6.924 billion, a 2% decrease from the previous year. Core EBITDA decreased by 5% compared to the same period last year, reaching USD 11.547 billion. Free cash flow decreased by 31% to USD 1.962 billion.
Rio Tinto's after-tax net profit decreased by 22% to USD 4.528 billion. The company's earnings per share (EPS) were reported at 296 cents, a 16% decrease compared to last year. Similarly, the interim ordinary dividend per share decreased by 16% to 148 cents. The return on capital employed (ROCE) remained at 14%.
Consolidated sales revenue remained at last year's level of USD 26.873 billion. However, the company's net debt increased significantly by 166% to USD 14.597 billion. Purchases of tangible and intangible fixed assets also increased by 18% to USD 4.734 billion.
Meanwhile, Rio Tinto made progress on major investment and expansion projects. The first shipment from the Simandou iron ore project was announced to be delayed until November 2025. The Western Range project was commissioned on time and within budget, while construction began on the Hope Downs 2 and Brockman Syncline 1 projects after all necessary approvals were obtained.
The company continues to grow in the lithium sector as well. Rio Tinto completed the acquisition of Arcadium Lithium earlier than planned in March and expanded its lithium pipeline with two new agreements signed with Codelco and ENAMI in Chile. These developments highlight the company's short-term resilience and long-term growth potential.
Finally, the company's management announced that Simon Trott will assume the role of Rio Tinto's new Chief Executive Officer effective August 25, 2025.
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