Rio Tinto Reports 10% Full Year Earnings Increase
Rio Tinto recently announced financial results for 2013. The company reported a 10% increase in underlying earnings to $10.2 billion and a 15% increase in full year dividend.
Bauxite production for 2013 was up 10% compared to 2012. Full year production records were achieved at Weipa, Gove and Sangaredi to reportedly take advantage of higher third party demand. Alumina production was 1% higher than in 2012, as tons from the Yarwun expansion offset the impacts of ex-tropical cyclone Oswald, which both Queensland refineries experienced in the first quarter of 2013.
“These strong results reflect the progress we are making to transform our business and demonstrate how we are fulfilling our commitments to improve performance, strengthen the balance sheet and deliver greater value for shareholders,” said Sam Walsh, chief executive. “We have achieved underlying earnings of $10.2 billion, exceeded our cost reduction targets and set production records. In turn, this has enhanced our cash flow generation and lowered net debt. The 15% increase in our dividend reflects our confidence in the business and its attractive prospects.”
Net earnings of $3.7 billion reportedly reflect non-cash exchange losses of $2.9 billion and impairments of $3.4 billion.
For more information, visit www.riotinto.com.