CimbriaCleveland Cascades LtdViganTBA GroupThe Wolfson Centre for Bulk Solids Handling Technology Bühler GmbH
  • Coaltrans Asia 2021
  • Port of Stockton
  • Port of South Louisiana
  • Bühler GmbH
  • Van Aalst
  • TOC Events

Rio Tinto’s $3.5 billion shareholders returns

Rio Tinto’s $3.5 billion shareholders returns

(Posted on 08/08/19)

Rio Tinto chief executive J-S Jacques said "We have delivered strong financial results with underlying EBITDA of $10.3 billion and EBITDA margin of 47%. Our financial performance was driven by our Pilbara operations with a 72% EBITDA margin, underpinned by strong iron ore prices.

"We are taking actions to protect the Pilbara Blend and optimise performance across our iron ore system, following the operational challenges which emerged in the first half.

"Our world-class portfolio and strong balance sheet serve us well in all market conditions. This, together with our disciplined capital allocation, underpins our ability to continue to invest in our business and deliver superior returns to shareholders in the short, medium and long term. Our delivery is in evidence today, with our record interim returns of $3.5 billion."

  • Sustained improvement in safety performance, with the All Injury Frequency Rate continuing to decline, a reduction in the severity rate and fewer process safety incidents.
  • Underlying EBITDA3 of $10.3 billion (excluding the contribution from the coking coal assets divested in 2018), was 19% above 2018 first half, with an EBITDA margin7 of 47%.
  • Operating cash flow of $6.4 billion is presented net of $0.9 billion of tax paid in 2019 first half relating to the 2018 coking coal disposals.
  • Free cash flow2 of $3.9 billion was 35% higher than 2018 first half.
  • Cash returns of $3.5 billion announced today, comprising record interim ordinary dividend of $2.5 billion, equivalent to 151 US cents per share, and special dividend of $1.0 billion, equivalent to 61 US cents per share.
  • $4.9 billion underlying earnings3, 12% higher due to a strong contribution from Iron Ore.
  • Following our update on the Oyu Tolgoi underground project on 16 July 2019, we completed an impairment assessment and concluded that the changes to project cost and schedule led to an impairment charge, net of tax and non-controlling interests, of $0.8 billion. The impairment is reflected in net earnings of $4.1 billion9.
  • Record 23% Return on Capital Employed6, a rise of four percentage points on 2018.
  • Strong balance sheet with net debt5 of $4.9 billion, mainly reflects $7.8 billion of cash returns to shareholders paid in 2019 first half, partly offset by free cash flow.

Latest News

Rio Tinto deploys first fully autonomous water trucks

(Posted on 22/06/21)

Rio Tinto will deploy the world’s first fully autonomous water trucks at its $2.6 billion Gudai... Read more


BHP establishes new cloud agreements

(Posted on 18/06/21)

BHP has selected Amazon Web Services (AWS) and Microsoft as long-term cloud providers to help improve... Read more


Kamoa Copper signs off-take agreements

(Posted on 14/06/21)

New agreements will allow Kamoa Copper to export blister and concentrate copper locally through Lualaba... Read more


Trafigura releases strong half year results

(Posted on 14/06/21)

Trafigura Group Pte Ltd, one of the world’s leading independent commodity trading companies, has... Read more


World Steel in Figures 2021 now available

(Posted on 09/06/21)

The World Steel Association (worldsteel) has published the 2021 edition of World Steel in Figures. The... Read more


Hill Dickinson boosts Singapore expertise

(Posted on 09/06/21)

Hill Dickinson has further strengthened its leading commodities practice by hiring established professional... Read more


Ben Wyatt to join Rio Tinto Board

(Posted on 07/06/21)

Rio Tinto has appointed Ben Wyatt as a non-executive director. Mr Wyatt, an Australian citizen, will... Read more


Rio Tinto and Comptech partnership

(Posted on 31/05/21)

Rio Tinto and Comptech are partnering to bring a new generation of aluminium alloys to the market for... Read more


Time for change, say Canada’s grain farmers

(Posted on 26/05/21)

On welcome news of the Canadian Grain Commission’s fee reduction, effective August 1, 2021, Canada... Read more


Rusal plans for transformation

(Posted on 21/05/21)

Rusal, a leading aluminium producer, has announced that it is pursuing a demerger of its higher carbon... Read more


Coaltrans Asia 2021TelestackSailors SocietyPort of StocktonVan AalstTOC Events
  • Vigan
  • Telestack
  • The Wolfson Centre for Bulk Solids Handling Technology
  • TMS Awards 2021

Subscribe to our newsletter

Keep up to date with the latest global news in bulk cargo handling and shipping