Rio Tinto Lifts First-Half Earnings 43% to $6.9 Billion as AI Metals Demand Builds
Updated
Updated · Financial Times · Jul 29
Rio Tinto Lifts First-Half Earnings 43% to $6.9 Billion as AI Metals Demand Builds
3 articles · Updated · Financial Times · Jul 29
Summary
$6.9 billion in first-half underlying earnings and $3.8 billion in free cash flow marked Rio Tinto’s strongest interim rebound in years, prompting a 43% increase in its interim dividend to $3.4 billion.
$870 million of productivity gains, higher commodity prices and last year’s cost-cutting and divestment drive powered the result, with chief executive Simon Trott targeting $1.8 billion of savings by year-end.
Copper, aluminium and lithium generated 57% of first-half EBITDA as Rio leaned further into metals tied to AI, data centres and renewable energy, while iron ore earnings slipped 2% because of problems in Canada.
Rio said hyperscalers including Meta and Alphabet are forecast to spend $1 trillion on data centres next year, reinforcing its bet that AI-linked demand can offset slower Chinese growth and support further operational overhaul.