Rio Tinto reported FY25 results overnight, posting a basically flat full-year profit as improvements in copper and aluminium failed to offset the impact of China’s sputtering economy and ongoing property sector weakness on its key iron ore unit. The world’s second-largest miner reported underlying earnings that were broadly in line with expectations and maintained guidance.
- Underlying profit: $10.87bn (flat YoY) – consensus $10.8bn.
- Revenue: $57.64bn (+7.4% YoY) – consensus $56.76bn.
- Underlying EBITDA: $25.36bn (+8.8% YoY) – consensus $24.72bn.
- Free cash flow $4.03bn, -28% YoY, Consensus $4.34bn.
RIO said it will prioritise organic growth after walking away from a potential tie-up with Glencore that would have created the world’s largest diversified miner. The group reported a doubling of copper profits last year, supported by expansion at its flagship operation and stronger prices. While RIO retains a solid pipeline across iron ore and lithium, its medium-term copper growth profile remains comparatively modest versus peers — notable at a time when investor focus on the metal, a key enabler of the energy transition, is intensifying.
- MM continues to prefer BHP over RIO for its commodity mix.
RIO traded down more than 3% in the US following the result.
MM is neutral towards RIO around $170
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