Mining giant Rio Tinto announced its financial results for 2024. The company delivered a strong performance with underlying EBITDA of USD 23.3 billion, despite an 11% decline in iron ore prices. The financial success was supported by a broad portfolio and effective cost management strategies, as well as net cash generated from operating activities. The company generated net cash of USD 15.6 billion, up 3% year-on-year, while net earnings attributable to owners increased 15% to USD 11.6 billion.
Rio Tinto entered 2024 with a strong balance sheet and disciplined investment strategy. The company is aiming for a strong start to 2025 and aims to diversify its business range and strengthen its position in the energy transition commodities market with the acquisition of Arcadium, which is expected to be completed in March.
Jakob Stausholm, Chief Executive Officer, said: “We are building on our momentum with underlying EBITDA of USD 23.3 billion and operating cash flow of USD 15.6 billion. We are supporting our ten-year plans for profitable growth by increasing our investments,” said Jakob Stausholm, Chief Executive Officer.
2024 was also a challenging year in terms of safety. The company announced that it had 5 work accidents during the year, one of which occurred in Canada when it lost 4 employees in a plane crash. However, it stated that it will continue its continuous efforts for safety improvements.
The company also improved its operational performance, achieving production growth of over 1% on a copper equivalent basis and increased production at Pilbara Iron Ore. Progress was also made on future projects, with plans to increase annual capacity at the Simandou iron ore project in Guinea to 60 million tons by 2025.
In line with its sustainability goals, the company is pursuing its low carbon transition strategy, reducing carbon emissions by 3.2 million tons of CO2e in 2024. It also continues to reduce emissions through the use of renewable energy and biomass technology.
As Rio Tinto enters 2024 with a strong financial and operational performance, it continues to take several strategic steps to accelerate growth in 2025 and beyond.
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