Rio Tinto Chief Executive Jakob Stausholm said: “Our people have continued to safely run our world-class assets and are working hard to improve our operational performance, despite challenging operating conditions from prolonged COVID-19 disruptions. The recovery of the global economy, driven by industrial production, resulted in significant price strength for our major commodities, which we were able to capture, achieving record financial results with free cash flow of $17.7 billion and underlying earnings of $21.4 billion, after taxes and government royalties of $13.0 billion. This enables us to pay our highest total dividend ever of 1,040 US cents per share, including a 247 US cents per share special dividend, representing a 79% payout.
“With the launch of our new strategy, we have set a new direction for Rio Tinto to thrive in a decarbonising world. We have a portfolio that is well positioned, and are targeting disciplined investment in commodities that will see strong demand in the coming decades. Our agenda is an ambitious, multi-year journey which we are determined to deliver and we have already taken the first steps, with underground operations under way following the Oyu Tolgoi agreement and a binding agreement to acquire the Rincon lithium project in Argentina. We continue to evolve and deepen the way we engage and interact with all stakeholders as we work hard to generate and strengthen relationships wherever we operate. Our actions will ensure we continue to deliver attractive returns to shareholders, invest in sustaining and growing our portfolio, and make a broader contribution to society, particularly in relation to the drive to net-zero carbon emissions.”
At year end | 2021 | 2020 | Change | ||
Net cash generated from operating activities (US$ millions) | 25,345 | 15,875 | 60% | ||
Purchases of property, plant and equipment and intangible assets (US$ millions) | 7,384 | 6,189 | 19% | ||
Free cash flow1 (US$ millions) | 17,664 | 9,407 | 88% | ||
Consolidated sales revenue (US$ millions) | 63,495 | 44,611 | 42% | ||
Underlying EBITDA1 (US$ millions) | 37,720 | 23,902 | 58% | ||
Profit after tax attributable to owners of Rio Tinto (net earnings) (US$ millions) | 21,094 | 9,769 | 116% | ||
Underlying earnings per share1 (EPS) (US cents) | 1,321 | 770 | 72% | ||
Ordinary dividend per share (US cents) | 793.0 | 464.0 | 71% | ||
Special dividend per share (US cents) | 247.0 | 93.0 | 166% | ||
Total dividend per share (US cents) | 1,040.0 | 557.0 | 87% | ||
Net cash / (debt)1 (US$ millions) | 1,576 | (664) | |||
Underlying return on capital employed (ROCE)1 | 44% | 27% |
