Rio Tinto Posts Second-Half Profit
February 11, 2010 2:56 AM
Rio Tinto (NSYE: RTP), the world's third-largest mining company, posted a second-half of 2009 profit of $2.4 billion in the six months ended Dec. 31, after enduring a loss of $3.3 billion a year earlier. Analysts expected the company to earn $3.4 billion.
The U.K.-based company had been struggling under an enormous debt load over the past couple of years, but since 2008 Rio Tinto has sold $10.3 billion of assets and $15.2 billion in shares to bolster its balance sheet.
The company also reinstated a dividend of 45 cents, impressive considering larger rival BHP Billiton's (NYSE: BHP) recent refusal to increase its payout despite shareholders clamoring for a higher divdend.
Rio Tinto said its long-term outlook remains robust, attributing that fact to demand driven by China and India.
