Rio Tinto's Shareholder Returns Record 2018

Rio Tinto (NYSE: RIO), a leading global mining player and one of the largest iron ore producers in the world, reported fiscal 2018 financial results on February 27, 2019, followed by an analyst conference call.

The company exceeded market expectations in terms of revenue and earnings during the year. RIO's 2018 net revenue was $ 40.5 billion, up 1.2% from 2017's $ 40 billion. Revenue growth was mainly driven by higher volumes of iron ore and copper, as well as higher prices for aluminum and copper, partially offset by the impact of lower prices for iron ore and loss of revenue from the sale of all of its coal mines in 2018. The company reported earnings of $ 7.93 per share in 2018, up about 62% from $ 4.90 in 2017. Excellent earnings in 2018 mainly reflected higher earnings,

We have summarized the key takeaways from the announcement on our interactive dashboard - how is Rio Tinto Fare amid falling iron ore prices in 2018 and what are the prospects for 2019? In addition, there is more material data here.

Key factors affecting profit

Slowdown in iron ore growth: Revenue from the iron ore segment increased 1.3% to $ 18.5 billion in 2018, up from $ 18.3 billion in 2017. This was driven by an increase in Rio de Janeiro's share of iron ore supplies by 3.2% to 280.8 million tonnes in 2018 from 272 million tonnes a year earlier, mainly due to mine expansion and increased productivity of the entire integrated system. However, segment revenue growth remained subdued and below expectations due to lower realized prices. The realizable iron ore price decreased from US $ 67.10 per tonne in 2017 to US $ 65.80 per tonne in 2018, driven by a 1% decrease in China's iron ore imports in 2018, marking the first annual drop since 2010. However, we expect iron ore revenues to grow in 2019 and beyond, driven by higher supplies and prices as demand from steel producers rebounded in January 2019.

Higher revenue from aluminum: Revenue from aluminum increased 10.8% to $ 12.2 billion in 2018. This is mainly due to the significant increase in the average realized price per tonne to $ 2,470 in 2018 from $ 2,231 in 2017. In 2018, aluminum supplies remained in short supply. For most of the year, the decline in margins led to economic constraints in China and around the world. This led to an increase in aluminum prices throughout the year. However, the sharp rise in prices was partially offset by the decline in supplies. Aluminum production fell 3% YoY in 2018 amid an ongoing shutdown at the unmanaged Becancour smelter, which by