Company: RTNTF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001628280-25-006642
Chunk: 56

Company: RIO TINTO LTD
Filing Date: 2025-02-20
Form: 20-F
Chunk 56
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1,080 | 1,414 | -24%   |
| Underlying EBITDA margin (product group operations)                              |   26% |   30% |        |
| Underlying earnings (US$ millions)                                               |   143 |   312 | -54%   |
| Net cash generated from operating activities (US$ millions)                      |   705 |   548 | 29%    |
| Capital expenditure (US$ millions)²                                              |  -798 |  -746 | 7%     |
| Free cash flow (US$ millions)                                                    |  -126 |  -229 | 45%    |
| Underlying return on capital employed (product group operations)³                |    8% |   13% |        |

1. Iron Ore Company of Canada (IOC) continues to be reported within Minerals. 2. Capital expenditure is the net cash outflow on purchases less sales of property, plant and equipment; capitalised evaluation costs; and purchases less sales of other intangible assets. 3. Underlying return on capital employed (ROCE) is defined as underlying earnings (product group operations) excluding net interest divided by average capital employed. Financial performance Underlying EBITDA of $1.1 billion was 24% lower than 2023, primarily due to lower pricing across most commodities, in particular titanium dioxide feedstocks, borates and iron ore. Underlying demand for titanium dioxide feedstocks remains soft while the borates market is recovering from supply chain disruptions. Net cash generated from operating activities of $0.7 billion was 29% higher than 2023, when a build in working capital took place. Further investment is being made to develop our battery minerals business, resulting in negative free cash flow of $126 million . Underlying EBITDA and net cash generated from operating activities in 2024 include $0.2 billion 1 insurance proceeds relating to the process safety incidents at RTIT and the forest fires at IOC which took place in 2023. Review of operations Production of iron ore pellets and concentrate at IOC of 9.4 million tonnes was 2% lower than 2023 primarily due to an 11- day site-wide shutdown driven by forest fires in mid-July, resulting in a revised mine plan and maintenance schedule. We also experienced operational challenges in the mine and concentrator throughout the year. Annual rail haulage was 36.4 million tonnes, 7% higher than