Rio Tinto misses annual profit view on iron ore challenges

Published Thu, Feb 19, 2026 · 05:18 PM

[LONDON] On Thursday (Feb 19), Rio Tinto missed expectations for its annual underlying profit as weaker iron ore prices amid rising global supply weighed on its core business – though stronger copper prices and output limited the impact.

The world’s largest iron ore producer, which recently abandoned merger talks with Glencore, reported underlying earnings of US$10.9 billion for the year ended Dec 31 – unchanged from a year earlier and below a Visible Alpha consensus of US$11 billion.

Pilbara iron ore shipments slipped by 1 per cent and realised prices fell by about 8 per cent from the previous year, as China’s prolonged property downturn kept steel demand soft and weighed on the market.

Iron ore accounted for about 60 per cent of group earnings, down from 70 per cent a year earlier, while copper contributed nearly 30 per cent.

The results highlight a push by miners to increase exposure to copper, a key metal for the energy transition.

For the first time, copper surpassed iron ore in rival company BHP’s earnings this week.

Average realised copper prices rose by 8 per cent in 2025, while output climbed by 11 per cent.

Underground production ramped up at the Oyu Tolgoi mine in Mongolia, lifting Rio’s earnings from the metal.

The company declared a final dividend of US$2.54 cents a share, implying a payout ratio of 60 per cent of underlying earnings and up from US$2.25 cents in 2024. REUTERS