Analyst Note| Jon Mills, CFA |
No-moat Rio Tinto’s first-half 2022 net profit after tax was strong and slightly above our expectations. Adjusted net profit after tax fell nearly 30% to USD 8.6 billion or USD 5.33 per share. Adjusted EBITDA decreased 26% to USD 15.6 billion. Of the USD 5.4 billion fall in EBITDA compared with first-half 2021, virtually all of the decline was due to lower iron ore prices, with higher aluminium and minerals prices offset by higher group costs.