The world’s second-largest miner said underlying earnings dropped 16% to $4.8-billion for the six months ended June 30, with underlying earnings before interest, tax, depreciation and amortisation (Ebitda) falling 5% to $11.5-billion. Operating cash flow held steady at $6.9-billion, while free cash flow slumped 31% to $2-billion, reflecting higher capital expenditure.
“We are delivering very resilient financial results with an improving operational performance helped by our increasingly diversified portfolio,” said outgoing CEO Jakob Stausholm.
“Underlying Ebitda of $11.5-billion and operating cash flow of $6.9-billion, despite a 13% lower iron-ore price, demonstrate the growing contribution from our aluminium and copper businesses and our Pilbara operations‘ strong recovery from the four cyclones in the first quarter.”