• Higher commodity prices, especially for copper and aluminum, fueled by data-center construction demand and geopolitical tensions in the Middle East
• Stronger production volumes across copper, iron ore, and lithium
• Productivity gains and cost discipline, which amplified the benefit of favorable prices. Rio Tinto has already banked $870 million in productivity benefits and is on track to reach an annualized run-rate of $1.8 billion by year-end

Underlying EBITDA rose 28% to $14.8 billion, and revenue climbed 15% to $31.0 billion . Underlying earnings came in at $6.9 billion, ahead of market expectations of about $6.6 billion .

Copper Division: The Standout Performer

Copper was the standout division in H1 2026. Copper, aluminum, and lithium together contributed over 50% of underlying EBITDA for the first time — a milestone that underscores Rio Tinto's ongoing diversification away from its traditional iron-ore focus . Copper EBITDA alone rose 84% compared to the prior-year period, driven by the ramp-up of the Oyu Tolgoi underground copper mine in Mongolia .

CEO Simon Trott described the first half as a "step-change in performance," with copper leading the way . The transition toward growth commodities is not just a hedge; it is becoming the central earnings engine.

Iron Ore Business: Solid Production, Slightly Higher Costs

Iron ore production remained robust despite a context of lower prices compared to 2025. Pilbara operations delivered record production since April, and first-half output tracked in line with Rio Tinto's full-year estimate of 280 million metric tons .

However, the company flagged higher unit cash costs in Pilbara, now expected at $24.80 per metric ton — up from a prior estimate of $24.10 — near the top of the unchanged guided range of $23.50–$25.00 . The cost increase is modest but worth watching if iron ore prices soften further.

Dividend and Free Cash Flow

The 75% jump in free cash flow came even as the miner stepped up capital spending, enabled by the operational turnaround and higher commodity prices . The dividend increase to $3.4 billion, representing a 50% payout ratio, directly reflects the board's confidence in the improved cash-generation profile .

For context, the H1 2025 interim dividend was $2.4 billion , so the absolute increase is substantial.

Full-Year Outlook

• Production guidance unchanged: Full-year estimates remain at ~280 Mt for Pilbara iron ore, ~725,000 metric tons for copper, and ~3.4 million metric tons for aluminum .
• Cost guidance nudged up: Pilbara unit cash costs revised to $24.80/t from $24.10/t, near the top of the guided range .
• Strategic trajectory: Rio Tinto expects the "step-change in performance" to continue, underpinned by copper growth (Oyu Tolgoi ramp-up, lithium investments) and sustained demand from data centers and electrification . The company noted that copper, aluminum, and lithium are increasingly central to earnings — a trend management expects to accelerate through the rest of 2026.

Key Takeaway

Rio Tinto's H1 2026 results signal a strategic pivot in action. While iron ore remains a significant cash generator, copper and aluminum are increasingly carrying the earnings story. The combination of strong commodity demand from data centers, a ramping Oyu Tolgoi mine, and cost discipline is delivering both higher profits and higher returns to shareholders.

• Higher commodity prices, especially for copper and aluminum, fueled by data-center construction demand and geopolitical tensions in the Middle East
• Stronger production volumes across copper, iron ore, and lithium
• Productivity gains and cost discipline, which amplified the benefit of favorable prices. Rio Tinto has already banked $870 million in productivity benefits and is on track to reach an annualized run-rate of $1.8 billion by year-end

Underlying EBITDA rose 28% to $14.8 billion, and revenue climbed 15% to $31.0 billion . Underlying earnings came in at $6.9 billion, ahead of market expectations of about $6.6 billion .

Copper Division: The Standout Performer

Copper was the standout division in H1 2026. Copper, aluminum, and lithium together contributed over 50% of underlying EBITDA for the first time — a milestone that underscores Rio Tinto's ongoing diversification away from its traditional iron-ore focus . Copper EBITDA alone rose 84% compared to the prior-year period, driven by the ramp-up of the Oyu Tolgoi underground copper mine in Mongolia .

CEO Simon Trott described the first half as a "step-change in performance," with copper leading the way . The transition toward growth commodities is not just a hedge; it is becoming the central earnings engine.

Iron Ore Business: Solid Production, Slightly Higher Costs

Iron ore production remained robust despite a context of lower prices compared to 2025. Pilbara operations delivered record production since April, and first-half output tracked in line with Rio Tinto's full-year estimate of 280 million metric tons .

However, the company flagged higher unit cash costs in Pilbara, now expected at $24.80 per metric ton — up from a prior estimate of $24.10 — near the top of the unchanged guided range of $23.50–$25.00 . The cost increase is modest but worth watching if iron ore prices soften further.

Dividend and Free Cash Flow

The 75% jump in free cash flow came even as the miner stepped up capital spending, enabled by the operational turnaround and higher commodity prices . The dividend increase to $3.4 billion, representing a 50% payout ratio, directly reflects the board's confidence in the improved cash-generation profile .

For context, the H1 2025 interim dividend was $2.4 billion , so the absolute increase is substantial.

Full-Year Outlook

• Production guidance unchanged: Full-year estimates remain at ~280 Mt for Pilbara iron ore, ~725,000 metric tons for copper, and ~3.4 million metric tons for aluminum .
• Cost guidance nudged up: Pilbara unit cash costs revised to $24.80/t from $24.10/t, near the top of the guided range .
• Strategic trajectory: Rio Tinto expects the "step-change in performance" to continue, underpinned by copper growth (Oyu Tolgoi ramp-up, lithium investments) and sustained demand from data centers and electrification . The company noted that copper, aluminum, and lithium are increasingly central to earnings — a trend management expects to accelerate through the rest of 2026.

Key Takeaway

Rio Tinto's H1 2026 results signal a strategic pivot in action. While iron ore remains a significant cash generator, copper and aluminum are increasingly carrying the earnings story. The combination of strong commodity demand from data centers, a ramping Oyu Tolgoi mine, and cost discipline is delivering both higher profits and higher returns to shareholders.