Mining giant Rio Tinto has hiked its full-year dividend by 34% after reporting record underlying earnings in 2011, however net earnings were held back by a massive $5.8bn impairment charge relating to its aluminium business.
Underlying earnings grew 11% from $14.0bn to $15.5bn in the 12 months ended December 31st, while net earnings sank 59% to $5.8bn, from $14.2bn in 2010. As such, basic earnings per share from continuing operations also took a hit, falling 58% from 731 cents to 303.5 cents.
"Whilst we have today reported excellent underlying earnings numbers, we also have to recognise that we have taken a significant impairment charge in relation to our aluminium business," said Chairman Jan du Plessis.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The full-year dividend was increased from 108 cents per share to 145 cents a share.
BC
-
Investors should plan for an age of uncertainty and upheavalTectonic geopolitical and economic shifts are underway. Investors need to consider a range of tools when positioning portfolios to accommodate these changes
-
Investing in UK universities: spin research into profitsUK universities are a vital economic asset, but they are also Britain's 'equivalent of Gulf oil.' There are opportunities here for investors
