Rio Tinto reported a 43% rise in first‑half underlying earnings, signalling the payoff of its cost‑cutting and divestment programme. Rising commodity prices and $870mn of productivity benefits lifted underlying earnings to $6.9bn and free cash flow up 75% to $3.8bn in the six months to June.

Chief executive Simon Trott said the "really strong" performance reflected a pledge to overhaul the miner’s cost base and deliver sharper operations. He expects savings to reach $1.8bn by year‑end and stresses an ongoing culture of continuous improvement, warning against cutting too deep into the cost base.

Industrial metals—copper, aluminium and lithium—now accounted for 57% of first‑half earnings, while iron ore dropped 2% amid Canadian challenges. The group is also selling smaller businesses such as borates and titanium.

Rio will raise its interim dividend by 43%, paying out $3.4bn, and shares rose nearly 5% in Australia. Analysts note free cash flow outperformed expectations and net debt fell 8% below forecasts. Trott highlighted strong demand from AI and hyperscalers, which will drive further copper, steel, lithium and aluminium needs.