Monday, February 8, 2010

Expecting $6 Billion Profits Rio Tinto (LON:RIO)

Rio Tinto (LON:RIO) Profits

Rio Tinto (LON:RIO) will release its annual report on Thursday, and analysts are expecting the company to report $6 billion in profits for the year.

Much of that is from the strong demand for iron ore and coal which has driven up prices over the last year. This year looks to be another big one for iron ore, as even China's pressure couldn't keep their domestic demand from causing their companies to buy at higher prices then the central government wanted.

Some will probably take the news negative as profits in 2008 were a much heftier $10.3 billion, a 40 percent better performance than 2009, assuming the numbers hold.

There are expectations that Rio may increase their dividend in order to keep their 48 year streak alive for not reducing the dividend over that time, as they didn't offer one in the first half of 2009.

Rio Tinto (LON:RIO) Profits

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