Rio Tinto’s FY16 operating results (i.e. group-level sales and underlying operating profit) came broadly in line with AV’s estimates, with material improvements achieved in H2 16. However, the announcement of lucrative dividends (and buy-backs) and the reversal of hefty forex losses on external debt were major surprises. Reasonable ‘group’ operating performance… H2 and FY16 sales were $18.3bn (+8.5% yoy; +18% hoh) and $33.8bn (-3% yoy), respectively. Commodity p
