RIO delivered a largely in-line print at EBITDA and the interim divi while FCF was a bit light of expectations. An earnings call has already taken place at an Aussie friendly time and another will be held this morning at 8am UK time. A largely in-line 1H24 RIO reported underlying EBITDA of USD 12.1bn, in-line with both BNPPE and VA consensus. Relative to consensus, Iron Ore was in-line, Aluminium (+10%) and Copper (+5%) were ahead and Minerals (-13%) was a laggard. The net effect of the different other line items was more negative than expected but not a material driver at the group level. RIO declared an interim divi of USD 1.77/sh, -2% vs. consensus on an in-line payout ratio (50%) but driven by a slightly lower underlying EPS. FCF of USD 2.8bn was -10% vs. consensus despite capex coming in lighter than expected but negatively impacted by several line items including greater-than-expected WC investment and utilisation of provisions. Despite this, net debt of USD 5.1bn was only +2% above consensus. Please see a detailed variance table overleaf. Still seeing lag in inflation RIO notes that opex inflation has eased but still seeing lag impacts on third party costs including contractor rates, consumables, and some raw materials. Labour tightness in key regions Western Australia, Quebec and Utah remains an inflation pressure. MandA ambitions RIO noted being at an ''inflection point'' in its growth with a step change in its aluminium business, consistency in the Pilbara and continued ramp up at Oyu Tolgoi. Copper equivalent volume growth is expected +3% CAGR between 2024 and 2028. Lithium and copper remain two key areas CEO Jakob Stausholm highlighted as wanting to grow more but stressed his view that synergies would need to outweigh premiums paid in conceptual deals.