RIO TINTO LTD

We use a range of financial and non-financial metrics to measure Group performance against

our 4 objectives: people and safety first, operational excellence, excel in development, and

strong sustainability and social licence.

Link to remuneration

The People & Remuneration Committee ensures that the remuneration policies, frameworks and practices are aligned with the Group

strategy and objectives. As such, decisions on remuneration take into account a number of our key performance indicators, specifically within

our short-term and long-term incentive plans, and more broadly when considering wider business performance. Please refer to the Directors’

Remuneration Report for more detail on remuneration (see pages 122 -149).

Non-financial measures

All-injury frequency rate (AIFR)

per 200,000 hours workedll

We define AIFR as the number of injuries per

200,000 hours worked by employees and

contractors at our managed operations. It

includes medical treatment cases, restricted

workday, lost-day injuries and fatal injuries.

Our all-injury frequency rate (AIFR) for 2025

was 0.37, consistent with our 2024 performance

and better than our Group target of 0.38. While

this reflects our continued focus on reducing

injuries, we tragically experienced one fatality

and one permanent damage injury during the

year. We remain deeply committed to learning

from these events and ensuring that everyone

can go home safe, every shift.

Across our operations, we continue to see

serious incidents where individuals are exposed

to potentially fatal hazards. Our highest number

of potentially fatal incidentsare from falling

objects, falls from height, and vehicle and

driving-related events. Addressing these

risks remains a core priority as we work to

strengthen control effectiveness, enhance risk

management and build a learning culture.

Gross Scope 1 and 2 greenhouse gas

emissions (adjusted equity basis)lll

(Mt CO 2 e)

We report our Scope 1 and 2 greenhouse gas

emissions using the equity share approach.

It includes the equity share of Scope 1 and 2

emissions from managed and non-managed

operations, expressed in million metric tonnes

of carbon dioxide equivalent.

Our 2025 gross Scope 1 and 2 greenhouse

gas emissions (adjusted equity basis) were

31.5 Mt CO₂e, a reduction of 0.2 Mt CO₂e from

the previous year. Reductions were driven by

the increased use of renewable diesel at

Kennecott, offset by higher emissions from

increased production, particularly in iron ore

and copper.

As of 2025, our gross adjusted Scope 1 and 2

emissions are 14% below 2018 levels. After

applying high-integrity offsets, our net adjusted

Scope 1 and 2 emissions are 17% below our

baseline. Overall reductions were primarily

achieved through renewable energy contracts,

including the use of unbundled renewable

energy certificates in regions where new

energy is under development.

In 2025, we expect to retire approximately

1.17 million Australian Carbon Credit Units

(ACCUs) to meet our 2025 Safeguard

Mechanism compliance obligations.

For more information, see the Climate section

in this report from page 53.

Gender diversitylll

representation of women within our workforce

Includes our total workforce based on

managed operations (excludes the Group’s

share of non-managed operations and joint

ventures, and legacy Arcadium Lithium

employees).

The representation of women at Rio Tinto

increased from 25.2% in 2024 to 26.3% in

2025, which is short of our target of 26.7%. We

saw improvements across all levels of the

organisation, with senior leaders increasing

from 32.0% to 32.8%, and operations and

general support increasing from 18.9% to 20.4%.

Strategic report | Key performance indicators

Financial measures

The financial key performance metrics used by the Board to monitor the performance of the Group comprise both IFRS and non-IFRS

measures. Reconciliations to the nearest comparable IFRS measure are set out in Alternative Performance Measures (pages 270-274).

Total shareholder return (TSR)¹llll

measured over the preceding 5 years

(using annual average share price)

TSR is calculated as share price appreciation

over the preceding 5 years (using annual

average share price) with dividends

being reinvested.

TSR performance over the 5-year period was

driven principally by movements in commodity

prices and changes in the global macro

environment. Over the 5-year performance

period to 31 December 2025, Rio Tinto’s TSR

was 66.4% which was below the TSR of both

the S&P Global Mining Index and the MSCI

World Index.

Underlying return on capital

employed (ROCE)ll

Underlying earnings excluding net interest

divided by average capital employed

(operating assets).

Underlying ROCE decreased 2 percentage

points to 16%, reflecting stable underlying

earnings and higher operating assets as a

result of the Arcadium acquisition.

Underlying earnings and

underlying EBITDAl

Underlying earnings represents net earnings

attributable to the owners of Rio Tinto, adjusted

to exclude items that do not reflect the

underlying performance of the Group’s

operations. Underlying EBITDA is a segmental

performance measure (see note 1 of the

financial statements) and represents

underlying earnings adjusted to remove

taxation, net finance items, depreciation

and amortisation.

Underlying EBITDA increased $2 billion to

$25.4 billion driven by higher sales volumes

and a 5% reduction in operating unit costs

(in 2024 real terms). Underlying earnings of

$10.9 billion was stable, reflecting the same

factors, offset by higher depreciation, finance

items and taxes.

Net cash generated from

operating activitiesl

This IFRS measure refers to cash generated

by our operations after tax and interest,

including dividends received from equity

accounted units and dividends paid to

non-controlling interests in subsidiaries.

increased 8% to$16.8 billion, driven by higher

sales volumes year on year.

Free cash flowll

minus purchases of property, plant and

equipment, intangibles, and payments of

lease principle, plus proceeds from the

sale of property, plant and equipment,

and intangible assets.

Free cash flow decreased to$4.0 billion, driven

by increased growth, replacement and

sustaining capital expenditures, partially offset

by higher net cash generated from operating

activities.

Net (debt)/cashll

Total borrowings plus lease liabilities less cash

and cash equivalents and other liquid

investments, adjusted for derivatives related to

net (debt)/cash (see note 20 of the financial

statements).

Net debt increased to$14.4 billion, reflecting

the completion of the$7.6 billion Arcadium

acquisition and$6.1 billion in dividends paid

during the year, partially offset by$4.0 billion of

free cash flow generated and $1.0 billion net

project funding received from

non-controlling interest shareholders.

1. The TSR calculation for each period is based on the change in the calendar-year average share prices for Rio Tinto plc and Rio Tinto Limited over the preceding 5 years. This is consistent with the

methodology used for calculating the vesting outcomes for Performance Share Awards. The data presented in this chart accounts for the dual corporate structure of Rio Tinto.

Chief Financial Officer’s statement