On March 6, CVRD (NYSE:RIO) released full-year earnings for the period ended Dec. 31, 2005.

  • Volumes of iron ore and pellets shipped increased 10% for the year.
  • Average realized prices for iron ore increased 66%, while prices for pellets increased 78%.
  • Adjusted EBITDA increased 76% to $6.5 billion.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

2005

2004

% Change

Sales

NA

$12,792

$8,066

58.6

Net Profit

--

$4,841

$2,573

88.1

EPS

$4.06

$4.20

$2.23

88.3



Get back to basics with a look at the income statement.

Margin Checkup

2005

2004

% Change

Gross Margin

51.31%

49.40%

1.90

Op. Margin

42.46%

38.72%

3.75

Net Margin

37.84%

31.90%

5.94



Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

2005

2004

% Change

Cash+ ST Invest.

$1,041

$1,249

(16.7)



Liabilities

2005

2004

% Change

Long-Term Debt

$5,010

$4,088

22.6

Shareholders E.

$11,977

$7,391

62



Cash Flow Highlights

2005

2004

% Change

Cash From Ops

$5,161

$3,471

48.7

Capital Expend.

$3,977

$2,022

96.7

Free Cash Flow

$1,184

$1,449

18.3

Note: Management stated that 2005 capex consisted of approximately $2.6 billion in spending for growth projects.

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Related Companies:

  • Rio Tinto (NYSE:RTP)
  • BHP Billiton (NYSE:BHP)
  • Cleveland-Cliffs (NYSE:CLF)

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.

Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).