Mining giant Rio Tinto has delivered a larger than expected full year profit and dividend despite the prices of most of its products falling.
Rio's underlying profit in 2013 was up 10 per cent on the previous year to $US10.2 billion, above analysts' expectations of $US9.7 billion.
Net profit, which included impairments, was $US3.7 billion.
The world's second largest iron ore producer also met a promise issued by chief executive Sam Walsh a year ago to boost shareholder returns and slash debt.
Shareholders will receive a $US1.92 dividend per share, up from $US1.67 12 months earlier, while net debt was at $US18.1 billion at the end of 2013, down $4.0 billion from six months earlier.
Massive cost cutting drove the profit growth, with falls in the prices of most of its commodities - with the exception of iron ore - hurting earnings by $US1.3 billion, despite record production.
Rio cut operating cash costs by $US2.3 billion, exceeding the 2013 target of $US2 billion.
There was also a $US1 billion reduction in exploration and evaluation spend, plus a 26 per cent drop in capital expenditure to $US12.9 billion.
"Today we've delivered real results to demonstrate the very real and significant progress we've made," Mr Walsh told reporters from London.
"The cost reduction results ... well they're stunning."
He said Rio would pay down more debt and stabilise its business in 2014.
Mr Walsh rejected predictions of large falls in the iron ore price, citing predictions the global economy would grow strongly in 2014, in China and developed countries.
Fat Prophets analyst David Lennox said Rio's performance indicated the miner could generate profits by means other strong commodity prices.
"It's a valid way to generate profits even if it's not palatable," he said.
Rio reduced its workforce by 4,000 people during the year and another 3,300 workers left through the divestment of businesses.
The 2013 profit was an improvement from a $US3.03 billion loss in 2012, which was caused by more than $US14 billion in one-off writedowns.
This year's result again included non-cash writedowns, though, in aluminium and copper.
