Rio Tinto's net profit increased to $14bn in 2010, a 122% increase from 2009 according, to the financial statement released by the company.
With this increase, the company is proceeding with a $5bn share buy-back programme which, is intended to be completed by the end of 2012.
Rio Tinto's net debt reduced to $4.3bn on 31 December 2010, from $18.9bn on 31 December 2009.
The company's increase in earnings was put down to a rise in commodity prices. In 2010 copper prices were up 47%, molybdenum prices were up 45%, gold prices were up 26% and aluminium prices were 31% higher than 2009.
Rio Tinto chairman Jan du Plessis said the results reflected a combination of improved commodity markets, first-class assets and operational performance at their managed operations.