HSBC Holdings Plc building at Canada Square in Canary Wharf financial district on 15th August 2023 in London, United Kingdom.
Mike Kemp | In Pictures | Getty Images
Europe’s largest lender HSBC on Tuesday announced it will repurchase up to $3 billion in shares as it issued a third-quarter earnings report that beat analyst estimates, boosted by strong revenue growth and its wealth and personal banking divisions.
Here are HSBC’s results compared with LSEG SmartEstimate, which is weighted toward forecasts from analysts who are more consistently accurate:
- Pre-tax profit: $8.50 billion vs. $8.05 billion
- Revenue: $17.00 billion vs. $16.22 billion
HSBC’s pre-tax profit represented a 10% rise from the $7.71 billion posted a year ago.
The company’s quarterly revenue grew 5% to $17 billion, from the $16.2 billion that was reported a year ago
The bank’s $3 million share buyback brings the total amount announced this year to $9 billion. $3 billion was announced in the first quarter and another $3 billion in the second quarter.
The company added that its board has also approved a third interim dividend of $0.1 per share.
Last week, HSBC unveiled plans to restructure into four business units: Hong Kong, U.K., international wealth and premier banking, and corporate and institutional banking, amid a major overhaul that saw the appointment of its first female finance chief.
HSBC also vowed to streamline its businesses to “reduce the duplication of processes and decision making.” The new structure will go into effect in January, and “will results in a simpler, more dynamic, and agile organization,” HSBC boss Georges Elhedery said.
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