HSBC's third-quarter profit jumps 32%, launches buyback of up to $1 billion
HSBC•HSBC's third-quarter pretax profit rose 32% to $9.6 billion, while the bank launched a share buyback of up to $1 billion. Expected credit losses fell 17% to $800 million, and HSBC declared an interim dividend of $0.10 per share.
1. Profit and buyback
HSBC reported third-quarter pretax profit of $9.6 billion, up 32% from a year earlier and in line with estimates compiled by the bank. Higher interest rates supported net interest income, and profit also benefited from the absence of legal provisions booked in the same period a year earlier.
2. Credit losses and dividend
Expected credit losses fell 17% year over year to $800 million, reflecting lower charges linked to Hong Kong's real estate sector and its UK and Mexican wealth businesses. HSBC announced a buyback of up to $1 billion, matching the previous quarter's amount, and an interim dividend of $0.10 per share, also unchanged from the previous quarter.
