The reported revenue for HSBC in the first half of 2019 ending June 30, moved up by 7.6% to $29.37bn (£24.24bn)
HSBC headquarters, London. (Credit: HSBC Group)
HSBC has reported an increase of 18.1% in its reported profit after tax for the first half of 2019 (1H19) to $9.93bn (£8.18bn), compared to $8.41bn (£6.94bn) in the same period last year.
The banking giant’s reported profit before tax grew 15.8% to $12.4bn (£10.23bn), which included an $828m (£683.28m) dilution gain owing to the completion of the merger of its associate The Saudi British Bank (SABB) with Alawwal bank in Saudi Arabia.
The diluted earnings per share of HSBC increased to $0.42 (£0.350) in 1H19 compared to $0.36 (£0.30) in 1H18.
Reported HSBC revenue in 1H19
The reported revenue for the first half of 2019 that ended 30 June moved up by 7.6% to $29.37bn (£24.24bn) from $27.28bn (£22.51bn) reported in the same period in 2018.
The banking major attributed the revenue increase to its retail banking and wealth management (RBWM) unit, where it acquired new customers and increased lending, and in commercial banking (CMB), with growth seen across all major products and all geographies.
The reported operating expenses were brought down 2.3% to $17.15bn (£14.15bn) in the reported period compared to $17.11bn (£14.12bn) in 1H18.
In the retail banking and wealth management business, HSBC recorded 35.5% increase in its profit before tax to $4.44bn (£3.66bn) compared to $3.58bn (£2.95bn) in the same period last year.
The commercial banking business grew its profit before tax from $3.97bn (£3.28bn) in 1H18 by 32.1% to $4.02bn (£3.32bn). On the other hand, the profit before tax of the global banking and markets units dropped 22.6% from $3.43bn (£2.83bn) in 1H18 to $2.82bn (£2.33bn) in the reported period.
HSBC also announced a change of leadership with John Flint stepping down as the group’s CEO and director. Noel Quinn has been named as the interim group CEO.
HSBC group chairman Mark Tucker said: “Today’s positive interim results particularly reflect John’s achievements as Group Chief Executive.
“HSBC is in a strong position to deliver on its strategy. In the increasingly complex and challenging global environment in which the Bank operates, the Board believes a change is needed to meet the challenges that we face and to capture the very significant opportunities before us.”