HSBCthe largest European bank by assets, recorded a Attributed net profit of 22,432 million dollars (20,780 million euros) in 2023, which represents an increase of 56.4% compared to the profits recorded the previous year, as reported by the entity, which will launch a new share repurchase plan of 2,000 million dollars (1,853 million of euros).
He Profit before tax of HSBC reached a new record of 30,300 million dollars (28,069 million euros) in 2023, 78% more than in 2022, mainly reflecting revenue growth, as well as a favorable effect of 2,500 million dollars (2,316 million euros) from the sale of retail banking operations in France and a provisional gain of 1,600 million dollars (1,482 million euros) from the acquisition of Silicon Valley Bank UK.
However, this was partly offset by the recognition of an extraordinary impairment charge of $3 billion (2,779 million euros) related to the investment in our Chinese firm Bank of Communications (BoCom), which weighed down the entity’s pre-tax result by 75.6% in the fourth quarter of 2023, up to 1,000 million dollars (926 million euros).
In the entire fiscal year 2023, the British entity, but whose business is mainly concentrated in Asia, recorded an adverse impact of 3,447 million dollars (3,193 million euros) due to provisions to cover potential credit losses and other defaults, which represents a reduction of 3.8% compared to the 2022 figure.
On his side, the HSBC’s operating turnover totaled $66,058 million in 2023 (61,194 million euros), 30.5% above the entity’s income a year earlier.
Specifically, net interest income increased 17.8% in the year, up to 35,796 million dollars (33,160 million euros), while commission income grew 0.6%, up to 11,845 million dollars (10,973 millions of euros).
The CET1 common equity ratio It stood at 14.8% at the end of the year, with an increase of 0.6 percentage points, since capital generation was partly offset by dividends and share repurchases.
In this sense, HSBC’s board approved a fourth interim dividend of $0.31 per share, resulting in a total for 2023 of $0.61 per share. In addition, The bank has announced its intention to begin a share buyback of up to $2 billionwhich it expects to complete before the announcement of first quarter 2024 results.
“Our record earnings performance in 2023 allowed us to reward our shareholders with our highest annual dividend since 2008, three share buybacks last year totaling $7 billion, and one new share buyback of up to $2 billion. », said Noel Quinn, CEO of HSBC.