HSBC Holdings Reports a Record 78% Increase in 2023 Full-Year Profit
HSBC Holdings, the largest bank in Europe, posted a substantial 78% surge in its full-year profits for 2023. This incredible gain was driven by high interest rates but fell short of expectations due to an impairment from its stake in a Chinese bank.
The bank’s pretax profit for 2023 soared to $30.3 billion, a significant increase from the $17.5 billion reported in the previous year. However, these results missed the mark, failing to meet the mean average estimate of $34.1 billion compiled by brokers.
Despite achieving a record annual profit, HSBC Holdings was impacted by a $3 billion impairment on its stake in China’s Bank of Communications, tarnishing an otherwise stellar performance.
In light of the announcement, the London-headquartered bank disclosed a fourth interim dividend of $0.31 per share, leading to a total payout of $0.61 per share for the year 2023.
The extraordinary growth in HSBC Holdings’ full-year profit underscores the bank’s resilience and ability to navigate challenging economic landscapes. It also reflects the bank’s commitment to delivering value to its shareholders amidst a volatile global financial environment.
