INSUBCONTINENT EXCLUSIVE:
HSBC's London-listed shares have gained 15% so far this year.Singapore/London: HSBC Holdings reported a surprise 74% rise in third quarter
profit as concerns about pandemic-related bad loan receded, allowing it to announce a share buyback of $2 billion.HSBC however said its cost
projections for 2022 had increased to $32 billion from $31 billion, due to the pressures of inflation
"While we retain a cautious outlook on the external risk environment, we believe that the lows of recent quarters are behind us," Chief
Executive Neil Quinn said in the results statement on Monday.Quinn, who was confirmed in the role in 2020 just as the pandemic-induced
economic crisis began, is betting on Asia to drive growth, by moving global executives there and ploughing billions into the lucrative
wealth business.The bank posted pretax profit of $5.4 billion for the quarter to September, versus $3.1 billion a year earlier and the $3.78
billion average estimate of 14 analysts compiled by HSBC.HSBC released $700 million in cash it had put aside in case pandemic-related bad
loans spiked, as opposed to the same time a year ago when it took an $800 million charge in expectation of such soured debts.In reality
economic conditions have improved while loans have performed better than expected, the bank said
The results from the London-headquartered bank come as rivals such as Citigroup are riding a M-A boom, while fending off weakness in the
lending business.HSBC's investment banking business however saw income fall compared to the same period a year ago as its global debt
business in particular softenedIt is the second big British lender to report strong results for the quarter, after Barclays on Thursday
doubled profits on the back of a strong performance from its investment bank advisory business.HSBC's London-listed shares have gained 15%
so far this year versus a 5% rise in shares of Asia-focussed rival Standard Chartered, while Barclays is up 35% and U.S.-listed Citi has put
on 16%.(This story has not been edited by TheIndianSubcontinent staff and is auto-generated from a syndicated feed.)
