HONG KONG/LONDON, Oct 27 : HSBC reported a 32 per cent surge in third-quarter profit on Tuesday as rate hikes supported net interest income and due to the absence of legal provisions booked in the same period a year earlier.
Europe’s largest bank also unveiled a share buyback of up to $1 billion, the same amount as the previous quarter.
Pretax profit came in at $9.6 billion for the July-September quarter, in line with estimates compiled by HSBC.
The bank also said expected credit losses tumbled 17 per cent to $800 million rom the same period a year ago, thanks to a reduction in charges linked to Hong Kong’s real estate sector as well as its UK and Mexican wealth businesses.
HSBC announced an interim dividend of $0.1 per share, the same as the previous quarter.