According to a statement, HSBC posted pre-tax profit of 19,5 billion dollar for the first six months of the year, up from 15,8 billion dollar in the same period last year. The result exceeded the consensus analyst forecast of 18,9 billion dollar compiled by HSBC.

The bank attributed the earnings growth to higher net interest income from its banking operations, increased fee and other income—particularly in its Wealth and Wholesale Transaction Banking businesses—and a positive net impact from notable items.

Revenue rose 16 percent year-on-year, supported by a 1,3 billion dollar gain from notable items, which included 200 million dollar in restructuring costs.

Share Buybacks Resume

HSBC announced the resumption of its share buyback programme with a new tranche of up to 1 billion dollar. It is the bank's first buyback programme since the privatisation of its Hong Kong-listed subsidiary, Hang Seng Bank.

Earlier this year, HSBC announced the 14 billion dollar acquisition of the remaining shares in Hang Seng Bank that it did not already own. As a result, the bank suspended share repurchases in recent months. It now considers its capital position sufficiently strong to resume buying back its own shares.

Restructuring Accelerates

According to the statement, HSBC Chief Executive Georges Elhedery now expects the group's annual cost savings to reach 2 billion dollar, up from the previous target of 1,5 billion dollar.

Since taking over as CEO in 2024, Elhedery has launched a sweeping restructuring programme. The bank has cut thousands of jobs and exited or closed several business lines, including the sale of its insurance business in Singapore, its retail banking operations in Egypt, and its Australian mortgage portfolio.

Higher Net Interest Income Outlook

HSBC also raised its guidance for net interest income. The bank now expects to generate more than 46 billion dollar, compared with its previous forecast of reaching 46 billion dollar.