3rd Quarter Results

Standard Chartered

30/10/2025 07:00

RNS Number : 4328F

Standard Chartered PLC

30 October 2025

 

Standard Chartered PLC

Q3'25 Results

30 October 2025

 

 

Registered in England under company No. 966425

Registered Office: 1 Basinghall Avenue, London, EC2V 5DD, UK



Table of contents

 

Performance highlights
01
Statement of results
02
Group Chief Financial Officer's review
03
Financial review
06
Supplementary financial information
12
Underlying versus reported results reconciliations
23
Risk review
25
Capital review
28
Financial statements
32
Other supplementary financial information
37

 

 

 

Unless another currency is specified, the word 'dollar' or symbol '$' in this document means US dollar and the word 'cent' or symbol 'c' means one-hundredth of one US dollar.

Unless the context requires, within this document, 'China' refers to the People's Republic of China and, for the purposes of this document only, excludes Hong Kong Special Administrative Region (Hong Kong), Macau Special Administrative Region (Macau) and Taiwan. 'Korea' or 'South Korea' refers to the Republic of Korea.

Within the tables in this report, blank spaces indicate that the number is not disclosed, dashes indicate that the number is zero and nm stands for not meaningful. Standard Chartered PLC is incorporated in England and Wales with limited liability. Standard Chartered PLC is headquartered in London.

The Group's head office provides guidance on governance and regulatory standards. Standard Chartered PLC stock codes are: HKSE 02888 and LSE STAN.LN

 

 

Standard Chartered PLC - Results for the third quarter ended 30 September 2025

 

All figures are presented on an underlying basis and comparisons are made to 2024 on a constant currency basis, unless otherwise stated. A reconciliation of restructuring and other items excluded from underlying results is set out on pages 23-24.

Bill Winters, Group Chief Executive, said:

"We now expect to deliver an underlying return on tangible equity of around 13% in 2025, hitting our target a year earlier than planned. Progress is broad-based, but our sharper strategic focus on servicing our clients' cross-border and affluent banking needs is paying off, with strong double-digit growth in Wealth Solutions and Global Banking, alongside good momentum in our Global Markets flow business."

Selected information on Q3'25 financial performance with comparisons to Q3'24 unless otherwise stated

•  Operating income of $5.1bn up 5%; up 5% excluding notable items1

-  Net interest income (NII) down 1% to $2.7bn

-  Non NII up 12% to $2.4bn, largely driven by Wealth Solutions and Global Banking

-  Record quarter in Wealth Solutions with income up 27%, with strong performance in investment products

-  Global Banking up 23%, driven by higher origination and distribution volumes, and increased capital markets activity

•  Operating expenses up 4% to $3bn, driven by targeted investments for business growth partly offset by efficiency saves

•  Credit impairment charge of $195m; Wealth & Retail Banking charge of $107m down $73m due to unsecured portfolio optimisation. There was a $64m charge in Corporate & Investment Banking

•  Restructuring and other charges of $219m include $138m related to the Fit for Growth programme

•  Profit before tax of $2bn

•  Return on Tangible Equity (RoTE) of 13.4%, up 260bps

•  Balance sheet remains strong, liquid and well diversified with underlying loans and advances to customers up 1% and underlying customer deposits up 2% quarter-on-quarter

•  The Group remains strongly capitalised with a Common Equity Tier 1 (CET1) ratio of 14.2%, down 18bps quarter-on-quarter; up 32bps excluding impact of share buyback

•  Tangible net asset value per share of $16.84, up 4 cents quarter-on-quarter, up 175 cents year-on-year

Guidance

We have upgraded our guidance for RoTE and 2025 income growth. All other guidance remains unchanged:

•  Income:

-  Operating income to increase 5-7% CAGR in 2023-2026 at ccy excluding the deposit insurance reclassification; tracking towards the upper end of the range

-  2025 income growth now expected to be towards the upper end of the 5-7% range at ccy excluding notable items; previously guided to around the bottom of the range

•  Expenses:

-  Operating expenses to be below $12.3bn2 in 2026 at ccy, including the UK bank levy and the ongoing impact of the deposit insurance reclassification

-  Positive income-to-cost jaws in each year at ccy, excluding notable items

•  Assets and RWA:

-  Low single-digit percentage growth in underlying loans and advances to customers and RWA

-  Basel 3.1 day-1 RWA impact expected to be close to neutral

-  Continue to expect the loan-loss rate to normalise towards the historical through-the-cycle 30 to 35bps range

•  Capital:

-  Continue to operate dynamically within the full 13-14% CET1 ratio target range

-  Plan to return at least $8bn to shareholders cumulative 2024 to 2026

-  Continue to increase full-year dividend per share over time

•  RoTE now expected to be around 13% in 2025 and to progress thereafter

1. Notable items relating to Ghana hyperinflation and revaluation of FX positions in Egypt

2. Currently running at $12.4bn due to FX

Page 01

Statement of results

 

 

3 months ended 30.09.25
 $million
3 months ended 30.09.24
 $million
Change1
 %
Underlying performance
Operating income
5,147
4,904
5
Operating expenses
(2,953)
(2,840)
(4)
Credit impairment
(195)
(178)
(10)
Other impairment
(20)
(92)
78
Profit from associates and joint ventures
6
13
(54)
Profit before taxation
1,985
1,807
10
Profit attributable to ordinary shareholders²
1,208
1,005
20
Return on ordinary shareholders' tangible equity (%)
13.4
10.8
260bps
Cost to income ratio (%)
57.4
57.9
50bps
Reported performance7
Operating income
5,110
4,950
3
Operating expenses
(3,144)
(2,971)
(6)
Credit impairment
(188)
(178)
(6)
Goodwill & other impairment
(22)
(88)
75
Profit from associates and joint ventures
10
9
11
Profit before taxation
1,766
1,722
3
Taxation
(468)
(575)
19
Profit for the period
1,298
1,147
13
Profit attributable to parent company shareholders
1,300
1,150
13
Profit attributable to ordinary shareholders2
1,028
931
10
Return on ordinary shareholders' tangible equity (%)
10.5
10.0
50bps
Cost to income ratio (%)
61.5
60.0
(150)bps
Net interest margin (%) (adjusted)6,9
1.94
2.07
(13)bps
30.09.25
 $million
30.09.24
 $million
Change1
 %
Balance sheet and capital
Total assets
913,650
872,173
5
Total equity
53,220
52,736
1
Average tangible equity attributable to ordinary shareholders²
38,878
37,151
5
Loans and advances to customers
285,127
287,257
(1)
Customer accounts
526,284
478,140
10
Risk weighted assets
258,378
248,924
4
Total capital
52,531
53,658
(2)
Total capital (%)
20.3
21.6
(122)bps
Common Equity Tier 1
36,594
35,425
3
Common Equity Tier 1 ratio (%)
14.2
14.2
(7)bps
Advances-to-deposits ratio (%)3
50.7
52.7
200bps
Liquidity coverage ratio (%)
151
143
(810)bps
Leverage ratio (%)
4.6
4.7
(6)bps
3 months ended 30.09.25
3 months ended 30.09.24
Change
Information per ordinary share8
Earnings per share4 - underlying (cents)
52.3
39.8
12.5
- reported (cents)
44.5
36.8
7.7
Net asset value per share5 (cents)
1,952
1,762
190
Tangible net asset value per share5 (cents)
1,684
1,509
175
Number of ordinary shares at period end (millions)
2,293
2,484
(8)

1  Variance is better/(worse) other than assets, liabilities and risk-weighted assets. Change is the basis points (bps) difference between the two periods rather than the percentage change for total capital ratio (%), common equity tier 1 ratio (%), net interest margin (%), advances-to-deposits ratio (%), liquidity coverage ratio (%), leverage ratio (%), cost-to-income ratio (%) and return on ordinary shareholders' tangible equity (%)

2  Profit/(loss) attributable to ordinary shareholders is after the deduction of dividends payable to the holders of non-cumulative redeemable preference shares and Additional Tier 1 securities classified as equity

3  When calculating this ratio, total loans and advances to customers excludes reverse repurchase agreements and other similar secured lending, excludes approved balances held with central banks, confirmed as repayable at the point of stress and includes loans and advances to customers held at fair value through profit and loss. Total customer accounts include customer accounts held at fair value through profit or loss

4  Represents the underlying or reported earnings divided by the basic weighted average number of shares. Results represent three months ended the reporting period

5  Calculated on period end net asset value, tangible net asset value and number of shares

6  Net interest margin is calculated as adjusted net interest income divided by average interest-earning assets, annualised

7  Reported performance/results within this interim financial report means amounts reported under UK-adopted International Accounting Standards and International Financial Reporting Standards

8  Change is cents difference between the two periods for earnings per share, net asset value per share and tangible net asset value per share. Number of ordinary shares at period end is percentage difference between the two periods

9  Net interest income has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reclassification of funding cost mismatches to Non NII

Page 02

Group Chief Financial Officer's review

 

Summary of financial performance

All commentary that follows is on an underlying basis and comparisons are made to the equivalent period in 2024 on a constant currency basis, unless otherwise stated. Q3 2024 included items totalling $12 million (Q3 2025: $10 million loss) relating to gains on revaluation of FX positions in Egypt and a hyperinflationary accounting adjustment in Ghana (the notable items).

Our engines of growth continued to deliver in the third quarter of 2025 amidst ongoing macro environment uncertainty. Operating income of $5.1 billion grew 5 per cent driven by record quarterly performances in Wealth Solutions and Global Banking. Operating expenses increased 4 per cent year-on-year driven by continued investment into business initiatives. Credit impairment charges of $195 million were equivalent to an annualised loan-loss rate of 24 basis points. This resulted in an underlying profit before tax of $2 billion, up 9 per cent and underlying earnings per share of 52.3 cents, up 31 per cent including the benefit from a reduction in share count.

The Group remains well capitalised and highly liquid with a diverse and stable deposit base. The liquidity coverage ratio of 151 per cent reflects disciplined asset and liability management. The Common Equity Tier 1 (CET1) ratio of 14.2 per cent remains above the target range.

Operating income of $5.1 billion increased by 5 per cent driven by double-digit growth in both Wealth Solutions and Global Banking.

Net interest income (NII) was down 1 per cent, as the benefit from higher volumes and improved mix was offset by the impact of lower interest rates and margin compression, albeit pass-through rates remain actively managed.

Non NII grew 12 per cent. This was driven by strong performance in both Wealth Solutions and Global Banking. Global Markets was up 1 per cent, as 12 per cent increase in flow income was broadly offset by softer episodic income.

Operating expenses increased 4 per cent. This was largely driven by targeted investments into business growth initiatives including Wealth and Retail Banking (WRB) relationship managers and Corporate and Investment Banking (CIB) capabilities, partly offset by efficiency saves. The cost-to-income ratio improved 1 percentage point to 57 per cent.

Credit impairment of $195 million increased $ 17 million over the prior year. The WRB charge of $107 million was $73 million lower reflecting a reduction in unsecured exposures from portfolio optimisation actions. CIB impairment was a net charge of $64 million including an additional $25 million precautionary overlay for Hong Kong CRE.

Other impairment decreased by $72 million to $20 million primarily due to the non-repeat of software asset write-offs.

Profit from associates and joint ventures decreased by $7 million primarily due to an increased share of losses within the Ventures segment.

Restructuring, FFG, Debit Valuation Adjustment (DVA) and other items totalled $219 million including a $138 million charge related to the Fit for Growth (FFG) programme and a negative $27 million movement in DVA.

Taxation for the third quarter was $468 million, with an underlying effective tax rate of 25.6 per cent, down 6.8 per cent on the prior year, primarily due to reduced tax losses in the UK for which no deferred tax assets are recognised.

Underlying RoTE of 13.4 per cent was up 260 basis points, reflecting an increase in underlying profits and a lower effective tax rate partly offset by higher average tangible equity. On a reported basis, RoTE increased by 50 basis points to 10.5 per cent with growth in underlying profits party offset by higher charges relating to restructuring and other items.

Underlying basic earnings per share (EPS) increased 12.5 cents or 31 per cent to 52.3 cents and reported basic EPS increased 7.7 cents or 21 per cent to 44.5 cents reflecting both the increase in profits and the reduction in share count following execution of successive share buyback programmes.

 

 

 

 

Diego De Giorgi

Group Chief Financial Officer

30 October 2025

Page 03

Group Chief Financial Officer's review continued

 

The Group delivered a strong performance in the third quarter of 2025

Summary of financial performance

Q3'25
 $million
Q3'24
 $million
Change
 %
Constant currency change¹
 %
Q2'25
 $million
Change
 %
Constant currency change¹
 %
YTD'25
 $million
YTD'24
 $million
Change
 %
Constant currency change¹
 %
Underlying net interest income2
2,737
2,769
(1)
(1)
2,703
1
1
8,236
8,119
1
2
Underlying non NII2
2,410
2,135
13
12
2,806
(14)
(15)
7,810
6,743
16
16
Underlying operating income
5,147
4,904
5
5
5,509
(7)
(7)
16,046
14,862
8
8
Underlying operating expenses
(2,953)
(2,840)
(4)
(4)
(3,050)
3
3
(8,918)
(8,513)
(5)
(4)
Underlying operating profit before impairment and taxation
2,194
2,064
6
5
2,459
(11)
(12)
7,128
6,349
12
14
Credit impairment
(195)
(178)
(10)
(10)
(117)
(67)
(62)
(531)
(427)
(24)
(23)
Other impairment
(20)
(92)
78
78
(3)
nm
nm
(29)
(235)
88
88
Profit from associates and joint ventures
6
13
(54)
(54)
64
(91)
(90)
97
77
26
26
Underlying profit before taxation
1,985
1,807
10
9
2,403
(17)
(18)
6,665
5,764
16
17
Restructuring5
(54)
(102)
47
51
(40)
(35)
(19)
(191)
(166)
(15)
(17)
FFG5
(138)
11
nm
nm
(87)
(59)
(59)
(298)
(75)
nm
nm
DVA
(27)
5
nm
nm
9
nm
nm
(22)
(21)
(5)
(5)
Other items
-
1
nm
nm
(5)
nm
nm
(5)
(288)
98
98
Reported profit before taxation
1,766
1,722
3
2
2,280
(23)
(23)
6,149
5,214
18
20
Taxation
(468)
(575)
19
19
(546)
14
17
(1,525)
(1,698)
10
9
Profit for the period
1,298
1,147
13
12
1,734
(25)
(25)
4,624
3,516
32
33
Net interest margin (%)3,4
1.94
2.07
(13)
1.98
(4)
2.01
2.01
-
Underlying return on tangible equity (%)4
13.4
10.8
260
19.7
(630)
16.5
12.9
360
Underlying basic earnings per share (cents)
52.3
39.8
31
76.6
(32)
191.9
138.5
39


1  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

2  Underlying Net Interest Income has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reclassification of funding cost mismatches to Underlying non-Net Interest Income

3  Net interest margin has been restated due to the revision of underlying net interest income as outlined in footnote 2

4  Change is the basis points (bps) difference between the two periods rather than the percentage change

5  FFG (Fit for Growth) charge previously reported within Restructuring has been re-presented as a separate item

 

Page 04

Group Chief Financial Officer's review continued

 

Reported financial performance summary

Q3'25
 $million
Q3'24
 $million
Change
 %
Constant currency change¹
 %
Q2'25
 $million
Change
 %
Constant currency change¹
 %
YTD'25
 $million
YTD'24
 $million
Change
 %
Constant currency change¹
 %
Net interest income
1,408
1,482
(5)
(5)
1,463
(4)
(4)
4,452
4,657
(4)
(4)
Non NII
3,702
3,468
7
6
4,064
(9)
(9)
11,564
10,084
15
15
Reported operating income
5,110
4,950
3
3
5,527
(8)
(8)
16,016
14,741
9
9
Reported operating expenses
(3,144)
(2,971)
(6)
(6)
(3,201)
2
2
(9,391)
(9,027)
(4)
(4)
Reported operating profit before impairment and taxation
1,966
1,979
(1)
(1)
2,326
(15)
(16)
6,625
5,714
16
18
Credit impairment
(188)
(178)
(6)
(7)
(119)
(58)
(54)
(524)
(418)
(25)
(25)
Goodwill & other impairment
(22)
(88)
75
74
(4)
nm
nm
(41)
(235)
83
83
Profit from associates and
 joint ventures
10
9
11
22
77
(87)
(85)
89
153
(42)
(42)
Reported profit before taxation
1,766
1,722
3
2
2,280
(23)
(23)
6,149
5,214
18
20
Taxation
(468)
(575)
19
19
(546)
14
17
(1,525)
(1,698)
10
9
Profit for the period
1,298
1,147
13
12
1,734
(25)
(25)
4,624
3,516
32
33
Reported return on tangible
 equity (%)2
10.5
10.0
50
17.9
(740)
14.4
11.3
310
Reported basic earnings per share (cents)
44.5
36.8
21
72.5
(39)
173.9
120.2
45


1  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

2  Change is the basis points (bps) difference between the two periods rather than the percentage change

Page 05

Financial review

 

Operating income by product

Q3'25
 $million
Q3'241
 $million
Change
 %
Constant currency change2
 %
Q2'25
 $million
Change
 %
Constant currency change2
 %
YTD'25
 $million
YTD'241
 $million
Change
 %
Constant currency change2
 %
Transaction Services
1,488
1,572
(5)
(6)
1,469
1
1
4,484
4,768
(6)
(6)
Payments & Liquidity
1,016
1,112
(9)
(9)
1,013
-
-
3,090
3,412
(9)
(9)
Securities & Prime Services
166
156
6
7
158
5
5
475
450
6
6
Trade & Working Capital
306
304
1
-
298
3
2
919
906
1
2
Global Banking
588
475
24
23
548
7
7
1,684
1,435
17
17
Lending & Financial Solutions
496
407
22
21
476
4
3
1,424
1,243
15
15
Capital Markets & Advisory
92
68
35
33
72
28
29
260
192
35
35
Global Markets
848
840
1
1
1,172
(28)
(28)
3,203
2,677
20
20
Macro Trading
678
683
(1)
(1)
961
(29)
(30)
2,617
2,198
19
19
Credit Trading
206
174
18
18
187
10
10
615
506
22
22
Valuation & Other Adj
(36)
(17)
(112)
(100)
24
nm
nm
(29)
(27)
(7)
(7)
Wealth Solutions
890
694
28
27
742
20
20
2,409
1,928
25
25
Investment Products
691
507
36
35
544
27
27
1,794
1,375
30
30
Bancassurance
199
187
6
5
198
1
-
615
553
11
12
Deposits & Mortgages
1,034
1,051
(2)
(1)
990
4
4
3,030
3,112
(3)
(2)
CCPL & Other Unsecured Lending
277
281
(1)
(2)
282
(2)
(3)
816
811
1
1
Ventures
39
43
(9)
(14)
278
(86)
(86)
359
123
192
191
Digital Banks
49
39
26
20
46
7
4
137
101
36
35
SCV
(10)
4
nm
nm
232
(104)
(105)
222
22
nm
nm
Treasury & Other
(17)
(52)
67
69
28
(161)
(153)
61
8
nm
nm
Total underlying operating income
5,147
4,904
5
5
5,509
(7)
(7)
16,046
14,862
8
8

1  Products have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 with no change in total income

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

The operating income by product commentary that follows is on an underlying basis and comparisons are made to the equivalent period in 2024 on a constant currency basis, unless otherwise stated. Q3 2024 included items totalling $12 million (Q3 2025: $10 million loss) relating to gains on revaluation of FX positions in Egypt and a hyperinflationary accounting adjustment in Ghana (the notable items).

Transaction Services income decreased 6 per cent as growth in Securities & Prime Services was more than offset by lower Payments & Liquidity income. Payments & Liquidity income decreased 9 per cent, driven by the impact of lower interest rates and margin compression, albeit passthrough rates continued to be tightly managed and there was growth in balances. Securities & Prime Services income grew 7 per cent due to higher custody balances and client volumes. Trade & Working Capital income remained flat as growth in fees was offset by lower volumes and margins.

Global Banking income grew 23 per cent, a record quarterly performance. Lending & Financial Solutions income grew 21 per cent as increased deal completion led to higher origination and distribution volumes and increased carry income. Capital Markets & Advisory fee income grew 33 per cent on the back of increased Mergers & Acquisitions transactions.

Global Markets income was up 1 per cent. Flow income grew by 12 per cent with strong client activity in EM rates products, as we continued to capture market opportunities across our footprint. Episodic income was softer due to lower levels of market volatility relative to the prior year.

Wealth Solutions income was up 27 per cent, with 35 per cent growth in Investment Products and 5 per cent growth in Bancassurance. This was driven by momentum in affluent new-to-bank onboarding, with 67,000 clients onboarded during the third quarter of 2025. Affluent net-new-money inflow in the third quarter was $13 billion with a higher proportion of wealth sales than in the previous quarter.

Deposits & Mortgages income decreased 1 per cent. The benefit from higher Time Deposit volumes was fully offset by the impact of lower interest rates, while Mortgages income doubled over the prior year primarily from lower funding cost and higher volumes in a few select markets.

CCPL & Other Unsecured Lending income was down 2 per cent as lower volumes resulting from portfolio optimisation actions was partly countered by higher margins.

Ventures income was down 14 per cent. Digital Banks income was up 20 per cent driven by higher Deposit volumes and fee income as they continue to grow their customer base. SCV income was lower due to negative mark-to market movements on underlying investments.

Page 06

Financial review continued

 

Treasury & Other improved by $35 million primarily from the repricing of longer dated assets.

Profit before tax by client segment

Q3'25
 $million
Q3'241
 $million
Change
 %
Constant currency change2
 %
Q2'25
 $million
Change
 %
Constant currency change2
 %
YTD'25
 $million
YTD'241
 $million
Change
 %
Constant currency change2
 %
Corporate & Investment Banking1
1,319
1,359
(3)
(3)
1,701
(22)
(23)
4,761
4,457
7
8
Wealth & Retail Banking1
930
737
26
23
652
43
43
2,328
2,073
12
13
Ventures
(114)
(98)
(16)
(21)
130
(188)
(187)
(68)
(295)
77
77
Central & other items1
(150)
(191)
21
22
(80)
(88)
(74)
(356)
(471)
24
28
Underlying profit before taxation
1,985
1,807
10
9
2,403
(17)
(18)
6,665
5,764
16
17

1  Underlying profit before taxation has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reallocation of Treasury income and certain costs across segments

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

The client segment commentary that follows is on an underlying basis and comparisons are made to the equivalent period in 2024 on a constant currency basis, unless otherwise stated. Q3 2024 included items totalling $12 million (Q3 2025: $10 million loss) relating to gains on revaluation of FX positions in Egypt and a hyperinflationary accounting adjustment in Ghana (the notable items).

Corporate & Investment Banking (CIB) profit before taxation decreased 3 per cent. Income grew 2 per cent with strong double-digit growth in Global Banking partly offset by a decrease in Transaction Services income. Expenses were 4 per cent higher and credit impairment charge was $64 million compared to a $10 million release in the prior year.

Wealth & Retail Banking (WRB) profit before taxation increased 23 per cent, with income up 7 per cent led by a record performance in Wealth Solutions. Expenses increased 5 per cent from increased investment spend and hiring of affluent relationship managers. Credit impairment charge of $107 million was down $73 million from a reduction in unsecured balances primarily from portfolio optimisation actions.

Ventures losses increased by $16 million to $114 million. Income was down $4 million as higher income from Digital Banks was offset by negative income from SC Ventures. Expenses were lower by 2 per cent and credit impairment was $2 million lower compared to prior year. Within SC Ventures other impairment charge relating to write-off of investments increased by $14 million.

Central & Other items (C&O) recorded a loss before tax of $150 million which was $41 million lower than the prior year benefitting from repricing of longer dated assets.

Adjusted net interest income and margin

Q3'25
 $million
Q3'24
 $million
Change¹
 %
Q2'25
 $million
Change¹
 %
YTD'25
 $million
YTD'24
 $million
Change¹
 %
Adjusted net interest income2
2,737
2,769
(1)
2,702
1
8,236
8,131
1
Average interest-earning assets
560,336
532,459
5
546,709
2
547,771
539,984
1
Average interest-bearing liabilities
599,796
540,691
11
571,401
5
576,100
538,643
7
Gross yield (%)3
4.52
5.34
(82)
4.61
(9)
4.67
5.37
(70)
Rate paid (%)3
2.41
3.22
81
2.51
(10)
2.53
3.37
(84)
Net yield (%)3
2.11
2.12
(1)
2.10
1
2.14
2.00
14
Net interest margin (%)3,4
1.94
2.07
(13)
1.98
(4)
2.01
2.01
-

1  Variance is better/(worse) other than assets and liabilities which is increase/(decrease)

2  Adjusted net interest income has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reclassification of funding cost mismatches to Non NII. Adjusted net interest income is reported net interest income less trading book funding cost, Treasury currency management activities, cash collateral and prime services

3  Change is the basis points (bps) difference between the two periods rather than the percentage change. Net interest margin has been re-presented due to the revision to Adjusted net interest income as outlined in footnote 2

4  Adjusted net interest income divided by average interest-earning assets, annualised

Page 07

Financial review continued

 

Adjusted net interest income, was down 1 per cent compared to the prior year as the benefit from higher volumes and improved mix was fully offset by the impact of lower rates and margins. Compared to the prior quarter, the adjusted net interest income was up 1 per cent from higher day count in the third quarter and volume growth while the net interest margin was 4 basis points lower as the impact of falling rates and margin compression was partially offset by better WRB CASA mix.

Average interest-earning assets were up 2 per cent on the prior quarter driven by growth in Treasury balances, Mortgages and Wealth Lending within WRB. Gross yields decreased 9 basis points compared to the prior quarter due to the fall in interest rates and higher Treasury asset mix in response to strong customer deposit inflows.

Average interest-bearing liabilities increased 5 per cent on the prior quarter from strong in growth in customer accounts primarily in WRB Term and CASA deposits. The rate paid on liabilities decreased 10 basis points compared with the average in the prior quarter, reflecting the impact of interest rate movements and improved liability mix.

Credit risk summary

Income Statement (Underlying view)

Q3'25
 $million
Q3'24
 $million
Change1
 %
Q2'25
 $million
Change1
 %
YTD'25
 $million
YTD'24
 $million
Change1
 %
Total credit impairment charge/(release) 2
195
178
10
117
67
531
427
24
Of which stage 1 and 22
55
126
(56)
67
(18)
234
199
18
Of which stage 32
140
52
169
50
180
297
228
30

1 Variance is increase/(decrease) comparing current reporting period to prior reporting periods

2 Refer to Credit Impairment charge table in Risk review section for reconciliation from underlying to reported credit impairment

Balance sheet

30.09.25
 $million
30.06.25
 $million
Change1
 %
31.12.24
 $million
Change1
 %
30.09.24
 $million
Change1
 %
Gross loans and advances to customers2
289,609
291,811
(1)
285,936
1
292,394
(1)
Of which stage 1
271,037
273,155
(1)
269,102
1
275,490
(2)
Of which stage 2
12,975
12,520
4
10,631
22
10,369
25
Of which stage 3
5,597
6,136
(9)
6,203
(10)
6,535
(14)
Expected credit loss provisions
(4,482)
(5,080)
(12)
(4,904)
(9)
(5,137)
(13)
Of which stage 1
(509)
(553)
(8)
(483)
5
(496)
3
Of which stage 2
(515)
(465)
11
(473)
9
(390)
32
Of which stage 3
(3,458)
(4,062)
(15)
(3,948)
(12)
(4,251)
(19)
Net loans and advances to customers
285,127
286,731
(1)
281,032
1
287,257
(1)
Of which stage 1
270,528
272,602
(1)
268,619
1
274,994
(2)
Of which stage 2
12,460
12,055
3
10,158
23
9,979
25
Of which stage 3
2,139
2,074
3
2,255
(5)
2,284
(6)
Cover ratio of stage 3 before/after collateral (%)3
62 / 78
66 / 82
(4) / (4)
64 / 78
(2) / 0
65 / 81
(3) / (3)
Credit grade 12 accounts ($million)
1,373
2,095
(34)
969
42
943
46
Early alerts ($million)5
5,796
4,485
29
5,559
4
5,100
14
Investment grade corporate exposures (%)3
75
75
-
74
1
74
1
Aggregate top 20 corporate exposures as a percentage of Tier 1 capital3,4
63
56
7
61
2
60
3

1. Variance is increase/(decrease) comparing current reporting period to prior reporting periods

2. Includes reverse repurchase agreements and other similar secured lending held at amortised cost of $6,162 million (30 June 2025: $4,189 million; 31 December 2024: $9,660 million; 30 September 2024: $8,955 million)

3. Change is the percentage points difference between the two points rather than the percentage change

4. Excludes repurchase and reverse repurchase agreements

5. Includes non-purely precautionary early alert balances

 

Page 08

Financial review continued

 

Asset quality remained resilient in the third quarter. The Group continues to actively manage the credit portfolio whilst remaining alert to a volatile and challenging external environment with evolving policy changes which may lead to idiosyncratic stress in a select number of geographies and industry sectors.

Credit impairment was a $195 million charge in the quarter, representing an annualised loan-loss rate of 24 basis points. There was a $107 million charge in WRB, down $73 million following portfolio optimisation actions primarily in the unsecured portfolio. The Ventures charge of $13 million was broadly in line with the prior year while in CIB, there was a net $64 million charge in the quarter as new impairments were partly offset by releases in other parts of the portfolio. The Group retains a $60 million overlay for clients who have exposure to the Hong Kong commercial real estate (CRE) sector and a management overlay of $49 million related to China CRE. During the third quarter, CRE overlays increased $25 million for Hong Kong to capture the increased pressure on liquidity, interest serviceability and repayment capacity. The China overlay reduced by $9 million primarily driven by repayments.

Gross stage 3 loans and advances to customers of $5.6 billion were 9 per cent lower compared to 30 June 2025 as repayments, client upgrades, reduction in exposures and write-offs more than offset new inflows. Credit-impaired loans represent 1.9 per cent of gross loans and advances, 19 basis points reduction on the prior quarter.

The stage 3 cover ratio of 62 per cent dropped 4 per cent as compared to 30 June 2025 while the cover ratio post collateral at 78 per cent also dropped by 4 percentage points, both due to the decrease in gross stage 3 balances and provisions, partly from the restructuring of an exposure previously in stage 3.

The total of Credit grade 12 balances at $1.4 billion and early alert accounts of $5.8 billion together increased by $0.6 billion since 30 June 2025 from movements in sovereigns-related exposures and Hong Kong CRE exposures. The Group is continuing to carefully monitor its exposures in vulnerable sectors and select geographies, given the unusual stresses caused by the currently difficult macro-economic environment.

The proportion of investment grade corporate exposures has remained stable at 75 per cent since 30 June 2025.

Restructuring, FFG, DVA and Other items

Q3'25
Q3'24
Q2'25
Restructuring
 $million
FFG
 $million
DVA
 $million
Other items
 $million
Restructuring1
 $million
FFG1
 $million
DVA
 $million
Other items
 $million
Restructuring
 $million
FFG
 $million
DVA
 $million
Other items
 $million
Operating income
(10)
-
(27)
-
40
-
5
1
14
-
9
(5)
Operating expenses
(57)
(134)
-
-
(142)
11
-
-
(64)
(87)
-
-
Credit impairment
7
-
-
-
-
-
-
-
(2)
-
-
-
Other impairment
2
(4)
-
-
4
-
-
-
(1)
-
-
-
Profit/(loss) from associates and joint ventures
4
-
-
-
(4)
-
-
-
13
-
-
-
Profit/(loss) before taxation
(54)
(138)
(27)
-
(102)
11
5
1
(40)
(87)
9
(5)

1  FFG (Fit for Growth) charge previously reported within Restructuring has been re-presented as a separate item

The Group's reported performance is adjusted for profits or losses of a capital nature, amounts consequent to investment transactions driven by strategic intent, other infrequent and/or exceptional transactions that are significant or material in the context of the Group's normal business earnings for the period and items which management and investors would ordinarily identify separately when assessing underlying performance period-by period.

Restructuring charges of $54 million reflects the impact of actions to simplify technology platforms, business exits and optimising the office space and property footprint.

Charges related to the Fit for Growth programme totalled $138 million in the quarter.

Movements in Debit Valuation Adjustment (DVA) were negative $27million driven by the tightening of Group's asset swap spreads on derivative liability exposures.

 

Page 09

Financial review continued

 

Balance sheet and liquidity

30.09.25
 $million
30.06.25
 $million
Change¹
 %
31.12.24
 $million
Change¹
 %
30.09.24
 $million
Change
 %
Assets
Loans and advances to banks
45,612
42,386
8
43,593
5
47,512
(4)
Loans and advances to customers
285,127
286,731
(1)
281,032
1
287,257
(1)
Other assets
582,911
584,819
-
525,063
11
537,404
8
Total assets
913,650
913,936
-
849,688
8
872,173
5
Liabilities
Deposits by banks
30,003
30,883
(3)
25,400
18
32,172
(7)
Customer accounts
526,284
517,390
2
464,489
13
478,140
10
Other liabilities
304,143
310,993
(2)
308,515
(1)
309,125
(2)
Total liabilities
860,430
859,266
-
798,404
8
819,437
5
Equity
53,220
54,670
(3)
51,284
4
52,736
1
Total equity and liabilities
913,650
913,936
-
849,688
8
872,173
5
Advances-to-deposits ratio (%)²
50.7
51.0
53.3
52.7
Liquidity coverage ratio (%)
151
146
138
143


1      Variance is increase/(decrease) comparing current reporting period to prior reporting periods

2      The Group excludes $8,956 million held with central banks (30 June 2025: $14,239 million, 31 December 2024: $19,187 million and 30 September 2024: $20,534 million) that has been confirmed as repayable at the point of stress. Advances exclude reverse repurchase agreement and other similar secured lending of $6,162 million (30 June 2025: $4,189 million, 31 December 2024: $9,660 million and 30 September 2024: $8,955 million) and include loans and advances to customers held at fair value through profit or loss of $9,421 million (30 June 2025: $8,119 million, 31 December 2024: $7,084 million and 30 September 2024: $6,093 million). Deposits include customer accounts held at fair value through profit or loss of $24,545 million (30 June 2025: $24,958 million, 31 December 2024: $21,772 million and 30 September 2024: $22,344 million)

The Group's balance sheet remains strong, liquid and well diversified.

Loans and advances to customers decreased by $2 billion or 1 per cent from 30 June 2025. Underlying growth was $2 billion or 1 per cent excluding the $2 billion reduction from Treasury and securities-based held to collect loans and $2 billion impact of decrease from currency translation. The underlying growth is primarily driven by Wealth Lending and Mortgages in WRB. Loans and advances to banks increased 8 per cent since 30 June 2025 driven by higher interbank lending in a few select markets.

Customer accounts of $526 billion increased by $9 billion or 2 per cent from 30 June 2025. Excluding a $2 billion decrease from currency translation, customer accounts increased by $11 billion, or 2 per cent. This was primarily driven by a $ 7 billion increase in WRB CASA and term deposits from affluent focus and targeted campaigns, and a $3 billion increase in corporate term deposits and Treasury management activities.

Other assets decreased $2 billion from 30 June 2025, with a $7 billion increase in cash and balances with Central banks, and a $4 billion increase in investment securities was more than offset by a $6 billion reduction in financial assets held at fair value through profit or loss, primarily debt securities and a $7 billion reduction in derivative financial instruments.

Other liabilities decreased 2 per cent or $7 billion from 30 June 2025, with a $11 billion decrease in derivative balances and a $8 billion reduction in financial liabilities held at fair value through profit and loss was partly offset by an increase of $6 billion in other financial liabilities held at amortised cost and a $5 billion increase in debt securities in issue.

The advances-to-deposits ratio decreased to 50.7 per cent from 51.0 per cent as of 30 June 2025. The point-in-time liquidity coverage ratio increased 5 percentage point in the quarter to 151 per cent and remains well above the minimum regulatory requirement of 100 per cent.

Risk-weighted assets

30.09.25
 $million
30.06.25
 $million
Change¹
 %
31.12.24
 $million
Change¹
 %
30.09.24
 $million
Change¹
 %
By risk type
Credit risk
191,074
191,348
-
189,303
1
188,844
1
Operational risk
32,578
32,578
-
29,479
11
29,479
11
Market risk
34,726
35,758
(3)
28,283
23
30,601
13
Total RWAs
258,378
259,684
(1)
247,065
5
248,924
4

1. Variance is increase/(decrease) comparing current reporting period to prior reporting periods

Page 10

Financial review continued

 

Total risk-weighted assets of $258.4 billion dropped by $1.3 billion or 1 per cent from 30 June 2025.

•  Credit risk RWA at $191.1 billion remained stable since 30 June 2025. There was a $1.9 billion increase from asset growth and mix within primarily in Treasury and a $0.5 billion increase from model and methodology changes. This was partly offset by $1.4 billion reduction in CIB optimisation actions and $1.3 billion decrease from currency translation.

•  Market risk RWA decreased by $1.0 billion to $34.7 billion primarily from updates to internal models mainly from risks not in VaR (Value at risk).

Capital base and ratios

30.09.25
 $million
30.06.25
 $million
Change¹
 %
31.12.24
 $million
Change¹
 %
30.09.24
 $million
Change¹
 %
CET1 capital
36,594
37,260
(2)
35,190
4
35,425
3
Additional Tier 1 capital (AT1)
6,515
6,517
-
6,482
1
6,507
-
Tier 1 capital
43,109
43,777
(2)
41,672
3
41,932
3
Tier 2 capital
9,422
9,504
(1)
11,419
(17)
11,726
(20)
Total capital
52,531
53,281
(1)
53,091
(1)
53,658
(2)
CET1 capital ratio(%)²
14.2
14.3
(18)
14.2
(8)
14.2
(7)
Total capital ratio(%)²
20.3
20.5
(19)
21.5
(116)
21.6
(122)
Leverage ratio (%)²
4.6
4.7
(9)
4.8
(20)
4.7
(6)

1  Variance is increase/(decrease) comparing current reporting period to prior reporting periods

2  Change is the basis points (bps) difference between the two periods rather than the percentage change

The Group's CET1 ratio of 14.2 per cent was 18 basis points lower compared to 30 June 2025 primarily reflecting underlying profit accretion, lower RWA and impact of share buyback. CET1 remains 3.9 percentage points above the Group's latest regulatory minimum CET1 requirement. The Group's Pillar 2A reduced in the third quarter post a supervisory review resulting in a 22 basis points reduction in the Group's CET1 requirement.

CET1 accretion from profits was 50 basis points while lower RWA added 3 basis points to the ratio. Changes in FX, fair value gains in other comprehensive income and certain regulatory capital adjustments increased CET1 by a further 9 basis points.

The Group is part way through the $1.3 billion share buyback programme which it announced on 31 July 2025, and by 30 September 2025 had spent $413 million purchasing 22million ordinary shares, reducing the share count by approximately 1 per cent. Even though the share buyback was still ongoing on 30 September 2025, the entire $1.3 billion is deducted from CET1 in the period, equivalent to a 50 basis points reduction in the CET1 ratio.

The Group is accruing the foreseeable dividend in respect of the final 2025 ordinary share dividend in the third quarter. This is not an indication of the Group's final 2025 ordinary share dividend, which will be proposed by the Board at the presentation of the 2025 full year results. The increase in the foreseeable dividend for ordinary dividend and AT1 coupons reduced the CET1 ratio by 30 basis points.

The Group's leverage ratio of 4.6 per cent is 9 basis points lower than as of 30 June 2025. The Group's leverage ratio remains significantly above its minimum requirement of 3.7 per cent.

 

Page 11

Supplementary financial information

 

Underlying performance by client segment

Q3'25
Q3'241
Corporate & Investment Banking
 $million
Wealth &
 Retail Banking
 $million
Ventures
 $million
Central &
 other items
 $million
Total
 $million
Corporate & Investment Banking
 $million
Wealth &
 Retail Banking
 $million
Ventures
 $million
Central &
 other items
 $million
Total
 $million
Operating income
2,970
2,252
39
(114)
5,147
2,910
2,096
43
(145)
4,904
External
2,733
1,032
39
1,343
5,147
2,569
914
43
1,378
4,904
Inter-segment
237
1,220
-
(1,457)
-
341
1,182
-
(1,523)
-
Operating expenses
(1,583)
(1,212)
(116)
(42)
(2,953)
(1,512)
(1,168)
(119)
(41)
(2,840)
Operating profit/(loss) before impairment losses and taxation
1,387
1,040
(77)
(156)
2,194
1,398
928
(76)
(186)
2,064
Credit impairment
(64)
(107)
(13)
(11)
(195)
10
(180)
(16)
8
(178)
Other impairment
(4)
(3)
(15)
2
(20)
(49)
(11)
(1)
(31)
(92)
(Loss)/profit from associates and joint ventures
-
-
(9)
15
6
-
-
(5)
18
13
Underlying profit/(loss) before taxation
1,319
930
(114)
(150)
1,985
1,359
737
(98)
(191)
1,807
Restructuring & Other items
(145)
(69)
(1)
(4)
(219)
(36)
(43)
-
(6)
(85)
Reported profit/(loss) before taxation
1,174
861
(115)
(154)
1,766
1,323
694
(98)
(197)
1,722
Total assets
499,829
131,164
7,850
274,807
913,650
479,518
125,912
5,886
260,857
872,173
Of which: loans and advances to customers
202,157
127,423
1,631
16,355
347,566
189,854
122,636
1,231
26,300
340,021
Loans and advances to customers
139,722
127,419
1,631
16,355
285,127
137,098
122,628
1,231
26,300
287,257
Loans held at fair value through profit or loss
62,435
4
-
-
62,439
52,756
8
-
-
52,764
Total liabilities
494,081
250,884
6,122
109,343
860,430
490,017
218,765
4,972
105,683
819,437
Of which: customer accounts2
329,011
246,528
5,798
4,061
585,398
315,749
214,430
4,702
5,140
540,021
Risk-weighted assets
175,434
58,373
3,385
21,186
258,378
163,669
60,534
2,195
22,526
248,924
Income return on risk-weighted assets (%)
6.8
15.6
4.7
(2.1)
8.0
7.1
14.2
7.9
(2.7)
8.0
Underlying return on tangible equity (%)
13.1
35.6
nm
(20.9)
13.4
15.0
24.6
nm
(26.1)
10.8
Cost to income ratio (%)
53.3
53.8
nm
nm
57.4
52.0
55.7
nm
nm
57.9

1  Underlying profit before taxation has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reallocation of Treasury income and certain costs across segments

2  Customer accounts includes FVTPL and repurchase agreements

 

Page 12

Supplementary financial information continued

 

Corporate & Investment Banking

Q3'25
 $million
Q3'243,4
 $million
Change1
 %
Constant currency change1,2
 %
Q2'25
 $million
Change1
 %
Constant currency change1,2
 %
YTD'25
 $million
YTD'24
 $million
Change1
 %
Constant currency change1,2
 %
Transaction Services
1,488
1,572
(5)
(6)
1,469
1
1
4,484
4,768
(6)
(6)
Payments & Liquidity
1,016
1,112
(9)
(9)
1,013
-
-
3,090
3,412
(9)
(9)
Securities & Prime Services
166
156
6
7
158
5
5
475
450
6
6
Trade & Working Capital
306
304
1
-
298
3
2
919
906
1
2
Global Banking
588
475
24
23
548
7
7
1,684
1,435
17
17
Lending & Financial Solutions
496
407
22
21
476
4
3
1,424
1,243
15
15
Capital Markets & Advisory
92
68
35
33
72
28
29
260
192
35
35
Global Markets
848
840
1
1
1,172
(28)
(28)
3,203
2,677
20
20
Macro Trading
678
683
(1)
(1)
961
(29)
(30)
2,617
2,198
19
19
Credit Trading
206
174
18
18
187
10
10
615
506
22
22
Valuation & Other Adj
(36)
(17)
(112)
(100)
24
nm
nm
(29)
(27)
(7)
(7)
Treasury & Other
46
23
100
96
72
(36)
(39)
182
224
(19)
(17)
Operating income4
2,970
2,910
2
2
3,261
(9)
(9)
9,553
9,104
5
5
Operating expenses
(1,583)
(1,512)
(5)
(4)
(1,602)
1
1
(4,738)
(4,557)
(4)
(3)
Operating profit before impairment losses and taxation
1,387
1,398
(1)
(1)
1,659
(16)
(17)
4,815
4,547
6
7
Credit impairment
(64)
10
nm
nm
44
nm
nm
(50)
64
(178)
(188)
Other impairment
(4)
(49)
92
92
(1)
nm
nm
(4)
(154)
97
97
Profit from associates and joint ventures
-
-
nm
nm
(1)
nm
nm
-
-
nm
nm
Underlying profit before taxation
1,319
1,359
(3)
(3)
1,701
(22)
(23)
4,761
4,457
7
8
Restructuring & Other items
(145)
(36)
nm
nm
(49)
(196)
(188)
(291)
(113)
(158)
(160)
Reported profit before taxation
1,174
1,323
(11)
(11)
1,652
(29)
(30)
4,470
4,344
3
4
Total assets
499,829
479,518
4
5
512,928
(3)
(3)
499,829
479,518
4
5
Of which: loans and advances
 to customers5
202,157
189,854
6
7
204,812
(1)
(1)
202,157
189,854
6
7
Total liabilities
494,081
490,017
1
1
507,646
(3)
(2)
494,081
490,017
1
1
Of which: customer accounts6
329,011
315,749
4
5
332,952
(1)
(1)
329,011
315,749
4
5
Risk-weighted assets
175,434
163,669
7
nm
182,129
(4)
nm
175,434
163,669
7
nm
Income return on risk-weighted
 assets (%)7
6.8
7.1
(30)
nm
7.3
(50)
nm
7.3
7.4
(10)
nm
Underlying return on tangible
 equity (%)7
13.1
15.0
(190)
nm
19.4
(630)
nm
17.4
16.5
90
nm
Cost to income ratio (%)8
53.3
52.0
(1.3)
(1.0)
49.1
(4.2)
(4.5)
49.6
50.1
0.5
0.8

1  Variance is better/(worse), except for risk-weighted assets, assets and liabilities which is increase/(decrease)

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

3  Segment results have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

4  Products have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

5  Loans and advances to customers includes FVTPL and reverse repurchase agreements

6  Customer accounts includes FVTPL and repurchase agreements

7  Change is the basis points (bps) difference between the two periods rather than the percentage change

8  Change is the percentage points difference between the two periods rather than the percentage change

Page 13

Supplementary financial information continued

 

Performance highlights

•  Underlying profit before tax of $1,319 million was down 3 per cent year-on-year at constant currency (ccy), mainly due to higher operating expenses and credit impairment partly offset by higher operating income.

•  Operating income of $2,970 million was $60 million higher, 2 per cent up at ccy, primarily driven by a record Global Banking performance, up 23 per cent at ccy, due to higher origination and distribution volumes in addition to capturing the rebound in Capital Markets and Advisory activity. Global Markets income increased 1 per cent as strong flow income was partially offset by lower episodic income due to non-repeat of prior year gains in Rates. Transaction Services income fell 6 per cent at ccy as the benefit of increased liability balances was more than offset by margin compression due to lower interest rates impacting Payments & Liquidity while Securities & Prime Services grew 7 per cent benefitting from increased deposit balances.

•  Underlying operating expenses rose 4 per cent at ccy, largely due to investments in strategic growth initiatives, higher performance-related pay and deposit insurance premium reclassification.

•  Credit impairment charges of $64 million were up $74 million, primarily due to a non-repeat of prior-year releases. Other impairment reduction of $45 million year-on-year due to a non-repeat of software asset write-off.

•  Risk-weighted assets (RWA) of $175 billion was up $11 billion year-on-year driven mainly by business growth in Banking and Markets.

   

 

Page 14

Supplementary financial information continued

 

Wealth & Retail Banking

Q3'25
 $million
Q3'243,4
 $million
Change1
 %
Constant currency change1,2
 %
Q2'25
 $million
Change1
 %
Constant currency change1,2
 %
YTD'25
 $million
YTD'243,4
 $million
Change1
 %
Constant currency change1,2
 %
Wealth Solutions
890
694
28
27
742
20
20
2,409
1,928
25
25
Investment Products
691
507
36
35
544
27
27
1,794
1,375
30
30
Bancassurance
199
187
6
5
198
1
-
615
553
11
12
Deposits & Mortgages
1,034
1,051
(2)
(1)
990
4
4
3,030
3,112
(3)
(2)
CCPL & Other Unsecured Lending
277
281
(1)
(2)
282
(2)
(3)
816
811
1
1
Treasury & Other
51
70
(27)
(29)
38
34
35
159
129
23
23
Operating income4
2,252
2,096
7
7
2,052
10
9
6,414
5,980
7
7
Operating expenses
(1,212)
(1,168)
(4)
(5)
(1,248)
3
3
(3,641)
(3,422)
(6)
(6)
Operating profit before impairment losses and taxation
1,040
928
12
10
804
29
29
2,773
2,558
8
9
Credit impairment
(107)
(180)
41
41
(153)
30
31
(439)
(447)
2
1
Other impairment
(3)
(11)
73
67
1
nm
nm
(6)
(38)
84
86
Underlying profit before taxation
930
737
26
23
652
43
43
2,328
2,073
12
13
Restructuring & Other Items
(69)
(43)
(60)
(66)
(55)
(25)
(24)
(199)
(238)
16
14
Reported profit before taxation
861
694
24
21
597
44
44
2,129
1,835
16
17
Total assets
131,164
125,912
4
5
129,591
1
2
131,164
125,912
4
5
Of which: loans and advances
 to customers5
127,423
122,636
4
5
126,712
1
2
127,423
122,636
4
5
Total liabilities
250,884
218,765
15
16
244,591
3
3
250,884
218,765
15
16
Of which: customer accounts6
246,528
214,430
15
16
240,612
2
3
246,528
214,430
15
16
Risk-weighted assets
58,373
60,534
(4)
nm
57,610
1
nm
58,373
60,534
(4)
nm
Income return on risk-weighted
 assets (%)7
15.6
14.2
140
nm
14.7
90
nm
15.1
13.5
160
nm
Underlying return on tangible
 equity (%)7
35.6
24.6
1,100
nm
24.0
1,160
nm
28.7
22.9
580
nm
Cost to income ratio (%)8
53.8
55.7
1.9
1.3
60.8
7.0
7.1
56.8
57.2
0.4
0.7

1  Variance is better/(worse), except for risk-weighted assets, assets and liabilities which is increase/(decrease)

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

3  Segment results have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

4  Products have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

5  Loans and advances to customers includes FVTPL and reverse repurchase agreements

6  Customer accounts includes FVTPL and repurchase agreements

7  Change is the basis points (bps) difference between the two periods rather than the percentage change

8  Change is the percentage points difference between the two periods rather than the percentage change

 

Page 15

Supplementary financial information continued

 

Performance highlights

•  Underlying profit before tax of $930 million was up 23 per cent at constant currency (ccy) mainly driven by higher income and lower impairments, partially offset by higher operating expenses.

•  Operating income of $2,252 million was up 7 per cent at ccy, primarily driven by a strong 27 per cent growth in Wealth Solutions primarily in Investment Products which registered robust growth on the back of continued investment in product innovation, advisory capabilities and digital build. The growth is also supported by $13 billion of affluent net-new-money and 67,000 affluent new-to-bank clients onboarded during the quarter.

•  Operating expenses increased 5 per cent at ccy, reflecting continued investment in our affluent strategy, including the hiring of relationship managers, and investments into new products, capabilities and platforms, partly offset by efficiency savings from the Fit for Growth programme.

•  Credit impairment charges reduced by $73 million driven by the reduction in unsecured exposures from portfolio optimisation actions.

•  Risk-weighted assets (RWA) of $58 billion reduced $2 billion year-on-year primarily due to reductions in Unsecured Lending portfolios, partially offset by increase in Wealth Lending and Secured Lending portfolio reflecting growth in asset balances.

  

 

Page 16

Supplementary financial information continued

 

Ventures

Q3'25
 $million
Q3'243 $million
Change1
 %
Constant currency change1,2
 %
Q2'25
 $million
Change1
 %
Constant currency change1,2
 %
YTD'25
 $million
YTD'243
 $million
Change1
 %
Constant currency change1,2
 %
Digital Banks
49
39
26
20
46
7
4
137
101
36
35
SCV
(10)
4
nm
nm
232
(104)
(105)
222
22
nm
nm
Operating income
39
43
(9)
(14)
278
(86)
(86)
359
123
192
191
Operating expenses
(116)
(119)
3
2
(127)
9
9
(355)
(347)
(2)
(2)
Operating (loss)/profit before impairment losses and taxation
(77)
(76)
(1)
(5)
151
(151)
(151)
4
(224)
102
102
Credit impairment
(13)
(16)
19
13
(14)
7
13
(37)
(59)
37
37
Other impairment
(15)
(1)
nm
nm
-
nm
nm
(15)
(1)
nm
nm
Loss from associates and joint ventures
(9)
(5)
(80)
(80)
(7)
(29)
(50)
(20)
(11)
(82)
(82)
Underlying (loss)/profit before taxation
(114)
(98)
(16)
(21)
130
(188)
(187)
(68)
(295)
77
77
Restructuring & Other items
(1)
-
nm
nm
(1)
-
nm
(2)
(1)
(100)
(100)
Reported (loss)/profit before taxation
(115)
(98)
(17)
(22)
129
(189)
(188)
(70)
(296)
76
76
Total assets
7,850
5,886
33
30
7,534
4
4
7,850
5,886
33
30
Of which: loans and advances
 to customers4
1,631
1,231
32
33
1,555
5
5
1,631
1,231
32
33
Total liabilities
6,122
4,972
23
24
6,010
2
2
6,122
4,972
23
24
Of which: customer accounts5
5,798
4,702
23
24
5,718
1
2
5,798
4,702
23
24
Risk-weighted assets
3,385
2,195
54
nm
3,288
3
nm
3,385
2,195
54
nm
Income return on risk-weighted
 assets (%)6
4.7
7.9
(320)
nm
39.8
nm
nm
16.6
8.1
850
nm
Underlying return on tangible
 equity (%)6
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm
Cost to income ratio (%)7
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm

1  Variance is better/(worse), except for risk-weighted assets, assets and liabilities which is increase/(decrease)

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

3  Segment results have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

4  Loans and advances to customers includes FVTPL

5  Customer accounts includes FVTPL

6  Change is the basis points (bps) difference between the two periods rather than the percentage change

7  Change is the percentage points difference between the two periods rather than the percentage change

Performance highlights

•  Underlying loss before tax increased by $16 million to $114 million mainly driven by higher other impairments offsetting strong growth in Digital Banks.

•  Digital Banks income was up 20 per cent at constant currency (ccy), driven by growth in credit cards, personal loans and deposits, partially offsetting lower SCV income.

•  Other impairment charges increased $14 million, largely from SCV.

   

 

Page 17

Supplementary financial information continued

 

Central & other items

Q3'25
 $million
Q3'243,4
 $million
Change1
 %
Constant currency change1,2
 %
Q2'25
 $million
Change1
 %
Constant currency change1,2
 %
YTD'25
 $million
YTD'243,4
 $million
Change1
 %
Constant currency change1,2
 %
Treasury & Other4
(114)
(145)
21
23
(82)
(39)
(37)
(280)
(345)
19
25
Operating income
(114)
(145)
21
23
(82)
(39)
(37)
(280)
(345)
19
25
Operating expenses
(42)
(41)
(2)
(10)
(73)
42
43
(184)
(187)
2
1
Operating loss before impairment losses and taxation
(156)
(186)
16
16
(155)
(1)
1
(464)
(532)
13
17
Credit impairment
(11)
8
nm
nm
6
nm
nm
(5)
15
(133)
(133)
Other impairment
2
(31)
106
106
(3)
167
167
(4)
(42)
90
91
Profit from associates and
 joint ventures
15
18
(17)
(17)
72
(79)
(78)
117
88
33
33
Underlying loss before taxation
(150)
(191)
21
22
(80)
(88)
(74)
(356)
(471)
24
28
Restructuring & Other items5
(4)
(6)
33
64
(18)
78
79
(24)
(198)
88
88
Reported loss before taxation
(154)
(197)
22
24
(98)
(57)
(46)
(380)
(669)
43
46
Total assets
274,807
260,857
5
6
263,883
4
5
274,807
260,857
5
6
Of which: loans and advances
 to customers6
16,355
26,300
(38)
(37)
17,539
(7)
(6)
16,355
26,300
(38)
(37)
Total liabilities
109,343
105,683
3
4
101,019
8
8
109,343
105,683
3
4
Of which: customer accounts7
4,061
5,140
(21)
(19)
2,851
42
44
4,061
5,140
(21)
(19)
Risk-weighted assets
21,186
22,526
(6)
nm
16,657
nm
nm
21,186
22,526
(6)
nm
Income return on risk-weighted
 assets (%)8
(2.1)
(2.7)
60
nm
(1.6)
(50)
nm
(1.8)
(2.0)
20
nm
Underlying return on tangible
 equity (%)8
(20.9)
(26.1)
520
nm
(3.2)
(1,770)
nm
(16.1)
(16.0)
(10)
nm
Cost to income ratio (%)9
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm
nm

1  Variance is better/(worse), except for risk-weighted assets, assets and liabilities which is increase/(decrease)

2  Comparisons presented on the basis of the current period's transactional currency rate, ensuring like-for-like currency rates between the two periods

3  Segment results have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

4  Products have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

5  Other items in H1 2024 includes $174 million primarily relating to recycling of FX translation losses from reserves into profit and loss on the sale of Zimbabwe

6  Loans and advances to customers includes FVTPL

7  Customer accounts includes FVTPL

8  Change is the basis points (bps) difference between the two periods rather than the percentage change

9  Change is the percentage points difference between the two periods rather than the percentage change

Performance highlights

•  Underlying loss before taxation decreased to $150 million compared to the prior year loss of $191 million, mainly from improved operating income and lower impairments, partly offset by lower profit from associates and joint ventures.

•  Income for the quarter was $31 million higher year-on-year, mainly driven by improved yields from longer dated Treasury assets.

•  Impairments were lower year-on-year as a non-repeat of prior year software impairment was partly offset by a non-repeat of prior year credit impairment releases.

•  The reduced profit from associates and joint ventures mainly stems from a reduction in profits recognised from China Bohai Bank.

 

 

Page 18

Supplementary financial information continued

 

Underlying performance by key market

Q3'25
Hong Kong
 $million
Korea
 $million
China
 $million
Taiwan
 $million
Singapore
 $million
India
 $million
UAE
 $million
UK
 $million
US
 $million
Other
 $million
Group
 $million
Operating income
1,220
280
295
163
745
350
319
369
317
1,089
5,147
Operating expenses
(618)
(204)
(209)
(91)
(431)
(226)
(166)
(197)
(161)
(650)
(2,953)
Operating profit before impairment losses and taxation
602
76
86
72
314
124
153
172
156
439
2,194
Credit impairment
(69)
(17)
(14)
(3)
(33)
(3)
9
34
(71)
(28)
(195)
Other impairment
(1)
-
(2)
-
(1)
(1)
-
6
-
(21)
(20)
Profit/(loss) from associates and
 joint ventures
-
-
16
-
(2)
-
-
(2)
-
(6)
6
Underlying profit before taxation
532
59
86
69
278
120
162
210
85
384
1,985
Total assets employed
210,684
53,179
43,925
22,342
120,605
33,140
22,003
239,384
75,023
93,365
913,650
Of which: loans and advances
 to customers3
91,282
30,034
14,475
11,689
62,432
13,224
8,554
57,866
25,058
32,952
347,566
Total liabilities employed
213,178
44,987
37,721
20,092
115,859
24,792
19,202
251,869
50,345
82,385
860,430
Of which: customer accounts4
187,204
36,214
31,696
18,467
101,193
15,920
16,605
94,972
21,292
61,835
585,398

 

Q3'241
Hong Kong
 $million
Korea
 $million
China
 $million
Taiwan
 $million
Singapore
 $million
India
 $million
UAE
 $million
UK
 $million
US
 $million
Other
 $million
Group
 $million
Operating income
1,233
252
382
156
655
423
270
252
250
1,031
4,904
Operating expenses
(549)
(163)
(217)
(86)
(335)
(251)
(138)
(347)
(137)
(617)
(2,840)
Operating profit/(loss) before impairment losses and taxation
684
89
165
70
320
172
132
(95)
113
414
2,064
Credit impairment
(81)
(28)
(36)
(8)
(5)
(17)
23
30
2
(58)
(178)
Other impairment
(45)
-
(12)
-
64
(23)
(16)
(28)
(14)
(18)
(92)
Profit/(loss) from associates and
 joint ventures
-
-
15
-
1
-
-
-
-
(3)
13
Underlying profit/(loss) before taxation1
558
61
132
62
380
132
139
(93)
101
335
1,807
Total assets employed2
205,361
50,124
46,175
22,975
109,731
35,230
21,630
241,153
57,979
81,815
872,173
Of which: loans and advances
 to customers3
85,875
28,153
15,419
11,991
68,466
13,517
8,202
61,715
17,077
29,606
340,021
Total liabilities employed2
201,553
41,544
37,896
19,577
97,165
27,187
19,276
254,788
42,810
77,641
819,437
Of which: customer accounts4
165,991
32,063
28,228
17,722
86,190
20,006
16,492
95,670
17,678
59,981
540,021

1  Underlying profit before taxation has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025

2  Balance sheet numbers have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 reflecting change from management basis to financial basis

3  Loans and advances to customers includes FVTPL and reverse repurchase agreements

4  Customer deposits includes FVTPL and repurchase agreements

Page 19

Supplementary financial information continued

 

Q2'25
Hong Kong
 $million
Korea
 $million
China
 $million
Taiwan
 $million
Singapore
 $million
India
 $million
UAE
 $million
UK
 $million
US
 $million
Other
 $million
Group
 $million
Operating income
1,414
299
320
135
927
381
301
404
288
1,040
5,509
Operating expenses
(599)
(182)
(206)
(86)
(412)
(224)
(172)
(398)
(126)
(645)
(3,050)
Operating profit before impairment losses and taxation
815
117
114
49
515
157
129
6
162
395
2,459
Credit impairment
(79)
(10)
(22)
(7)
(24)
(11)
13
31
2
(10)
(117)
Other impairment
-
-
-
-
-
(1)
-
-
-
(2)
(3)
Profit/(loss) from associates and
 joint ventures
-
-
69
-
-
-
-
(1)
-
(4)
64
Underlying profit before taxation
736
107
161
42
491
145
142
36
164
379
2,403
Total assets employed
209,923
53,654
45,573
24,526
114,423
33,336
21,902
265,713
56,506
88,380
913,936
Of which: loans and advances
 to customers1
86,140
31,328
15,243
12,628
65,063
13,616
8,464
65,615
22,039
30,482
350,618
Total liabilities employed
214,165
45,178
38,422
21,401
109,253
25,260
18,323
258,501
47,405
81,358
859,266
Of which: customer accounts2
187,036
35,057
30,959
18,841
99,094
17,383
15,471
99,032
18,277
60,983
582,133

1  Loans and advances to customers includes FVTPL and reverse repurchase agreements

2  Customer deposits includes FVTPL and repurchase agreements

Quarterly underlying operating income by product

Q3'25
 $million
Q2'25
 $million
Q1'25
 $million
Q4'241
 $million
Q3'241
 $million
Q2'241
 $million
Q1'241
 $million
Q4'231
 $million
Transaction Services
1,488
1,469
1,527
1,666
1,572
1,593
1,603
1,647
Payments & Liquidity
1,016
1,013
1,061
1,193
1,112
1,139
1,161
1,207
Securities & Prime Services
166
158
151
161
156
153
141
140
Trade & Working Capital
306
298
315
312
304
301
301
300
Global Banking
588
548
548
500
475
488
472
400
Lending & Financial Solutions
496
476
452
434
407
422
414
358
Capital Markets & Advisory
92
72
96
66
68
66
58
42
Global Markets
848
1,172
1,183
773
840
796
1,041
534
Macro Trading
678
961
978
654
683
631
884
463
Credit Trading
206
187
222
138
174
165
167
92
Valuation & Other Adj
(36)
24
(17)
(19)
(17)
-
(10)
(21)
Wealth Solutions
890
742
777
562
694
618
616
412
Investment Products
691
544
559
452
507
444
424
298
Bancassurance
199
198
218
110
187
174
192
114
Deposits & Mortgages
1,034
990
1,006
1,058
1,051
1,041
1,020
1,008
CCPL & Other Unsecured Lending
277
282
257
270
281
270
260
259
Ventures
39
278
42
60
43
48
32
32
Digital Banks
49
46
42
41
39
33
29
26
SCV
(10)
232
-
19
4
15
3
6
Treasury & Other
(17)
28
50
(55)
(52)
(48)
108
(268)
Total underlying operating income
5,147
5,509
5,390
4,834
4,904
4,806
5,152
4,024

1  Products have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 with no change in total income

Page 20

Supplementary financial information continued

 

Earnings per ordinary share

Q3'25
 $million
Q3'24
 $million
Change
 %
Q2'25
 $million
Change
 %
YTD'25
 $million
YTD'24
 $million
Change
 %
Profit for the period attributable to equity holders
1,298
1,147
13
1,734
(25)
4,624
3,516
32
Non-controlling interest
2
3
(33)
(15)
nm
(15)
12
nm
Dividend payable on preference shares and AT1 classified as equity
(272)
(219)
(24)
(11)
nm
(516)
(428)
(21)
Profit for the period attributable to ordinary shareholders
1,028
931
10
1,708
(40)
4,093
3,100
32
Items normalised1:
Restructuring
54
102
(47)
40
35
191
166
15
FFG
138
(11)
nm
87
59
298
75
nm
DVA
27
(5)
nm
(9)
nm
22
21
5
Net (gain)/loss on sale of businesses
-
(1)
nm
5
nm
5
188
(97)
Other items
-
-
nm
-
nm
-
100
nm
Tax on normalised items
(39)
(11)
nm
(26)
(50)
(94)
(78)
(21)
Underlying profit attributable to ordinary shareholders
1,208
1,005
20
1,805
(33)
4,515
3,572
26
Basic - Weighted average number of shares (millions)
2,310
2,527
(9)
2,355
(2)
2,353
2,579
(9)
Diluted - Weighted average number of shares (millions)
2,381
2,595
(8)
2,422
(2)
2,422
2,644
(8)
Basic earnings per ordinary share (cents)²
44.5
36.8
7.7
72.5
(28.0)
173.9
120.2
53.7
Diluted earnings per ordinary share (cents)²
43.2
35.9
7.3
70.5
(27.3)
169.0
117.2
51.8
Underlying basic earnings per ordinary share (cents)²
52.3
39.8
12.5
76.6
(24.3)
191.9
138.5
53.4
Underlying diluted earnings per ordinary share (cents)²
50.7
38.7
12.0
74.5
(23.8)
186.4
135.1
51.3

1   Refer Profit before taxation (PBT) table in underlying versus reported results reconciliation

2   Change is the difference between the two periods rather than the percentage change

Page 21

Supplementary financial information continued

 

Return on Tangible Equity

Q3'25
 $million
Q3'24
 $million
Change
 %
Q2'25
 $million
Change
 %
YTD'25
 $million
YTD'24
 $million
Change
 %
Average parent company Shareholders' Equity
46,490
44,836
4
45,645
2
45,536
44,417
3
Less Average preference share capital and share premium
(1,494)
(1,494)
-
(1,494)
-
(1,494)
(1,494)
-
Less Average intangible assets
(6,118)
(6,191)
1
(5,965)
(3)
(5,966)
(6,187)
4
Average Ordinary Shareholders' Tangible Equity
38,878
37,151
5
38,186
2
38,076
36,736
4
Profit for the period attributable to equity holders
1,298
1,147
13
1,734
(25)
4,624
3,516
32
Non-controlling interests
2
3
(33)
(15)
nm
(15)
12
nm
Dividend payable on preference shares and AT1 classified as equity
(272)
(219)
(24)
(11)
nm
(516)
(428)
(21)
Profit for the period attributable to ordinary shareholders
1,028
931
10
1,708
(40)
4,093
3,100
32
Items normalised1:
Restructuring
54
102
(47)
40
35
191
166
15
FFG
138
(11)
nm
87
59
298
75
nm
DVA
27
(5)
nm
(9)
nm
22
21
5
Net (gain)/loss on sale of businesses
-
(1)
nm
5
nm
5
188
(97)
Ventures FVOCI unrealised loss/(gain) net of tax
102
3
nm
72
42
174
(12)
nm
Other items
-
-
nm
-
nm
-
100
nm
Tax on normalised items
(39)
(11)
nm
(26)
(50)
(94)
(78)
(21)
Underlying profit for the period attributable to ordinary shareholders
1,310
1,008
30
1,877
(30)
4,689
3,560
32
Underlying return on tangible equity2
13.4%
10.8%
260
19.7%
(630)
16.5%
12.9%
360
Reported return on tangible equity2
10.5%
10.0%
50
17.9%
(740)
14.4%
11.3%
310

1  Refer Profit before taxation (PBT) table in underlying versus reported results reconciliation

2  Change is the basis points (bps) difference between the two periods rather than the percentage change

Net Tangible Asset Value per share

30.09.25
 $million
30.09.24
 $million
Change
 %
30.06.25
 $million
Change
 %
31.12.24
 $million
Change
 %
Parent company shareholders' equity
46,250
45,259
2
46,730
(1)
44,388
4
Less Preference share capital and share premium
(1,494)
(1,494)
-
(1,494)
-
(1,494)
-
Less Intangible assets
(6,145)
(6,279)
2
(6,091)
(1)
(5,791)
(6)
Net shareholders tangible equity
38,611
37,486
3
39,145
(1)
37,103
4
Ordinary shares in issue, excluding own shares (millions)
2,293
2,484
(8)
2,330
(2)
2,408
(5)
Net Tangible Asset Value per share (cents)1
1,684
1,509
175
1,680
4
1,541
143

1 Change is cents difference between the two periods rather than the percentage change

 

Page 22

Underlying versus reported results reconciliations

 

Reconciliations between underlying and reported results are set out in the tables below:

Operating income by client segment

Q3'25
Q3'24
Corporate & Investment Banking
 $million
Wealth &
 Retail Banking
 $million
Ventures
 $million
Central &
 other items
 $million
Total
 $million
Corporate & Investment Banking1
 $million
Wealth & Retail Banking1
 $million
Ventures
 $million
Central & Other items1
 $million
Total
 $million
Underlying operating income
2,970
2,252
39
(114)
5,147
2,910
2,096
43
(145)
4,904
Restructuring
(6)
(4)
-
-
(10)
37
6
-
(3)
40
DVA
(27)
-
-
-
(27)
5
-
-
-
5
Other items
-
-
-
-
-
-
-
-
1
1
Reported operating income
2,937
2,248
39
(114)
5,110
2,952
2,102
43
(147)
4,950

1  Underlying profit before taxation has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reallocation of Treasury income and certain costs across segments

Net interest income and Non NII

Q3'25
Q3'24
Underlying
 $million
Restructuring
 $million
Adjustment for Trading book funding cost and Others
 $million
Reported
 $million
Underlying1
 $million
Restructuring
 $million
Adjustment for Trading book funding cost and Others1
 $million
Reported
 $million
Net interest income
2,737
-
(1,329)
1,408
2,769
-
(1,287)
1,482
Non NII
2,410
(37)
1,329
3,702
2,135
46
1,287
3,468
Total income
5,147
(37)
-
5,110
4,904
46
-
4,950

1  Underlying net interest income has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reclassification of funding cost mismatches to Underlying Non NII

Profit before taxation (PBT)

Q3'25
Underlying
 $million
Restructuring
 $million
FFG
 $million
DVA
 $million
Other items
 $million
Reported
 $million
Operating income
5,147
(10)
-
(27)
-
5,110
Operating expenses
(2,953)
(57)
(134)
-
-
(3,144)
Operating profit/(loss) before impairment losses
 and taxation
2,194
(67)
(134)
(27)
-
1,966
Credit impairment
(195)
7
-
-
-
(188)
Other impairment
(20)
2
(4)
-
-
(22)
Profit from associates and joint ventures
6
4
-
-
-
10
Profit/(loss) before taxation
1,985
(54)
(138)
(27)
-
1,766
Q3'24
Underlying
 $million
Restructuring1
 $million
FFG1
 $million
DVA
 $million
Other items
 $million
Reported
 $million
Operating income
4,904
40
-
5
1
4,950
Operating expenses
(2,840)
(142)
11
-
-
(2,971)
Operating profit/(loss) before impairment losses
 and taxation
2,064
(102)
11
5
1
1,979
Credit impairment
(178)
-
-
-
-
(178)
Other impairment
(92)
4
-
-
-
(88)
Profit/(loss) from associates and joint ventures
13
(4)
-
-
-
9
Profit/(loss) before taxation
1,807
(102)
11
5
1
1,722


1  FFG (Fit for Growth) charge previously reported within Restructuring has been re-presented as a separate item

Page 23

Underlying versus reported results reconciliations continued

 

Profit before taxation (PBT) by client segment

Q3'25
Q3'24
Corporate & Investment Banking
 $million
Wealth &
 Retail Banking
 $million
Ventures
 $million
Central &
 Other items
 $million
Total
 $million
Corporate & Investment Banking1
 $million
Wealth &
 Retail Banking1
 $million
Ventures
 $million
Central &
 Other items1
 $million
Total
 $million
Operating income
2,970
2,252
39
(114)
5,147
2,910
2,096
43
(145)
4,904
External
2,733
1,032
39
1,343
5,147
2,569
914
43
1,378
4,904
Inter-segment
237
1,220
-
(1,457)
-
341
1,182
-
(1,523)
-
Operating expenses
(1,583)
(1,212)
(116)
(42)
(2,953)
(1,512)
(1,168)
(119)
(41)
(2,840)
Operating profit/(loss) before impairment losses and taxation
1,387
1,040
(77)
(156)
2,194
1,398
928
(76)
(186)
2,064
Credit impairment
(64)
(107)
(13)
(11)
(195)
10
(180)
(16)
8
(178)
Other impairment
(4)
(3)
(15)
2
(20)
(49)
(11)
(1)
(31)
(92)
Profit/(loss) from associates and joint ventures
-
-
(9)
15
6
-
-
(5)
18
13
Underlying profit/(loss) before taxation
1,319
930
(114)
(150)
1,985
1,359
737
(98)
(191)
1,807
Restructuring & Other items
(145)
(69)
(1)
(4)
(219)
(36)
(43)
-
(6)
(85)
Reported profit/(loss) before taxation
1,174
861
(115)
(154)
1,766
1,323
694
(98)
(197)
1,722

1 Underlying profit before taxation has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reallocation of Treasury income and certain costs across segments

Earnings per ordinary share (EPS)

Q3'25
Underlying
 $ million
Restructuring
 $ million
FFG
 $ million
DVA
 $ million
Net loss on sale of business
 $ million
Tax on normalised items
 $ million
Reported
 $ million
Profit for the period attributable to ordinary shareholders
1,208
(54)
(138)
(27)
-
39
1,028
Basic - Weighted average number of shares (millions)
2,310
2,310
Basic earnings per ordinary share (cents)
52.3
44.5

 

Q3'24
Underlying
 $ million
Restructuring
 $ million
FFG
 $ million
DVA
 $ million
Net loss on sale of business
 $ million
Tax on normalised items
 $ million
Reported
 $ million
Profit for the period attributable to ordinary shareholders
1,005
(102)
11
5
1
11
931
Basic - Weighted average number of shares (millions)
2,527
2,527
Basic earnings per ordinary share (cents)
39.8
36.8

Page 24

Risk review

 

Credit quality by client segment

Amortised cost
30.09.25
Banks
 $million
Customers
Undrawn commitments
 $million
Financial Guarantees
 $million
Corporate & Investment Banking
 $million
Wealth & Retail Banking
 $million
Ventures
 $million
Central & other items
 $million
Customer Total
 $million
Stage 1
44,893
129,366
125,146
1,623
14,902
271,037
193,616
103,424
- Strong
32,702
91,558
119,686
1,605
14,530
227,379
175,444
64,611
- Satisfactory
12,191
37,808
5,460
18
372
43,658
18,172
38,813
Stage 2
696
11,040
1,891
44
-
12,975
3,779
1,594
- Strong
333
2,045
1,409
27
-
3,481
1,144
690
- Satisfactory
250
7,735
150
5
-
7,890
2,445
719
- Higher risk
113
1,260
332
12
-
1,604
190
185
Of which (stage 2):
- Less than 30 days past due
-
498
150
5
-
653
-
-
- More than 30 days past due
2
138
332
12
-
482
-
-
Stage 3, credit-impaired financial assets
35
3,878
1,691
17
11
5,597
694
460
Gross balance¹
45,624
144,284
128,728
1,684
14,913
289,609
198,089
105,478
Stage 1
(8)
(105)
(377)
(27)
-
(509)
(60)
(14)
- Strong
(4)
(42)
(345)
(25)
-
(412)
(40)
(6)
- Satisfactory
(4)
(63)
(32)
(2)
-
(97)
(20)
(8)
Stage 2
-
(378)
(121)
(16)
-
(515)
(30)
(14)
- Strong
-
(14)
(71)
(10)
-
(95)
(7)
(1)
- Satisfactory
-
(296)
(18)
(2)
-
(316)
(13)
(6)
- Higher risk
-
(68)
(32)
(4)
-
(104)
(10)
(7)
Of which (stage 2):
- Less than 30 days past due
-
(8)
(18)
(2)
-
(28)
-
-
- More than 30 days past due
-
(3)
(32)
(4)
-
(39)
-
-
Stage 3, credit-impaired financial assets
(4)
(2,632)
(811)
(10)
(5)
(3,458)
(57)
(97)
Total credit impairment
(12)
(3,115)
(1,309)
(53)
(5)
(4,482)
(147)
(125)
Net carrying value
45,612
141,169
127,419
1,631
14,908
285,127
Stage 1
0.0%
0.1%
0.3%
1.7%
0.0%
0.2%
0.0%
0.0%
- Strong
0.0%
0.0%
0.3%
1.6%
0.0%
0.2%
0.0%
0.0%
- Satisfactory
0.0%
0.2%
0.6%
11.1%
0.0%
0.2%
0.1%
0.0%
Stage 2
0.0%
3.4%
6.4%
36.4%
0.0%
4.0%
0.8%
0.9%
- Strong
0.0%
0.7%
5.0%
37.0%
0.0%
2.7%
0.6%
0.1%
- Satisfactory
0.0%
3.8%
12.0%
40.0%
0.0%
4.0%
0.5%
0.8%
- Higher risk
0.0%
5.4%
9.6%
33.3%
0.0%
6.5%
5.3%
3.8%
Of which (stage 2):
- Less than 30 days past due
0.0%
1.6%
12.0%
40.0%
0.0%
4.3%
0.0%
0.0%
- More than 30 days past due
0.0%
2.2%
9.6%
33.3%
0.0%
8.1%
0.0%
0.0%
Stage 3, credit-impaired financial assets (S3)
11.4%
67.9%
48.0%
58.8%
45.5%
61.8%
8.2%
21.1%
- Stage 3 Collateral
-
275
632
-
-
907
-
19
- Stage 3 Cover ratio (after collateral)
11.4%
75.0%
85.3%
58.8%
45.5%
78.0%
8.2%
25.2%
Cover ratio
0.0%
2.2%
1.0%
3.1%
0.0%
1.5%
0.1%
0.1%
Fair value through profit or loss
Performing
34,566
62,405
4
-
-
62,409
- Strong
28,565
40,715
4
-
-
40,719
- Satisfactory
6,001
21,690
-
-
-
21,690
- Higher risk
-
-
-
-
-
-
Defaulted (CG13-14)
67
30
-
-
-
30
Gross balance (FVTPL)2
34,633
62,435
4
-
-
62,439
Net carrying value (incl FVTPL)
80,245
203,604
127,423
1,631
14,908
347,566


1 Loans and advances includes reverse repurchase agreements and other similar secured lending of $6,162 million under Customers and of $3,870 million under Banks, held at amortised cost

2 Loans and advances includes reverse repurchase agreements and other similar secured lending of $53,018 million under Customers and of $31,831 million under Banks, held at fair value through profit or loss

Page 25

Risk review continued

 

Amortised cost
30.06.25
Banks
 $million
Customers
Undrawn commitments
 $million
Financial Guarantees
 $million
Corporate & Investment Banking
 $million
Wealth & Retail Banking
 $million
Ventures
 $million
Central & other items
 $million
Customer Total
 $million
Stage 1
41,613
129,064
124,273
1,549
18,269
273,155
188,364
101,740
- Strong
28,979
91,162
118,929
1,528
17,799
229,418
171,907
66,028
- Satisfactory
12,634
37,902
5,344
21
470
43,737
16,457
35,712
Stage 2
737
10,374
2,078
47
21
12,520
4,546
1,794
- Strong
41
1,888
1,563
30
-
3,481
1,144
471
- Satisfactory
263
6,845
146
6
-
6,997
3,133
990
- Higher risk
433
1,641
369
11
21
2,042
269
333
Of which (stage 2):
- Less than 30 days past due
-
118
146
6
-
270
-
-
- More than 30 days past due
2
57
369
11
-
437
-
-
Stage 3, credit-impaired financial assets
48
4,421
1,701
14
-
6,136
37
425
Gross balance1
42,398
143,859
128,052
1,610
18,290
291,811
192,947
103,959
Stage 1
(6)
(124)
(403)
(26)
-
(553)
(60)
(16)
- Strong
(3)
(49)
(328)
(24)
-
(401)
(34)
(7)
- Satisfactory
(3)
(75)
(75)
(2)
-
(152)
(26)
(9)
Stage 2
(2)
(306)
(141)
(18)
-
(465)
(37)
(16)
- Strong
-
(6)
(65)
(11)
-
(82)
(4)
-
- Satisfactory
-
(209)
(38)
(2)
-
(249)
(24)
(5)
- Higher risk
(2)
(91)
(38)
(5)
-
(134)
(9)
(11)
Of which (stage 2):
- Less than 30 days past due
-
(11)
(38)
(2)
-
(51)
-
-
- More than 30 days past due
-
-
(38)
(5)
-
(43)
-
-
Stage 3, credit-impaired financial assets
(4)
(3,251)
(800)
(11)
-
(4,062)
(1)
(106)
Total credit impairment
(12)
(3,681)
(1,344)
(55)
-
(5,080)
(98)
(138)
Net carrying value
42,386
140,178
126,708
1,555
18,290
286,731
-
-
Stage 1
0.0%
0.1%
0.3%
1.7%
0.0%
0.2%
0.0%
0.0%
- Strong
0.0%
0.1%
0.3%
1.6%
0.0%
0.2%
0.0%
0.0%
- Satisfactory
0.0%
0.2%
1.4%
9.5%
0.0%
0.3%
0.2%
0.0%
Stage 2
0.3%
2.9%
6.8%
38.3%
0.0%
3.7%
0.8%
0.9%
- Strong
0.0%
0.3%
4.2%
36.7%
0.0%
2.4%
0.3%
0.0%
- Satisfactory
0.0%
3.1%
26.0%
33.3%
0.0%
3.6%
0.8%
0.5%
- Higher risk
0.5%
5.5%
10.3%
45.5%
0.0%
6.6%
3.3%
3.3%
Of which (stage 2):
- Less than 30 days past due
0.0%
9.3%
26.0%
33.3%
0.0%
18.9%
0.0%
0.0%
- More than 30 days past due
0.0%
0.0%
10.3%
45.5%
0.0%
9.8%
0.0%
0.0%
Stage 3, credit-impaired financial assets (S3)
8.3%
73.5%
47.0%
78.6%
0.0%
66.2%
2.7%
24.9%
- Stage 3 Collateral
-
294
656
-
-
950
-
37
- Stage 3 Cover ratio (after collateral)
8.3%
80.2%
85.6%
78.6%
0.0%
81.7%
2.7%
33.6%
Cover ratio
0.0%
2.6%
1.0%
3.4%
0.0%
1.7%
0.1%
0.1%
Fair value through profit or loss
Performing
36,958
63,870
5
-
-
63,875
- Strong
32,385
44,257
4
-
-
44,261
- Satisfactory
4,468
19,524
1
-
-
19,525
- Higher risk
105
89
-
-
-
89
Defaulted (CG13-14)
-
12
-
-
-
12
Gross balance (FVTPL)2
36,958
63,882
5
-
-
63,887
Net carrying value (incl FVTPL)
79,344
204,060
126,713
1,555
18,290
350,618


1 Loans and advances includes reverse repurchase agreements and other similar secured lending of $4,189 million under Customers and of $4,250 million under Banks, held at amortised cost

2 Loans and advances includes reverse repurchase agreements and other similar secured lending of $55,768 million under Customers and of $34,565 million under Banks, held at fair value through profit or loss

 

Page 26

Risk review continued

 

Credit impairment charge

9 months ended 30.09.25
9 months ended 30.09.241
Stage 1 & 2
 $million
Stage 3
 $million
Total
 $million
Stage 1 & 2
 $million
Stage 3
 $million
Total
 $million
Ongoing business portfolio
Corporate & Investment Banking1
128
(78)
50
(16)
(48)
(64)
Wealth & Retail Banking1
112
327
439
220
227
447
Ventures
(6)
43
37
9
50
59
Central & other items1
-
5
5
(14)
(1)
(15)
Credit impairment charge
234
297
531
199
228
427
Restructuring business portfolio
Others
(5)
(2)
(7)
2
(11)
(9)
Credit impairment charge / (release)
(5)
(2)
(7)
2
(11)
(9)
Total credit impairment charge
229
295
524
201
217
418

1  Business segments have been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 with no change in total credit impairment charge

Page 27

Capital review

 

Capital ratios

30.09.25
30.06.25
Change2
31.12.24
Change2
CET1
14.2%
14.3%
(18)
14.2%
(8)
Tier 1 capital
16.7%
16.9%
(17)
16.9%
(18)
Total capital
20.3%
20.5%
(19)
21.5%
(116)

Capital base1

30.09.25
 $million
30.06.25
 $million
Change3
 %
31.12.24
 $million
Change3
 %
CET1 instruments and reserves
Capital instruments and the related share premium accounts
5,135
5,154
-
5,201
(1)
Of which: share premium accounts
3,989
3,989
-
3,989
-
Retained earnings
24,887
26,692
(7)
24,950
-
Accumulated other comprehensive income (and other reserves)
10,180
10,099
1
8,724
17
Non-controlling interests (amount allowed in consolidated CET1)
208
234
(11)
235
(11)
Independently reviewed interim and year-end profits
4,642
3,341
39
4,072
14
Foreseeable dividends
(802)
(570)
41
(923)
(13)
CET1 capital before regulatory adjustments
44,250
44,950
(2)
42,259
5
CET1 regulatory adjustments
Additional value adjustments (prudential valuation adjustments)
(727)
(660)
10
(624)
17
Intangible assets (net of related tax liability)
(6,048)
(5,995)
1
(5,696)
6
Deferred tax assets that rely on future profitability (excludes those arising from temporary differences)
(13)
(18)
(28)
(31)
(58)
Fair value reserves related to net losses on cash flow hedges
(361)
(378)
(4)
(4)
8,925
Deduction of amounts resulting from the calculation of excess expected loss
(579)
(617)
(6)
(702)
(18)
Net gains on liabilities at fair value resulting from changes in own credit risk
358
275
30
278
29
Defined-benefit pension fund assets
(182)
(159)
14
(149)
22
Fair value gains arising from the institution's own credit risk related to derivative liabilities
(79)
(103)
(23)
(97)
(19)
Exposure amounts which could qualify for risk weighting of 1,250%
(25)
(35)
(30)
(44)
(44)
Total regulatory adjustments to CET1
(7,656)
(7,690)
-
(7,069)
8
CET1 capital
36,594
37,260
(2)
35,190
4
Additional Tier 1 capital (AT1) instruments
6,535
6,537
-
6,502
1
AT1 regulatory adjustments
(20)
(20)
-
(20)
-
Tier 1 capital
43,109
43,777
(2)
41,672
3
Tier 2 capital instruments
9,452
9,534
(1)
11,449
(17)
Tier 2 regulatory adjustments
(30)
(30)
-
(30)
-
Tier 2 capital
9,422
9,504
(1)
11,419
(17)
Total capital
52,531
53,281
(1)
53,091
(1)
Total risk-weighted assets
258,378
259,684
(1)
247,065
5

1   Capital base is prepared on the regulatory scope of consolidation

2 Change is the percentage point difference between two periods, rather than percentage change

3 Variance is increase/(decrease) comparing current reporting period to prior periods

 

Page 28

Capital review continued

 

Movement in total capital

9 months ended 30.09.25
 $million
12 months ended 31.12.24
 $million
CET1 at 1 January
35,190
34,314
Ordinary shares issued in the period and share premium
-
-
Share buy-back
(2,800)
(2,500)
Profit for the period
4,642
4,072
Foreseeable dividends deducted from CET1
(802)
(923)
Difference between dividends paid and foreseeable dividends
(546)
(469)
Movement in goodwill and other intangible assets
(352)
432
Foreign currency translation differences
781
(525)
Non-controlling interests
(27)
18
Movement in eligible other comprehensive income
468
636
Deferred tax assets that rely on future profitability
18
10
Decrease/(increase) in excess expected loss
122
52
Additional value adjustments (prudential valuation adjustment)
(103)
106
IFRS 9 transitional impact on regulatory reserves including day one
-
2
Exposure amounts which could qualify for risk weighting
18
-
Fair value gains arising from the institution's own Credit Risk related to derivative liabilities
18
19
Others
(33)
(54)
CET1 at 30 September/31 December
36,594
35,190
AT1 at 1 January
6,482
5,492
Net issuances (redemptions)
32
1,015
Foreign currency translation difference
1
(25)
AT1 at 30 September/31 December
6,515
6,482
Tier 2 capital at 1 January
11,419
11,935
Regulatory amortisation
(187)
1,189
Net issuances (redemptions)
(2,175)
(1,517)
Foreign currency translation difference
344
(191)
Tier 2 ineligible minority interest
16
(3)
Other
5
6
Tier 2 capital at 30 September/31 December
9,422
11,419
Total capital at 30 September/31 December
52,531
53,091

 

Page 29

Capital review continued

 

Risk-weighted assets by business

30.09.25
Credit risk
 $million
Operational risk
 $million
Market risk
 $million
Total risk
 $million
Corporate & Investment Banking
122,556
22,555
30,323
175,434
Wealth & Retail Banking
47,790
10,583
-
58,373
Ventures
3,130
239
16
3,385
Central & other items
17,598
(799)
4,387
21,186
Total risk-weighted assets
191,074
32,578
34,726
258,378

 

30.06.25
Credit risk
 $million
Operational risk
 $million
Market risk
 $million
Total risk
 $million
Corporate & Investment Banking
128,605
22,555
30,969
182,129
Wealth & Retail Banking
47,027
10,583
-
57,610
Ventures
3,031
239
18
3,288
Central & other items
12,685
(799)
4,771
16,657
Total risk-weighted assets
191,348
32,578
35,758
259,684

 

31.12.241
Credit risk
 $million
Operational risk
 $million
Market risk
 $million
Total risk
 $million
Corporate & Investment Banking
124,635
19,987
24,781
169,403
Wealth & Retail Banking
47,764
9,523
-
57,287
Ventures
2,243
142
21
2,406
Central & other items
14,661
(173)
3,481
17,969
Total risk-weighted assets
189,303
29,479
28,283
247,065

1  RWA balances are now presented to reflect the RNS on Presentation of Financial Information issued on 2 April 2025. Prior periods have been re-presented and there is no change in   total RWA

Movement in risk-weighted assets

Credit risk1
Operational risk
 $million
Market risk
 $million
Total risk
 $million
Corporate & Investment Banking
 $million
Wealth & Retail Banking
 $million
Ventures
 $million
Central & other items
 $million
Total
 $million
At 1 January 20241
116,621
50,771
1,885
22,146
191,423
27,861
24,867
244,151
Asset growth & mix
11,616
(491)
358
(5,176)
6,307
-
-
6,307
Asset quality
(2,472)
(316)
-
(384)
(3,172)
-
-
(3,172)
Model updates
1,620
(1)
-
-
1,619
-
(400)
1,219
Methodology and policy changes
38
39
-
-
77
-
(1,300)
(1,223)
Acquisitions and disposals
-
-
-
-
-
-
-
-
Foreign currency translation
(2,788)
(1,397)
-
(691)
(4,876)
-
-
(4,876)
Other, including non-credit risk movements
-
(841)
-
(1,234)
(2,075)
1,618
5,116
4,659
At 31 December 20241
124,635
47,764
2,243
14,661
189,303
29,479
28,283
247,065
Asset growth & mix
(5,074)
(1,228)
887
2,086
(3,329)
-
-
(3,329)
Asset quality
1,837
(134)
-
621
2,324
-
-
2,324
Model updates
(1,276)
395
-
-
(881)
-
51
(830)
Methodology and policy changes
-
-
-
-
-
-
-
-
Acquisitions and disposals
(14)
(92)
-
(11)
(117)
-
-
(117)
Foreign currency translation
2,448
1,085
-
241
3,774
-
-
3,774
Other, including non-credit risk movements
-
-
-
-
-
3,099
6,392
9,491
At 30 September 2025
122,556
47,790
3,130
17,598
191,074
32,578
34,726
258,378

1 RWA balances are now presented to reflect the RNS on Presentation of Financial Information issued on 2 April 2025. Prior periods have been re-presented and there is no change in total RWA

Page 30

Capital review continued

 

Leverage Ratio

30.09.25
 $million
30.06.25
 $million
Change3
 %
31.12.24
 $million
Change3
 %
Tier 1 capital
43,109
43,777
(2)
41,672
3
Derivative financial instruments
56,905
64,225
(11)
81,472
(30)
Derivative cash collateral
10,854
13,895
(22)
11,046
(2)
Securities financing transactions (SFTs)
94,881
98,772
(4)
98,801
(4)
Loans and advances and other assets
751,010
737,044
2
658,369
14
Total on-balance sheet assets
913,650
913,936
-
849,688
8
Regulatory consolidation adjustments1
(104,211)
(96,465)
8
(76,197)
37
Derivatives adjustments
Derivatives netting
(45,342)
(48,236)
(6)
(63,934)
(29)
Adjustments to cash collateral
(9,093)
(12,032)
(24)
(10,169)
(11)
Net written credit protection
2,752
2,757
-
2,075
33
Potential future exposure on derivatives
55,475
54,443
2
51,323
8
Total derivatives adjustments
3,792
(3,068)
(224)
(20,705)
(118)
Counterparty risk leverage exposure measure for SFTs
6,390
5,959
7
4,198
52
Off-balance sheet items
125,281
120,878
4
118,607
6
Regulatory deductions from Tier 1 capital
(8,078)
(8,006)
1
(7,247)
11
Total exposure measure excluding claims on central banks
936,824
933,234
-
868,344
8
Leverage ratio excluding claims on central banks2
4.6%
4.7%
(9)
4.8%
(20)
Average leverage exposure measure excluding claims on
 central banks
933,449
946,944
(1)
894,296
4
Average leverage ratio excluding claims on central banks2
4.6%
4.6%
-
4.7%
(8)
Countercyclical leverage ratio buffer2
0.1%
0.1%
-
0.1%
-
G-SII additional leverage ratio buffer2
0.4%
0.4%
-
0.4%
-

1   Includes adjustment for qualifying central bank claims and unsettled regular way trades

2 Change is the basis points (bps) difference between the two periods rather than the percentage change

3 Variance is increase/(decrease) comparing current reporting period to prior periods

Page 31

Financial statements

 

Condensed consolidated interim income statement

For the nine months ended 30 September 2025

9 months ended 30.09.25
 $million
9 months ended 30.09.24
 $million
Interest income
18,619
21,180
Interest expense
(14,167)
(16,523)
Net interest income
4,452
4,657
Fees and commission income
4,090
3,551
Fees and commission expense
(811)
(644)
Net fee and commission income
3,279
2,907
Net trading income
7,946
7,228
Other operating income
339
(51)
Operating income
16,016
14,741
Staff costs
(6,632)
(6,473)
Premises costs
(273)
(268)
General administrative expenses
(1,650)
(1,502)
Depreciation and amortisation
(836)
(784)
Operating expenses
(9,391)
(9,027)
Operating profit before impairment losses and taxation
6,625
5,714
Credit impairment
(524)
(418)
Goodwill, property, plant and equipment and other impairment
(41)
(235)
Profit from associates and joint ventures
89
153
Profit before taxation
6,149
5,214
Taxation
(1,525)
(1,698)
Profit for the period
4,624
3,516
Profit attributable to:
Non-controlling interests
15
(12)
Parent company shareholders
4,609
3,528
Profit for the period
4,624
3,516
Cents
cents
Earnings per share:
Basic earnings per ordinary share
173.9
120.2
Diluted earnings per ordinary share
169.0
117.2

 

Page 32

Financial statements continued

 

Condensed consolidated interim statement of comprehensive income

For the nine months ended 30 September 2025

30.09.25
 $million
30.09.24
 $million
Profit for the period
4,624
3,516
Other comprehensive income
Items that will not be reclassified to income statement:
168
(188)
Own credit losses on financial liabilities designated at fair value through profit or loss
(93)
(351)
Equity instruments at fair value through other comprehensive income/(loss)
262
(3)
Actuarial gains on retirement benefit obligations
29
33
Revaluation (deficit)/surplus
(11)
16
Taxation relating to components of other comprehensive income
(19)
117
Items that may be reclassified subsequently to income statement:
1,325
932
Exchange differences on translation of foreign operations:
Net gains taken to equity
790
32
Net (loss)/gain on net investment hedges
(28)
149
Share of other comprehensive (loss)/income from associates and joint ventures
(8)
15
Debt instruments at fair value through other comprehensive income:
Net valuation gains taken to equity
281
342
Reclassified to income statement
(45)
134
Net impact of expected credit losses
1
(24)
Cash flow hedges:
Net movements in cash flow hedge reserve
425
394
Taxation relating to components of other comprehensive income
(91)
(110)
Other comprehensive income for the period, net of taxation
1,493
744
Total comprehensive income for the period
6,117
4,260
Total comprehensive income attributable to:
Non-controlling interests
31
(16)
Parent company shareholders
6,086
4,276
Total comprehensive income for the period
6,117
4,260

 

Page 33

Financial statements continued

 

Condensed consolidated interim balance sheet

As at 30 September 2025

30.09.25
 $million
31.12.24
 $million
Assets
Cash and balances at central banks
86,800
63,447
Financial assets held at fair value through profit or loss
195,512
177,517
Derivative financial instruments
56,905
81,472
Loans and advances to banks
45,612
43,593
Loans and advances to customers
285,127
281,032
Investment securities
162,346
144,556
Other assets
65,125
43,468
Current tax assets
571
663
Prepayments and accrued income
3,125
3,207
Interests in associates and joint ventures
1,431
1,020
Goodwill and intangible assets
6,145
5,791
Property, plant and equipment
2,477
2,425
Deferred tax assets
454
414
Retirement benefit schemes in surplus
165
151
Assets classified as held for sale
1,855
932
Total assets
913,650
849,688
Liabilities
Deposits by banks
30,003
25,400
Customer accounts
526,284
464,489
Repurchase agreements and other similar secured borrowing
5,022
12,132
Financial liabilities held at fair value through profit or loss
91,972
85,462
Derivative financial instruments
58,975
82,064
Debt securities in issue
75,217
64,609
Other liabilities
54,272
44,681
Current tax liabilities
977
726
Accruals and deferred income
6,560
6,896
Subordinated liabilities and other borrowed funds
8,809
10,382
Deferred tax liabilities
764
567
Provisions for liabilities and charges
352
349
Retirement benefit schemes in deficit
251
266
Liabilities included in disposal groups held for sale
972
381
Total liabilities
860,430
798,404
Equity
Share capital and share premium account
6,629
6,695
Other reserves
10,180
8,724
Retained earnings
29,441
28,969
Total parent company shareholders' equity
46,250
44,388
Other equity instruments
6,535
6,502
Total equity excluding non-controlling interests
52,785
50,890
Non-controlling interests
435
394
Total equity
53,220
51,284
Total equity and liabilities
913,650
849,688

 

Page 34

Financial statements continued

 

Condensed consolidated interim statement of changes in equity

For the nine months ended 30 September 2025

Ordinary share capital and share premium account
 $million
Preference share capital and share premium account
 $million
Capital and merger reserves1
 $million
Own credit adjust-ment reserve
 $million
Fair value through other compre-hensive income reserve - debt
 $million
Fair value through other compre-hensive income reserve - equity
 $million
Cash flow hedge reserve
 $million
Trans-lation reserve
 $million
Retained earnings
 $million
Parent company share-holders' equity
 $million
Other equity instru-ments
 $million
Non-controlling interests
 $million
Total
 $million
As at 01 January 2024
5,321
1,494
17,453
100
(690)
330
91
(8,113)
28,459
44,445
5,512
396
50,353
Profit for the period
-
-
-
-
-
-
-
-
4,050
4,050
-
(8)
4,042
Other comprehensive (loss)/income12
-
-
-
(377)
442
(26)10
(87)
(735)
2272,11
(556)
-
(14)
(570)
Distributions
-
-
-
-
-
-
-
-
-
-
-
(43)
(43)
Other equity instruments issued, net of expenses
-
-
-
-
-
-
-
-
-
-
1,56813
-
1,568
Redemption of other equity instruments
-
-
-
-
-
-
-
-
-
-
(553)14
-
(553)
Treasury shares net movement
-
-
-
-
-
-
-
-
(168)
(168)
-
-
(168)
Share option expense, net of taxation
-
-
-
-
-
-
-
-
269
269
-
-
269
Dividends on ordinary shares
-
-
-
-
-
-
-
-
(780)
(780)
-
-
(780)
Dividends on preference shares and AT1 securities
-
-
-
-
-
-
-
-
(457)
(457)
-
-
(457)
Share buyback6, 7
(120)
-
120
-
-
-
-
-
(2,500)
(2,500)
-
-
(2,500)
Other movements
-
-
-
(1)
7
-
-
2103
(131)5
85
(25)14
634
123
As at 31 December 2024
5,201
1,494
17,573
(278)
(241)
304
4
(8,638)
28,969
44,388
6,502
394
51,284
Profit for the period
-
-
-
-
-
-
-
-
4,609
4,609
-
15
4,624
Other comprehensive (loss)/income12
-
-
-
(80)
204
15417
357
745
972,17
1,477
-
16
1,493
Distributions
-
-
-
-
-
-
-
-
-
-
-
(40)
(40)
Other equity instruments issued, net of expenses
-
-
-
-
-
-
-
-
-
-
99415
-
994
Redemption of other equity instruments
-
-
-
-
-
-
-
-
-
-
(1,000)16
-
(1,000)
Treasury shares net movement
-
-
-
-
-
-
-
-
(86)
(86)
-
-
(86)
Share option expense, net of taxation
-
-
-
-
-
-
-
-
203
203
-
-
203
Dividends on ordinary shares
-
-
-
-
-
-
-
-
(954)
(954)
-
-
(954)
Dividends on preference shares and AT1 securities
-
-
-
-
-
-
-
-
(516)
(516)
-
-
(516)
Share buyback7,8,9
(66)
-
66
-
-
-
-
-
(2,800)
(2,800)
-
-
(2,800)
Other movements
-
-
-
-
(26)
-
-
3618
(81)
(71)
3920
5019
18
As at 30 September 2025
5,135
1,494
17,639
(358)
(63)
458
361
(7,857)
29,441
46,250
6,535
435
53,220

1.       Includes capital reserve of $5 million (31 December 2024: $5 million), capital redemption reserve of $523 million (31 December 2024: $457 million), merger reserve of $17,111 million (31 December 2024: $17,111 million).

2.       Includes actuarial gain, net of taxation on Group defined benefit schemes

3.       Movement in 2024 includes realisation of translation adjustment loss from sale of SCB Zimbabwe Limited ($190 million), SCB Angola S.A. ($31 million), SCB Sierra Leone Limited ($25 million) recycled to other operating income

4.       Movement in 2024 is primarily from non-controlling interest pertaining to Mox Bank Limited ($14 million) and Trust Bank Singapore Limited ($55 million) offset by SCB Angola S.A. ($6 million)

5.       Movement in 2024 mainly includes movements related to Ghana hyperinflation

6.       On 23 February 2024, the Group announced the buyback programme for a share buyback of its ordinary shares of $0.50 each. Nominal value of share purchases was $57 million, the total consideration paid was $1,000 million and the buyback completed on 25 June 2024. The total number of shares purchased was 113,266,516, representing 4.25 per cent of the ordinary shares in issue at the beginning of the programme. The nominal value of the shares was transferred from the share capital to the capital redemption reserve account

7.       On 30 July 2024, the Group announced the buyback programme for a $1,500 million share buyback of its ordinary shares of $0.50 each. As at December 2024, nominal value of share purchases was $63 million with the total number of shares purchased of 126,262,414 and the total consideration was $1,355 million. The buyback programme was completed on 30 January 2025 with a further 11,300,128 shares purchased in 2025, representing 0.44 per cent of shares in issue at the beginning of the programme. The nominal value of the shares was transferred from the share capital to the capital redemption reserve account

8.       On 21 February 2025, the Group announced the buyback programme for a $1,500 million share buyback of its ordinary shares of $0.50 each. The buyback programme was completed on 30 July 2025, and the total number of shares purchased was 98,162,451, representing 4.07 per cent of the ordinary shares in issue at the beginning of the programme. The nominal value of the shares was transferred from the share capital to the capital redemption reserve account

9.       On 31 July 2025, the Group announced the buyback programme for a $1,300 million share buyback of its ordinary shares of $0.50 each. As at 30 September 2025, the total number of shares purchased of 21,942,729 representing 0.95 per cent of the ordinary shares in issue at the beginning of the programme, for a total consideration of $413 million, and a further $887 million relating to irrevocable obligation to buy back shares under the buyback programme has been recognised. The nominal value of the shares was transferred from the share capital to the capital redemption reserve account

10.     Includes $174 million gain on sale of equity investment transferred to retained earnings partly offset by $76 million reversal of deferred tax liability and $72 million mark-to-market gain on equity instrument

11.     Includes $174 million gain on sale of equity investment in other comprehensive income reserve transferred to retained earnings partly offset by $13 million capital gain tax

12.     All amounts are net of tax

13.     Includes $992 million and $576 million (SGD 750 million) fixed rate resetting perpetual subordinated contingent convertible AT1 securities issued by Standard Chartered PLC

14.     Relates to redemption of AT1 securities of SGD 750 million ($553 million) and realised translation loss ($25 million) reported in other movements

15.     Relates to $994 million fixed rate resetting perpetual subordinated contingent convertible AT1 securities issued by Standard Chartered PLC

16.     On 26 July 2025, Standard Chartered PLC redeemed its $1.0 billion 6.00 per cent Resetting Perpetual Subordinated Contingent Convertible Securities

17.     Includes $68 million gain on sale of equity investment in other comprehensive income reserve transferred to retained earnings

18.     Includes realisation of translation adjustment loss from sale of Standard Chartered Bank Gambia Limited ($8 million) and Standard Chartered Research and Technology India Private Limited ($3 million) transferred to other operating income

19.     Movement from non-controlling interest primarily pertaining to Zodia Markets Holdings Limited ($12 million), Standard Chartered Research and Technology India Private Limited ($12 million), Mox Bank Limited ($8 million), Trust Bank Singapore Limited ($8 million), Century Leader Limited ($6 million) and Furaha Holdings Limited ($3 million)

 

20.     Includes reversal of realised translation loss ($25 million) reported during 2024 (refer foot note 14)

Page 35

Financial statements continued

 

Basis of preparation

This statement covers the results of Standard Chartered PLC together with its subsidiaries and equity accounted interest in associates and jointly controlled entities (the Group) for the nine months ended 30 September 2025. The financial information on which this statement is based, and the data set out in the appendix to this statement, are unaudited and have been prepared in accordance with the Group's accounting policies. The Group's material accounting policies are described in the Annual Report 2024, which have been prepared in accordance with UK-adopted international accounting standards and International Financial Reporting Standards (IFRS) (Accounting Standards) as adopted by the European Union (EU IFRS) as there are no applicable differences for the periods presented, and in conformity with the requirements of the Companies Act 2006. The Group's Annual Report 2025 will continue to be prepared in accordance with these frameworks.

The interim financial information does not constitute a full or condensed set of financial statements under IAS 34 'Interim Financial Reporting' as contained in UK-adopted IAS or EU IFRS. The interim financial information has been prepared in accordance with the recognition and measurement principles, but not the disclosure requirements under UK-adopted IAS and EU IFRS.

The information in this interim financial report is unaudited and does not constitute statutory accounts within the meaning of section 434 of the Companies Act 2006. All references to reported performance/results within this interim financial report means amounts reported under UK-adopted IAS and EU IFRS or in reference to the statutory accounts for the year ended 31 December 2024, unless otherwise stated. This document was approved by the Board on 30 October 2025. The statutory accounts for the year ended 31 December 2024 have been audited and delivered to the Registrar of Companies in England and Wales. The report of the auditors was (i) unqualified, (ii) did not include a reference to any matters to which the auditors drew attention by way of emphasis without qualifying their report, and (iii) did not contain a statement under sections 498(2) and 498(3) of the Companies Act 2006.

Going concern

The directors assessed the Group's ability to continue as a going concern, including a review of the Group's forecasts, Funding and Liquidity metrics, Capital and Liquidity plans, Legal and regulatory matters, Credit impairment, macroeconomic conditions and geopolitical headwinds, and confirm they are satisfied that the Group has adequate resources to continue in business for a period of twelve months from 30 October 2025. For this reason, the Group continues to adopt the going concern basis of accounting for preparing the interim financial information.

Page 36

Other supplementary financial information

 

Net Interest Margin

3 months ended 30.09.25
 $million
3 months ended 30.06.25
 $million
3 months ended 30.09.24
 $million
Interest income (Reported)
6,134
6,158
6,986
Adjustment for trading book funding cost and others1
247
126
163
Interest Income adjusted for trading book funding cost and others
6,381
6,284
7,149
Average interest earning assets
560,336
546,709
532,459
Gross yield (%)
4.52
4.61
5.34
Interest expense (Reported)
4,726
4,695
5,504
Adjustment for trading book funding cost and others
(1,082)
(1,113)
(1,124)
Interest expense adjusted for trading book funding cost and others
3,644
3,582
4,380
Average interest-bearing liabilities
599,796
571,401
540,691
Rate paid (%)
2.41
2.51
3.22
Net yield (%)
2.11
2.10
2.12
Adjusted net interest income1
2,737
2,702
2,769
Net interest margin (%)
1.94
1.98
2.07

1 Adjusted net interest income has been re-presented in line with the RNS on Re-Presentation of Financial Information issued on 2 April 2025 to reflect the reclassification of funding cost mismatches to Non NII. Adjusted net interest income is reported net interest income less trading book funding cost, Treasury currency management activities, cash collateral and prime services

Page 37

Other supplementary financial information continued

 

Important Notice

Forward-looking statements

The information included in this document may contain 'forward-looking statements' based upon current expectations or beliefs as well as statements formulated with assumptions about future events. Forward-looking statements include, without limitation, projections, estimates, commitments, plans, approaches, ambitions and targets (including, without limitation, ESG commitments, ambitions and targets). Forward-looking statements often use words such as 'may', 'could', 'will', 'expect', 'intend', 'estimate', 'anticipate', 'believe', 'plan', 'seek', 'aim', 'continue' or other words of similar meaning to any of the foregoing. Forward-looking statements may also (or additionally) be identified by the fact that they do not relate only to historical or current facts.

By their very nature, forward-looking statements are subject to known and unknown risks and uncertainties and other factors that could cause actual results, and the Group's plans and objectives, to differ materially from those expressed or implied in the forward-looking statements. Readers should not place reliance on, and are cautioned about relying on, any forward-looking statements.

There are several factors which could cause the Group's actual results and its plans and objectives to differ materially from those expressed or implied in forward-looking statements. The factors include (but are not limited to): changes in global, political, economic, business, competitive and market forces or conditions, or in future exchange and interest rates; changes in environmental, geopolitical, social or physical risks; legal, regulatory and policy developments, including regulatory measures addressing climate change and broader sustainability-related issues; the development of standards and interpretations, including evolving requirements and practices in ESG reporting; the ability of the Group, together with governments and other stakeholders to measure, manage, and mitigate the impacts of climate change and broader sustainability-related issues effectively; risks arising out of health crises and pandemics; risks of cyber-attacks, data, information or security breaches or technology failures involving the Group; changes in tax rates or policy; future business combinations or dispositions; and other factors specific to the Group, including those identified in Standard Chartered PLC's Annual Report and the financial statements of the Group. To the extent that any forward-looking statements contained in this document are based on past or current trends and/or activities of the Group, they should not be taken as a representation that such trends or activities will continue in the future.

No statement in this document is intended to be, nor should be interpreted as, a profit forecast or to imply that the earnings of the Group for the current year or future years will necessarily match or exceed the historical or published earnings of the Group. Each forward-looking statement speaks only as of the date that it is made. Except as required by any applicable laws or regulations, the Group expressly disclaims any obligation to revise or update any forward-looking statement contained within this document, regardless of whether those statements are affected as a result of new information, future events or otherwise.

Please refer to Standard Chartered PLC's Annual Report and the financial statements of the Group for a discussion of certain of the risks and factors that could adversely impact the Group's actual results, and cause its plans and objectives, to differ materially from those expressed or implied in any forward-looking statements.

Non-IFRS performance measures and alternative performance measures

This document may contain: (a) financial measures and ratios not specifically defined under: (i) International Financial Reporting Standards (IFRS) (Accounting Standards) as adopted by the European Union; or (ii) UK-adopted International Accounting Standards (IAS); and/or (b) alternative performance measures as defined in the European Securities and Market Authority guidelines. Such measures may exclude certain items which management believes are not representative of the underlying performance of the business and which distort period-on-period comparison. These measures are not a substitute for IAS or IFRS measures and are based on a number of assumptions that are subject to uncertainties and change. Please refer to Standard Chartered PLC's Annual Report and the financial statements of the Group for further information, including reconciliations between the underlying and reported measures.

Financial instruments

Nothing in this document shall constitute, in any jurisdiction, an offer or solicitation to sell or purchase any securities or other financial instruments, nor shall it constitute a recommendation or advice in respect of any securities or other financial instruments or any other matter.

Caution regarding climate and environment related information

Some of the climate and environment related information in this document is subject to certain limitations, and therefore the reader should treat the information provided, as well as conclusions, projections and assumptions drawn from such information, with caution. The information may be limited due to a number of factors, which include (but are not limited to): a lack of reliable data; a lack of standardisation of data; and future uncertainty. The information includes externally sourced data that may not have been verified. Furthermore, some of the data, models and methodologies used to create the information is subject to adjustment which is beyond our control, and the information is subject to change without notice. 

Page 38

Other supplementary financial information continued

 

General

You are advised to exercise your own independent judgement (with the advice of your professional advisers as necessary) with respect to the risks and consequences of any matter contained in this document. The Group, its affiliates, directors, officers, employees or agents expressly disclaim any liability and responsibility for any decisions or actions which you may take and for any damage or losses you may suffer from your use of or reliance on the information contained in this document.

Chinese translation

If there is any inconsistency between the English version of this document and any translation of the English version, the English version shall prevail.

Page 39

 

CONTACT INFORMATION

Global headquarters

Standard Chartered Group

1 Basinghall Avenue

London, EC2V 5DD

United Kingdom

telephone: +44 (0)20 7885 8888

facsimile: +44 (0)20 7885 9999

Shareholder enquiries

ShareCare information

website: sc.com/shareholders

helpline: +44 (0)370 702 0138

ShareGift information

website: ShareGift.org

helpline: +44 (0)20 7930 3737

Registrar information

UK

Computershare Investor Services PLC

The Pavilions

Bridgwater Road

Bristol, BS99 6ZZ

helpline: +44 (0)370 702 0138

Hong Kong

Computershare Hong Kong Investor Services Limited

17M Floor, Hopewell Centre

183 Queen's Road East

Wan Chai

Hong Kong

website: computershare.com/hk/investors

Chinese translation

Computershare Hong Kong Investor Services Limited

17M Floor, Hopewell Centre

183 Queen's Road East

Wan Chai

Hong Kong

Register for electronic communications

website: investorcentre.co.uk

For further information, please contact:

Manus Costello, Global Head of Investor Relations

+44 (0) 20 7885 0017

LSE Stock code: STAN.LN

HKSE Stock code: 02888

 

 

Page 40

 

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