Jannah Theme License is not validated, Go to the theme options page to validate the license, You need a single license for each domain name.
USA

Exceeding expectations, CEO Noel Quinn steps down

This photo illustration taken in Brussels, Belgium on February 20, 2024 shows the HSBC Holdings logo on a smartphone with HSBC in the background.

Jonathan Ra | Null Photo | Getty Images

HSBC reported first-quarter results on Tuesday that beat market expectations and announced the sudden departure of group chief executive Noel Quinn.

Revenue was $20.8 billion, up 3% year over year and compared to LSEG's median estimate of approximately $16.94 billion.

Pre-tax profit for the January-March period was $12.65 billion, down about 2% from the same period last year, when pre-tax profit was $12.89 billion. Still, the figure was higher than the $12.61 billion expected by analysts compiled by the bank.

After-tax profit decreased to $10.84 billion, lower than $11.03 billion in the first quarter of 2023.

HSBC, Europe's largest bank by assets, has approved a first interim dividend of 10 cents per share and a special dividend of 21 cents per share following the completion of the sale of its Canadian banking business.

Noel Quinn to retire

The company also announced the retirement of Mr. Quinn, who held the position for nearly five years.

“The Board would like to pay tribute to Mr. Noel's leadership of the Company. Mr. Noel has had a long and distinguished career with the Bank, spanning 37 years, and we are very grateful to him for his significant contribution to the Group over the years. We are grateful,” said Group Chairman Mark. tucker.

Eileen Taylor, Group Company Secretary and Chief Governance Officer at HSBC, said: “During his tenure, HSBC delivered record profits and the highest returns in more than a decade.”

Mr. Quinn will remain as group CEO while the bank begins the process of finding a successor. HSBC said he has agreed to remain available to assist with the transition until the end of the 12-month notice period (until April 30, 2025).

Other highlights from the bank's first quarter financial report include:

  • net interest margina measure of loan profitability, fell to 1.63% — compared to 1.69% a year ago.
  • Common stock Tier 1 ratio The measure of banks' capital to assets was 15.2% compared to 14.8% in the fourth quarter of 2023.
  • Basic earnings per share was $0.54, slightly higher than $0.52 in the same period last year.

Outlook

HSBC also reiterated its 2024 outlook unchanged from its February guidance.

The bank continues to target a return on average tangible equity of “mid-teens” in 2024 and net bank interest income of at least $41 billion, subject to global interest rate conditions.

HSBC expects its CET1 capital ratio to be within its medium-term target range of 14% to 14.5% and targets a payout ratio of 50% in 2024, excluding material noteworthy items and related impacts. Stated.

Correction: This article has been updated to accurately reflect that HSBC's first quarter 2024 revenue was 3% higher than a year ago. This number was incorrectly written due to an editing error.

Summarize this content to 100 words This photo illustration taken in Brussels, Belgium on February 20, 2024 shows the HSBC Holdings logo on a smartphone with HSBC in the background. Jonathan Ra | Null Photo | Getty ImagesHSBC reported first-quarter results on Tuesday that beat market expectations and announced the sudden departure of group chief executive Noel Quinn.Revenue was $20.8 billion, up 3% year over year and compared to LSEG's median estimate of approximately $16.94 billion.Pre-tax profit for the January-March period was $12.65 billion, down about 2% from the same period last year, when pre-tax profit was $12.89 billion. Still, the figure was higher than the $12.61 billion expected by analysts compiled by the bank.After-tax profit decreased to $10.84 billion, lower than $11.03 billion in the first quarter of 2023.HSBC, Europe's largest bank by assets, has approved a first interim dividend of 10 cents per share and a special dividend of 21 cents per share following the completion of the sale of its Canadian banking business.Noel Quinn to retireThe company also announced the retirement of Mr. Quinn, who held the position for nearly five years.“The Board would like to pay tribute to Mr. Noel's leadership of the Company. Mr. Noel has had a long and distinguished career with the Bank, spanning 37 years, and we are very grateful to him for his significant contribution to the Group over the years. We are grateful,” said Group Chairman Mark. tucker.Eileen Taylor, Group Company Secretary and Chief Governance Officer at HSBC, said: “During his tenure, HSBC delivered record profits and the highest returns in more than a decade.”Mr. Quinn will remain as group CEO while the bank begins the process of finding a successor. HSBC said he has agreed to remain available to assist with the transition until the end of the 12-month notice period (until April 30, 2025).Other highlights from the bank's first quarter financial report include:net interest margina measure of loan profitability, fell to 1.63% — compared to 1.69% a year ago.Common stock Tier 1 ratio The measure of banks' capital to assets was 15.2% compared to 14.8% in the fourth quarter of 2023.Basic earnings per share was $0.54, slightly higher than $0.52 in the same period last year.OutlookHSBC also reiterated its 2024 outlook unchanged from its February guidance.The bank continues to target a return on average tangible equity of “mid-teens” in 2024 and net bank interest income of at least $41 billion, subject to global interest rate conditions.HSBC expects its CET1 capital ratio to be within its medium-term target range of 14% to 14.5% and targets a payout ratio of 50% in 2024, excluding material noteworthy items and related impacts. Stated.Correction: This article has been updated to accurately reflect that HSBC's first quarter 2024 revenue was 3% higher than a year ago. This number was incorrectly written due to an editing error.
https://www.cnbc.com/2024/04/30/hsbc-q1-2024-earnings-beats-expectations-group-ceo-noel-quinn-to-retire.html Exceeding expectations, CEO Noel Quinn steps down

Back to top button