HSBC reports annual revenue for the fourth quarter of 2020

HSBC Building in Canary Wharf, London, UK

Leon Neil | AFP | Getty Images

HSBC The bank will report its 2020 financial results on Tuesday, during which the bank will keep investors up to date on restructuring plans and whether to resume dividend payments.

Like many peers around the world, HSBC accumulated reserves last year for potential credit losses as a result of a coronavirus pandemic.

Bank-based analysts estimate that London-based banks’ overall pre-tax profit in 2020 will be $ 8.3 billion, down 37.6% year-on-year.

Hong Kong’s HSBC shares soared 2% in early Tuesday trading prior to the earnings announcement.

Investors will look not only at financial results, but also at banks’ comments on dividend payments and share buybacks. HSBC shut down both of these activities last year as UK regulators urged lenders to save capital.

Banks said in their third-quarter earnings announcement that they would consider paying “conservative dividends” if circumstances permit. He said the decision would be made and communicated when the financial results for the full year of 2020 were announced.

The· Bank of England Said in december British banks can be reopened Pay some dividends.And Barclays Announced last week Resume such payments Then it embarks on a £ 700m ($ 985.4m) share buyback.

Jackson Wang, director of asset management at Amberhill Capital, told CNBC “Street Signs Asia” On Tuesday, a dividend of 13 to 15 cents per share from HSBC will be considered “reasonable” by investors.

His projections are in line with analysts’ estimates compiled by HSBC, which showed a dividend per share of 13 cents in 2020.

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HSBC reports annual revenue for the fourth quarter of 2020

Source link HSBC reports annual revenue for the fourth quarter of 2020

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