HSBC reported FY 2025 profit before tax of USD 29.9bn (7%) and profit after tax of USD 23.1bn, with revenue of USD 68.3bn (4%). Return on average tangible equity (RoTE) was 13.3% (vs. 14.6%), while net interest income was USD 34.8bn and net interest margin was 1.59%. Expected credit losses were USD 3.9bn and operating expenses were USD 36.4bn (10%), including notable items such as USD 2.1bn of dilution and impairment losses related to Bank of Communications, USD 1.5bn of reserve recycling losses linked to the sale of a French retained loan portfolio, USD 1.4bn of legal provisions and USD 1.0bn of restructuring and related costs. HSBC’s CET1 ratio was 14.9%. The board approved a fourth interim dividend of USD 0.45 per share, taking the FY 2025 total dividend to USD 0.75 per share, and the group announced two share buy-backs in respect of 2025 totalling USD 6.0bn. For 4Q 2025, profit before tax was USD 6.8bn, revenue was USD 16.4bn (42%), expected credit losses were USD 0.9bn and operating expenses were USD 9.3bn (8%). The group raised its medium-term targets, aiming for RoTE of 17% or better in each of 2026-2028 (excluding notable items), year-on-year revenue growth in 2026-2028 with growth rising to 5% in 2028 (excluding notable items, constant currency basis), and maintaining a dividend payout ratio target basis of 50% in 2026-2028. For 2026, HSBC expects banking net interest income of at least USD 45bn and expected credit losses around 40bps, and is targeting approximately 1% growth in target basis operating expenses. HSBC also highlighted organisational simplification savings of USD 1.5bn, expected to be actioned by end-June 2026, and noted the privatisation of Hang Seng Bank, which had a net CET1 impact of 110bps in January 2026.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. HSBC Holdings plc published the original content used to generate this news brief via IIS, the Issuer Information Service operated by the Hong Kong Stock Exchange (HKex) (Ref. ID: HKEX-EPS-20260225-12029169), on February 25, 2026, and is solely responsible for the information contained therein.