Hang Seng Bank's stock (HKG:80011) plunged 5.09% in intraday trading on Wednesday, following the release of its disappointing first-half 2025 financial results. The significant drop came as the bank reported a 30% year-on-year decline in attributable profit, falling short of analysts' expectations.
According to the bank's latest financial report, attributable profit for the six months ended June 30 fell to HK$6.88 billion from HK$9.89 billion a year earlier. Earnings per share decreased to HK$3.34 from HK$5.04, missing the Visible Alpha analysts' estimate of HK$4.27. Net interest income also declined to HK$14.34 billion from HK$15.5 billion, slightly below the forecasted HK$14.39 billion.
Despite the weak performance, Hang Seng Bank declared a second interim dividend of HK$1.30 per share and announced plans for a HK$3 billion share buyback program to be executed over six months. However, these shareholder-friendly measures appeared insufficient to assuage investor concerns, as reflected in the stock's sharp decline during the trading session.