HSBC Holdings PLC announced a second-quarter pre-tax profit of $10.1 billion on Tuesday. This result exceeded analyst expectations, driven by an acceleration in net interest income from its banking operations and an increase in fee income.

The largest bank in Europe reported a 16% year-on-year increase in revenue, which included $1.3 billion in one-off gains from exceptional items. HSBC Holdings PLC stated that its second-quarter pre-tax profit surged 60% compared to the same period last year, boosted by a net positive impact of $2.6 billion from exceptional items.

Here is a comparison of HSBC Holdings PLC's second-quarter performance against the consensus market expectations compiled by the bank:

Pre-tax profit: $10.1 billion vs. an expected $9.51 billion.
Operating revenue: $19.1 billion vs. an expected $18.57 billion.

HSBC Holdings PLC noted in its announcement that the exceptional items included $200 million in restructuring-related expenses. The bank's net interest income for the second quarter rose 9% year-on-year to $9.29 billion.

Operating expenses decreased by 2%, largely due to lower restructuring costs. HSBC Holdings PLC maintained its profitability target for a return on tangible equity of 17%. When excluding relevant items, the annualized return on tangible equity for the reported quarter stood at 19.1%.

The board of HSBC Holdings PLC also approved the payment of a second interim dividend of 10 cents per share. The company announced plans to initiate a share buyback program of up to $1 billion, which is expected to be completed before the announcement of its third-quarter results.