HSBC 'set to reveal 15% rise in profit for first half of 2013'

5 August 2013

HSBC is set to see its half-year profit rise by 15 per cent to more than $14 billion.

Reuters reports the large increase is a result of the three-year long cost cutting scheme and a reduction in bad debts to compensate for a drop in revenue.

HSBC, which is Europe's largest institution by market value, will release its results today (5 August) and is expected to report pre-tax profit of $14.6 billion in the six months of 2013, up from $12.7 billion during the same period in 2012, according to the average forecast of 14 analysts polled by the organisation.

Meanwhile, revenues are predicted to fall by six per cent to $34.8 billion, but will be offset by a 43 per cent reduction in losses from bad loans. Operating costs are also forecast to drop by 12 per cent to $18.6 billion.

HSBC has been implementing large organisational changes in order to reduce expenditure and it appears the bank has been successful.

By Claire Archer

Become a bobsguide member to access the following

1. Unrestricted access to bobsguide
2. Send a proposal request
3. Insights delivered daily to your inbox
4. Career development