Core Viewpoint - HSBC Holdings reported a decline in total revenue and net profit for Q3 2025, primarily due to legal provisions related to the Madoff fraud case and restructuring costs [2][3][4]. Group 1: Financial Performance - HSBC's total revenue for Q3 2025 reached $17.8 billion, a year-on-year increase of 5%, surpassing the expected $16.7 billion [2]. - The pre-tax profit was $7.3 billion, down 15% year-on-year, reflecting a decrease of $1.2 billion compared to the same period last year [2]. - The company recorded a total operating income of $48.961 billion for the year, a decrease of 6.27% year-on-year, and a net profit attributable to shareholders of $17.341 billion, down 26.61% year-on-year [2]. Group 2: Legal Provisions Related to Madoff Case - HSBC set aside $1.1 billion in provisions related to the Madoff Ponzi scheme, which has been ongoing for over a decade [4][5]. - The provision includes $1.1 billion directly linked to a long-term lawsuit stemming from the Madoff fraud, with an additional $300 million related to UK dividend tax [4]. - The impact of this provision is estimated to reduce the Group's Common Equity Tier 1 capital ratio by approximately 15 basis points [4]. Group 3: Privatization of Hang Seng Bank - HSBC announced plans to privatize Hang Seng Bank at a price of HKD 155 per share, representing a 30% premium over the bank's stock price at the time [6][7]. - The acquisition is seen as one of the largest mergers in Hong Kong in recent years and is pending regulatory and shareholder approval, expected to be completed in the first half of 2026 [7]. - Concerns have been raised regarding the financial implications of this acquisition, which is estimated to cost around $14 billion, potentially affecting HSBC's future dividend capacity and investment plans [7][8]. Group 4: Concerns Over Commercial Real Estate Loans - As of June 30, the credit impairment for commercial real estate loans in Hong Kong reached HKD 25.012 billion, an increase of HKD 5.2 billion from the end of the previous year [8]. - The amount of commercial real estate loans classified as needing full-cycle expected loss provisions rose from HKD 29.438 billion to HKD 66.851 billion [8]. - HSBC's London-based corporate credit department has been actively engaging with global banks to facilitate the sale of over $3 billion in non-performing real estate loan assets from Hang Seng Bank [8].

Core Points - SGAM Matmut has completed the acquisition of 100% of the share capital of HSBC Assurances Vie (France), a life insurance company [2][3] - The acquisition aligns with the Group's strategic plan "Objectif: Impact!" 2024-2026, focusing on growth and diversification [4] - The transaction will increase the Group's business volume by 51% to €4.8 billion based on 2024 pro forma earned premiums compared to 2023 [4] - HSBC Assurances Vie (France) will be rebranded as KOREGE starting 1 November 2025, reflecting a renewed ambition in the savings business [4] Company Leadership - Nicolas Gomart, Deputy Chairman and CEO of SGAM Matmut, will become Chairman of KOREGE, while Tristan de La Fonchais has been appointed CEO [5] - Laurence Rogier, former CEO of HSBC Assurances Vie (France), will serve as Vice-Chairwoman of the Board and oversee Strategic and Financial Coordination of KOREGE [6] Market Position - Matmut Group is a leading player in the French insurance market, managing 8.4 million insurance policies and serving 4.6 million members as of the end of 2024 [8] - The Group generated premium income of €3.2 billion in 2024, with a business mix comprising 46% Property & Casualty, 38% Savings & Protection, and 16% Health Insurance [8][9]

Core Viewpoint - HSBC has raised its GDP growth forecast for Vietnam from 6.6% to 7.9% for this year, following a surprising third-quarter economic growth rate of 8.23%, the highest in Southeast Asia, which exceeded market expectations of 7.2% [1] Economic Growth Forecasts - HSBC's new forecast is the highest among international institutions and is close to Vietnam's own target of over 8% [1] - Other financial institutions, including the Asian Development Bank and UOB, have also revised their growth predictions for Vietnam to 6.7% and 7.5%, respectively [1] - The International Monetary Fund (IMF) and World Bank (WB) have projected Vietnam's growth rates at 6.5% and 6.6%, respectively [1] Trade Performance - Despite a slight decline in exports to the US from other ASEAN countries, Vietnam's trade has maintained double-digit growth [1] - The trade surplus in the third quarter doubled compared to the first half of the year, driven by increased surpluses with trade partners outside the US [1] Domestic Economic Conditions - Domestic conditions in Vietnam remain stable, with improvements in retail sales and tourism leading the recovery in ASEAN [1] - Large infrastructure projects have contributed to increased construction activity [1] - The report indicates potential for further growth if public investment spending accelerates [1]

Core Viewpoint - HSBC Holdings reported better-than-expected performance for Q3 2025, driven by higher net interest income and wealth management revenue, with adjusted revenue of $17.9 billion, a 4% year-on-year increase, and a baseline net profit of $6.2 billion, up 1% year-on-year [1] Financial Performance - The main reason for the better-than-expected performance was the net interest income, which increased by 3% quarter-on-quarter and 2% year-on-year, supported by rapid deposit growth [1] - Average interest-earning assets grew by 6% year-on-year, contributing to the increase in net interest income [1] - The banking net interest margin rose by 2 basis points to 1.98%, attributed to a rebound in HIBOR since early August [1] Future Outlook - Net interest income is influenced by multiple factors, including the rapid rebound of HIBOR from below 1% to around 3.5% since August, and a year-on-year deposit growth of 5% [2] - The proportion of CASA deposits increased to 64% in Q3 2025, up 3 percentage points from Q1 2025 [2] - The company raised its 2025 Banking NII guidance from approximately $42 billion to $43 billion or better [1] Earnings Forecast and Valuation - The company adjusted its 2025E revenue forecast down by 1.3% to $67.2 billion and net profit forecast down by 3.7% to $21.1 billion due to slowing non-interest income growth [2] - For 2026E, the revenue forecast was raised by 4.0% to $71.7 billion, and net profit forecast was increased by 11.2% to $27.1 billion, reflecting resilience in net interest margin [2] - The company is trading at 1.4x/1.3x 2025E/2026E P/B, maintaining a target price of HKD 111.9, indicating a 5% upside potential and a rating of outperforming the industry [2]

Core Insights - HSBC Holdings reported a year-on-year revenue growth of 4.8% and a pre-tax profit growth of 4.5% for Q1-3 2025, with an upward revision of the 2025 ROTE guidance to above 15% [1][2] - The company announced a third dividend payout of $0.1 per ordinary share, totaling approximately $1.72 billion [1] - The bank's total assets, loans, and deposits showed year-on-year growth of 4.4%, 1.4%, and 4.6% respectively as of September, indicating a recovery in credit demand in the UK [1][2] Financial Performance - The net interest margin for Q3 2025 was reported at 1.56%, with a slight increase from Q2 [1][2] - The bank's net interest income guidance for 2025 was raised from $42 billion to $43 billion, supported by effective interest rate hedging and optimized funding costs [2] - Non-interest income grew by 17.2% year-on-year for Q1-3 2025, driven by a 24.9% increase in wealth management revenue [2] Asset Quality and Capital Position - As of September, the non-performing loan ratio was 2.50% with a provision coverage ratio of 42%, indicating stable asset quality [2][3] - The core Tier 1 capital ratio decreased slightly to 14.5%, with expectations of further pressure due to the privatization of Hang Seng Bank [3] - The company aims for a target price-to-book ratio of 1.50 for 2026, with projected net profits of $22.862 billion, $23.490 billion, and $25.804 billion for 2025-2027 [3]

Core Insights - HSBC has expanded its Innovation Banking unit to Singapore, allocating $1.5 billion to support startup companies in the region [1] - The expansion is part of HSBC's global initiative to increase lending in sectors such as technology and life sciences [1] - Neil Falconer has been appointed to lead the Singapore arm of HSBC Innovation Banking [1] Business Performance - The Innovation Banking division now includes over 900 bankers and serves clients across multiple regions including the US, UK, Australia, and China [2] - In the first half of the year, HSBC's Innovation Banking business saw a nearly 60% increase in its active client base [2] - Deposits rose by approximately 50% and loan commitments increased by around 25% during the same period [2] Strategic Focus - HSBC's global head of Innovation Banking emphasized the bank's tailored credit policy to support cash-intensive businesses in technology and healthcare [3] - The bank aims to provide a stable environment for capital raised in technology sectors, particularly during IPOs [3] - HSBC has also launched an enhanced entrepreneurial wealth proposition in Singapore to support entrepreneurs at various stages of their business journey [3] Market Position - Singapore is recognized as a leading hub for entrepreneurs, with 15% of them planning to move their wealth there and 12% considering relocation [4] - The increase in liquidity and transition activity among founders linked to HSBC's Corporate and Institutional Banking network has been noted over the past year [4] - BNP Paribas has recently completed the acquisition of HSBC's private banking operations in Germany, indicating ongoing strategic shifts within the bank [4]

Core Viewpoint - The recent rate cuts by the Hong Kong Monetary Authority (HKMA) and local banks are expected to positively impact the economy and property market in Hong Kong, although the pace of future cuts remains uncertain [1][6]. Group 1: Rate Cuts and Economic Impact - The HKMA cut the base rate by a quarter point to 4.25%, marking the lowest level since November 2022 [6]. - HSBC and Bank of China (Hong Kong) reduced their prime lending rates by 12.5 basis points to a historic low of 5%, while Standard Chartered's rate is now 5.25% [5][7]. - The adjustments in rates are a response to the US Federal Reserve's recent rate cut, reflecting local market conditions [2][3]. Group 2: Banking Sector Response - The prime rate cut is the second in six weeks, following a 12.5-basis-point reduction in September [3]. - Other banks in Hong Kong are expected to follow HSBC's lead in adjusting their rates [3]. - The new rates from HSBC will take effect on Friday, while Bank of China and Standard Chartered will implement changes on Monday [3]. Group 3: Mortgage and Lending Environment - As of the end of August, Hong Kong homebuyers had HK$1.89 trillion in outstanding mortgage loans, with an average mortgage size of HK$4.61 million for new loans [10]. - The rate cuts are seen as beneficial for small and medium-sized enterprises and mortgage borrowers, although further reductions in interbank rates would enhance this effect [17][19]. - The one-month Hong Kong interbank offered rate (Hibor) has increased to 3.4373%, impacting mortgage pricing [17].

滙豐控股有限公司 (香港股份代號：5) 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚 賴該等內容而引致的任何損失承擔任何責任。 本公告僅供參考，並不構成收購、購買或認購滙豐控股、滙豐亞太或恒生銀行證券的邀請或要 約或該等邀請或要約的一部分，亦不在任何司法管轄區構成任何投票或批准的招攬，亦不構成 於任何司法管轄區內任何收購、購買或認購滙豐控股、滙豐亞太或恒生銀行證券的邀請 、 要約 或招攬要約，亦不得在任何司法管轄區內違反適用法律進行銷售、發行或轉讓滙豐控股、滙豐 亞太或恒生銀行證券。若構成違反任何司法管轄區的適用法律或法規，則本公告所載全部或部 分資料不得於、向或從該司法管轄區發佈、刊發或分發。 恒生銀行有限公司 (股份代號：11(港幣櫃台)及 80011(人民幣櫃台)) 香港上海滙豐銀行有限公司 聯合公告 （1）香港上海滙豐銀行有限公司根據公司條例第 673 條 以協議安排方式將恒生銀行有限公司私有化之建議 及 （2）建議撤銷恒生銀行股份的上市地位 有關寄發計劃文件的時間表的更新情況 滙 ...

Core Viewpoint - Royal Bank of Canada (RBC) has raised the target price for HSBC Holdings from 950 pence to 1050 pence [1] Company Summary - The adjustment in target price reflects RBC's positive outlook on HSBC's performance and market position [1]

Core Viewpoint - HSBC Holdings reported better-than-expected third-quarter performance, with adjusted revenue of $17.9 billion, a year-on-year increase of 4% [1] - The net profit attributable to ordinary shareholders increased by 1% year-on-year to $6.2 billion, surpassing both the bank's and market expectations, primarily due to higher net interest income and wealth management revenue [1] Revenue and Profit Forecasts - The company has revised down its full-year revenue forecast by 1.3% to $67.2 billion, and the net profit forecast for ordinary shareholders has been reduced by 3.7% to $21.1 billion, considering the slowdown in non-interest income growth [1] - However, due to the resilience in net interest margin, the revenue forecast for next year has been increased by 4% to $71.7 billion, and the net profit forecast for ordinary shareholders has been raised by 11.2% to $27.1 billion [1] Target Price and Rating - The target price for HSBC Holdings remains unchanged at HKD 111.9, with a rating of "outperform" [1]