Zhi Tong Cai Jing·2025-11-03 09:41Core Viewpoint - UBS reports that HSBC Holdings (00005) delivered strong performance in Q3, with a 9% year-on-year increase in pre-provision profit; excluding $1.6 billion in significant special items, the actual performance is even more impressive [1] Financial Performance - Q3 revenue increased by 5%, with net interest income rising by 4% and fee-based and other income up by 6%, although partially offset by a 1% rise in operating expenses [1] - The bank's provision for credit losses increased in the commercial real estate sector in Hong Kong and in the UK and Middle East and North Africa regions, but the impairment losses remained at 40 basis points, in line with expectations [1] Capital Position - The Common Equity Tier 1 (CET1) capital ratio for Q3 was 14.5%, a decrease of 10 basis points quarter-on-quarter, which also met expectations [1] Earnings Forecast and Target Price - The company raised its earnings per share forecasts for HSBC for the years 2025 to 2027 by 3%, 1%, and 0% respectively, and increased the target price from HKD 103.7 to HKD 108.2, maintaining a "Neutral" rating [1]