HSBC is to buy back a further $3 billion of its shares, in the global bank's latest effort to put some support under its share price, as it posts interim profits that were largely flat but beat analysts' expectations.
The share buyback programme comes on the back of a similar $5 billion proposal announced earlier in the year.
The interim results were also the final set with retiring chief executive Noel Quinn at the helm, as he'll be replaced by Lebanese-born Georges Elhedery in September.
“After delivering record profits in 2023, we had another strong profit performance in the first half of 2024, which is further evidence that our strategy is working,” Mr Quinn said, who has worked for HSBC for 37 years.
“I have always been immensely proud of the heritage of this bank and the strategic role it plays in the world.”
The change of leadership at the top of HSBC comes as the bank pivots more towards its Asian roots. It has already sold off its French and Canadian operations and redeployed capital, particularly to South-East Asia and China.
Much of HSBC's record profits last year were derived from the rising interest rates set by the major central banks, as monetary authorities sought to quell rapidly rising inflation. However, as those central banks now seem to be teetering on the brink of cutting rates, HSBC and other global banks are focusing on revenue generation outside of traditional lending.
HSBC's net interest income fell by $1.4 billion in the first half of this year to $16.9 billion, while its net interest margin, a key measure of how much the bank makes from lending, dropped to 1.62 per cent from 1.7 per cent at this time last year.
In Mr Quinn's five-year term as HSBC's chief executive, the bank paid $36 billion in dividends and $18 billion in share buy-backs to its shareholders.
Europe's largest bank said growth in wealth management and a narrowing loss in Chinese real estate had helped it keep its head above water, as it posted a pre-tax profit of $21.6 billion for the first half of the year which, while a fall of 0.4 per cent compared to the same period last year, was better than the $20.5 billion average forecast.
HSBC's wealth management business had revenue of $4.3 billion for the first half, a 12 per cent rise on the same period last year, driven by solid performances in private banking, asset management and life insurance.
Connecting Asia and the Middle East
As most major central banks start to prepare to reduce interest rates, HSBC is moving away from a business model that is “less of a slavish reliance on interest rate movements and levels, with an increasing focus on the growth in affluent wealth, especially in Asia,” said Richard Hunter, head of markets at Interactive Investor.
“Apart from the longer-term potential for the key Chinese market, the group previously identified areas such as India and Vietnam as being some of the fastest growing economies at present, while the building economic connections between Asia and the Middle East, notwithstanding any geopolitical conflicts, are also emerging opportunities for HSBC with its sprawling footprint,” he added.
Matt Britzman, senior equity analyst at Hargreaves Lansdown agreed that the strategy switch to greater focus on wealth management is “bearing fruit and should allow HSBC to take advantage of the burgeoning middle class in regions like China”.
“The outlook on loan losses is decent too, with management signalling the worst of the Chinese commercial real estate drama now in the rear-view mirror,” he said.
HSBC shares were 4 per cent higher during midmorning trade on Wednesday in London.
Despite rising about 7 per cent so far this year, the shares have stumbled behind their rivals in the banking sector. But analysts now see them as a better buy going forward.
"Having lagged the sector year to date, we think the shares look good value and are due a period of better performance," said Gary Greenwood, an investment analyst at Shore Capital.
Abu Dhabi GP weekend schedule
Friday
First practice, 1pm
Second practice, 5pm
Saturday
Final practice, 2pm
Qualifying, 5pm
Sunday
Etihad Airways Abu Dhabi Grand Prix (55 laps), 5.10pm
Wicked: For Good
Director: Jon M Chu
Starring: Ariana Grande, Cynthia Erivo, Jonathan Bailey, Jeff Goldblum, Michelle Yeoh, Ethan Slater
Rating: 4/5
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
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Classification of skills
A worker is categorised as skilled by the MOHRE based on nine levels given in the International Standard Classification of Occupations (ISCO) issued by the International Labour Organisation.
A skilled worker would be someone at a professional level (levels 1 – 5) which includes managers, professionals, technicians and associate professionals, clerical support workers, and service and sales workers.
The worker must also have an attested educational certificate higher than secondary or an equivalent certification, and earn a monthly salary of at least Dh4,000.
Silent Hill f
Publisher: Konami
Platforms: PlayStation 5, Xbox Series X/S, PC
Rating: 4.5/5
The specs
Engine: 2.0-litre 4cyl turbo
Power: 261hp at 5,500rpm
Torque: 405Nm at 1,750-3,500rpm
Transmission: 9-speed auto
Fuel consumption: 6.9L/100km
On sale: Now
Price: From Dh117,059
Jetour T1 specs
Engine: 2-litre turbocharged
Power: 254hp
Torque: 390Nm
Price: From Dh126,000
Available: Now
Russia's Muslim Heartlands
Dominic Rubin, Oxford
Palestine and Israel - live updates
A cheaper choice
Vanuatu: $130,000
Why on earth pick Vanuatu? Easy. The South Pacific country has no income tax, wealth tax, capital gains or inheritance tax. And in 2015, when it was hit by Cyclone Pam, it signed an agreement with the EU that gave it some serious passport power.
Cost: A minimum investment of $130,000 for a family of up to four, plus $25,000 in fees.
Criteria: Applicants must have a minimum net worth of $250,000. The process take six to eight weeks, after which the investor must travel to Vanuatu or Hong Kong to take the oath of allegiance. Citizenship and passport are normally provided on the same day.
Benefits: No tax, no restrictions on dual citizenship, no requirement to visit or reside to retain a passport. Visa-free access to 129 countries.
Off-roading in the UAE: How to checklist
Tips for used car buyers
- Choose cars with GCC specifications
- Get a service history for cars less than five years old
- Don’t go cheap on the inspection
- Check for oil leaks
- Do a Google search on the standard problems for your car model
- Do your due diligence. Get a transfer of ownership done at an official RTA centre
- Check the vehicle’s condition. You don’t want to buy a car that’s a good deal but ends up costing you Dh10,000 in repairs every month
- Validate warranty and service contracts with the relevant agency and and make sure they are valid when ownership is transferred
- If you are planning to sell the car soon, buy one with a good resale value. The two most popular cars in the UAE are black or white in colour and other colours are harder to sell
Tarek Kabrit, chief executive of Seez, and Imad Hammad, chief executive and co-founder of CarSwitch.com
How to help
Donate towards food and a flight by transferring money to this registered charity's account.
Account name: Dar Al Ber Society
Account Number: 11 530 734
IBAN: AE 9805 000 000 000 11 530 734
Bank Name: Abu Dhabi Islamic Bank
To ensure that your contribution reaches these people, please send the copy of deposit/transfer receipt to: juhi.khan@daralber.ae
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
Trump v Khan
2016: Feud begins after Khan criticised Trump’s proposed Muslim travel ban to US
2017: Trump criticises Khan’s ‘no reason to be alarmed’ response to London Bridge terror attacks
2019: Trump calls Khan a “stone cold loser” before first state visit
2019: Trump tweets about “Khan’s Londonistan”, calling him “a national disgrace”
2022: Khan’s office attributes rise in Islamophobic abuse against the major to hostility stoked during Trump’s presidency
July 2025 During a golfing trip to Scotland, Trump calls Khan “a nasty person”
Sept 2025 Trump blames Khan for London’s “stabbings and the dirt and the filth”.
Dec 2025 Trump suggests migrants got Khan elected, calls him a “horrible, vicious, disgusting mayor”
