In the three months leading up to the end of September, the company reported pre-tax profits of $8.5 billion (£6.6 billion), exceeding analysts’ forecasts.
It happens a few days after the new head of HSBC announced a significant reorganization of the business.
Due to rising geopolitical tensions and a need to reduce expenses, the company will geographically divide into eastern and western areas.
Georges Elhedery, HSBC’s new CEO, stated that the measures will “begin immediately” and pledged to provide additional information in February along with the bank’s full-year results.
“We produced another strong quarter, demonstrating the effectiveness of our approach.” Mr. Elhedery.
The bank also announced plans to repurchase an additional $3 billion worth of its own stock.
Following the announcement, HSBC shares were up more than 2% in Hong Kong.
Michael Makdad, a senior stock analyst at financial services company Morningstar, stated that HSBC’s third-quarter results were strong and did not reveal any significant surprises.
I believe the emphasis will be on the fundamental makeover rather than the usually positive outcomes.
