• World
  • Columnist
  • Commodities
  • WORLD BUSINESS & ECONOMY
  • Executive Knowledge Series
  • Finance
  • Manufacturing
  • Markets
  • Risk & Governance
  • Small Business
  • Technology, Media & Innovation
  • Comments
  • Business AM WebTV
  • Login

Businessamlive
  • FRONTPAGE
  • FINANCE
    • AllAsset ManagementAuditBankingBondBudgetCapital MarketsC&I LeasingCurrencyDealDebt marketForexFund RaisingFundingGovernmentHedge FundsInsuranceInvestmentInvestorInvestor ServicesMergers & AcquistionsMoney marketTreasury BillsMortgagePensionsPersonal financePonziQuantitative EasingshareTaxationTSAWealth Management
      Finance

      Decent first 2021 auction for DMO, but drive to finance FGN deficit still poses a challenge

      9 hrs

      Finance

      Exposing Nigeria’s vulnerabilities: Covid-19, crude oil downsides from weak global macro environment

      9 hrs

      Finance

      Nigeria, Africa remittances on target as Wari, Lycaremit sign partnership

      January 21, 2021

      Companies

      Total Nigeria, Mixta, Valency, list new CPs on FMDQ platform to enhance financial markets development

      January 19, 2021

  • MARKETS
  • ECONOMY
    • AllAfricaAgricAirportsAmericaAsiaAustraliaBreakthroughDealEuropeForeign InvestmentsforexGlobal marketGovernanceIMFMiddle EastNECANigeriaOutlookRich listSouth AfricaSport BusinessTradeU.KWest AfricaWorld Economic forum
      Frontpage

      SDG: Covid-19 magnifies financing gap in developing countries by 70%, says OECD

      7 hrs

      Frontpage

      Africa startups received $2.44bn investment with marginal drop in 2020

      19 hrs

      Markets

      Nairobi Stock Exchange pushes expansion plans with more listings in 2021, says CEO

      January 23, 2021

      Africa Investment Forum

      Africa’s $60bn losses in illicit capital flows due to multinationals’ tax avoidance, says AfDB Adesina

      January 22, 2021

  • COMMODITIES
  • ENERGY
    • AllConferenceElectricityOil and GasPowerRenewable
      Oil and Gas

      Nigeria’s electricity DisCos create imbalance costing N20.5bn in 3 weeks  

      22 hrs

      Companies

      Appeal Court suspends order against shutting of SEPLAT headoffice

      January 23, 2021

      Frontpage

      OPEC welcomes push for electric vehicles, but says fossil fuel remains strong

      January 21, 2021

      National: Governance, Policy & Politics

      Nigeria ramps up domestic LPG consumption above 1MMT, says PPPRA

      January 20, 2021

  • TECHNOLOGY
  • MANUFACTURING
  • ANALYSIS
    • Analyst Insight

      Misconstruing Data Protection Officer function within organisations

      January 25, 2021

      Analyst Insight

      CBN meeting and NSE in focus

      January 18, 2021

      Analyst Insight

      Once again, fiscal stimulus takes centre stage

      January 18, 2021

      Analyst Insight

      Organisations must learn from the WhatsApp story  

      January 18, 2021

WORLD BUSINESS & ECONOMY

HSBC reports £3.2bn H1 profits, down 65% on coronavirus, interest rates dive

August 4, 2020309 views0 comments

 

  • Plans to cut around 35,000 jobs worldwide

HSBC, the global investment banking company, has announced profits of £3.2 billion in the half-year to June 30, down from £9.5 billion for the same period in 2019. It represents a huge 65 percent drop for Europe’s biggest bank, which was struck by coronavirus interruption and a dive in interest rates.

The London Evening Standard reports that the bank has persevered through an arid year on the markets with the London listed shares falling over 40 per cent from 595p to 342p. Though, the bank, in its update, said its future dividend policy would be looked into and included.

“Lower global interest rates and reduced customer activity have put increasing pressure on revenue, and are expected to continue to do so,” the bank said in a statement.

Read Also:

  • Analysts downplay rates tweak as CBN’s MPC meets

Noel Quinn, group CEO, who put the brakes on a wide-running repetition programme as the coronavirus grabbed hold, said: “Our first half performance was impacted by the Covid-19 pandemic, falling interest rates, increased geopolitical risk and heightened levels of market volatility.”

In any case, plans to eliminate around 35,000 jobs worldwide will be quickened, as the organization will likewise take a gander at different measures to take, “considering the new financial condition to make HSBC a stronger and more sustainable business”, Quinn said in the half-year results.

Meanwhile, HSBC, alongside other banks, consented to a Bank of England solicitation to hold dividends for investors, with the bank saying it would not make payouts or have share buy-backs until the end of 2020. Though, the company has made safe spot arrangements for credit losses of £2.9 billion in the quarter ending June 30, up from £420 million in a similar period of 2019.

As indicated in a report by the bank, the continued pressure between the US and China, and conversations over the state of Brexit will keep on affecting execution.

It stated: “Our performance in the second half of the year will continue to be influenced by the path and economic impact of the Covid-19 outbreak.

“Geopolitical uncertainty could also weigh heavily on our clients, particularly those impacted by heightened US-China and UK-China tensions, and the future of UK-EU trade relations.”

The bank, despite being headquartered in the UK, makes the majority of its profits in Asia and Quinn recognized the geopolitical hazard in the region.

He stated: “Current pressures among China and the US definitely make testing circumstances for an association with HSBC’s footprint. We will confront any political difficulties that emerge with an emphasis on the drawn-out necessities of our clients and the eventual benefits of our financial specialists.”

Share on Facebook Tweet Email
PreviousKonga mulls listings on New York, London, Nigerian stock exchanges
NextDiageo sales slump globally as revenue falls 8% occasioned by pandemic

Leave a comment

- Cancel reply

MARKET DATA

Market Videos

Recent Posts

  • Unilever Nigeria cuts operating loss significantly as revenue rises 1.3% to N61.6bn
  • Bargain hunters feast on Airtel, MTN, Lafarge as Nigeria bourse swings higher
  • SDG: Covid-19 magnifies financing gap in developing countries by 70%, says OECD
  • Nigerian university agriculture institute researchingflood resistant maize
  • CBN’s MPC keeps MPR at 11.50% in line with analysts’ expectations

World

Africa

Buhari, Okonjo-Iweala congratulate Adesina over reelection as AfDB President

Europe

EU businesses to cut investments in 2020, says EIB report

America

U.S. increases cost of visa application for Nigerians

Africa

Thatcher-Loving Nigeria Candidate Plans to Overhaul Economy

Africa

AfDB scales up industrialization pace on the continent, delivers improved business access to finance, skills, energy

Frontpage posts

0

Nigerian banks lose 8.7% deposits to treasury bills in 12 months as depositors switch investments

Frontpage October 30, 2017

1
2

Investors still have N60bn unclaimed dividends with companies – SEC

Frontpage January 29, 2020

3

World coal production just had its biggest drop on record

Frontpage July 1, 2017

4

CBN set for second sale of Chinese yuan

Frontpage August 20, 2018

5

2018 might not be quite so happy for OPEC producers, says IEA

Frontpage December 15, 2017

SUPPORT

  • Photo Gallery
  • Help Centre
  • About Us
  • Accessibility

LEGAL & PRIVACY

  • Terms & Conditions
  • Privacy
  • Cookies
  • Copyright

SERVICES

  • Conferences & Events
  • Analysts Research
  • Advertising Rate
  • Ebooks

TOOLS

  • Portfolio
  • Newsletters
  • News feed
  • Currency Converter

SUBSCRIBE

Join us to get latest updates on business related news.

[mc4wp_form id="3076"]
  • ABOUT US
  • CONTACT US
  • CAREERS
  • TERMS & CONDITIONS
  • PRIVACY POLICY
Copyright 2017. All rights reserved. BusinessAMLive. A Businessnewscorp Member Company.