Key financial metrics
|
|
|
Half-year to
|
||
|
|
30 Jun
|
30 Jun
|
31 Dec
|
|
Footnotes
|
2020
|
2019
|
2019
|
Reported results
|
|
|
|
|
Reported revenue ($m)
|
|
26,745
|
29,372
|
26,726
|
Reported profit before tax ($m)
|
|
4,318
|
12,407
|
940
|
Reported profit after tax ($m)
|
|
3,125
|
9,937
|
(1,229)
|
Profit attributable to the ordinary shareholders of the parent
company ($m)
|
|
1,977
|
8,507
|
(2,538)
|
Cost efficiency ratio (%)
|
|
61.8
|
58.4
|
94.3
|
Basic earnings per share ($)
|
|
0.10
|
0.42
|
(0.13)
|
Diluted earnings per share ($)
|
|
0.10
|
0.42
|
(0.13)
|
Return on average ordinary shareholders' equity (annualised)
(%)
|
|
2.4
|
10.4
|
(3.0)
|
Net interest margin (%)
|
1
|
1.43
|
1.61
|
1.58
|
Alternative performance measures
|
|
|
|
|
Adjusted revenue ($m)
|
|
26,477
|
27,815
|
26,632
|
Adjusted profit before tax ($m)
|
|
5,635
|
12,273
|
9,660
|
Adjusted cost efficiency ratio (%)
|
|
56.4
|
56.6
|
61.8
|
Annualised expected credit losses and other credit impairment
charges (‘ECL’) as a % of average gross loans and
advances to customers (%)
|
|
1.33
|
0.22
|
0.30
|
Return on average tangible equity (annualised) (%)
|
1, 2
|
3.8
|
11.2
|
8.4
|
|
|
|
|
|
|
|
At
|
||
|
|
30 Jun
|
30 Jun
|
31 Dec
|
|
|
2020
|
2019
|
2019
|
Balance sheet
|
|
|
|
|
Total assets ($m)
|
|
2,922,798
|
2,751,273
|
2,715,152
|
Net loans and advances to customers ($m)
|
|
1,018,681
|
1,021,632
|
1,036,743
|
Customer accounts ($m)
|
|
1,532,380
|
1,380,124
|
1,439,115
|
Average interest-earning assets ($m)
|
1
|
2,034,939
|
1,912,708
|
1,922,822
|
Loans and advances to customers as % of customer accounts
(%)
|
|
66.5
|
74.0
|
72.0
|
Total shareholders’ equity ($m)
|
|
187,036
|
192,676
|
183,955
|
Tangible ordinary shareholders’ equity ($m)
|
|
147,879
|
145,441
|
144,144
|
Net asset value per ordinary share at period end ($)
|
3,4
|
8.17
|
8.35
|
8.00
|
Tangible net asset value per ordinary share at period end
($)
|
4
|
7.34
|
7.19
|
7.13
|
Capital, leverage and liquidity
|
|
|
|
|
Common equity tier 1 capital ratio (%)
|
5
|
15.0
|
14.3
|
14.7
|
Risk-weighted assets ($m)
|
5
|
854,552
|
885,971
|
843,395
|
Total capital ratio (%)
|
5
|
20.7
|
20.1
|
20.4
|
Leverage ratio (%)
|
5
|
5.3
|
5.4
|
5.3
|
High-quality liquid assets (liquidity value) ($bn)
|
|
654
|
533
|
601
|
Liquidity coverage ratio (%)
|
|
148
|
136
|
150
|
Share count
|
|
|
|
|
Period end basic number of $0.50 ordinary shares outstanding
(millions)
|
|
20,162
|
20,221
|
20,206
|
Period end basic number of $0.50 ordinary shares outstanding and
dilutive potential ordinary shares (millions)
|
|
20,198
|
20,286
|
20,280
|
Average basic number of $0.50 ordinary shares outstanding
(millions)
|
|
20,162
|
20,124
|
20,191
|
Dividend per ordinary share (in respect of the period)
($)
|
1
|
—
|
0.20
|
0.30
|
Highlights
|
|
|
Half-year to
|
|
|
|
30 Jun
|
30 Jun
|
|
|
2020
|
2019
|
|
Footnotes
|
$m
|
$m
|
Reported
|
|
|
|
Revenue
|
1
|
26,745
|
29,372
|
Change
in expected credit losses and other credit impairment
charges
|
|
(6,858)
|
(1,140)
|
Operating
expenses
|
|
(16,527)
|
(17,149)
|
Profit before tax
|
|
4,318
|
12,407
|
Adjusted
|
2
|
|
|
Revenue
|
1
|
26,477
|
27,815
|
Change
in expected credit losses and other credit impairment
charges
|
|
(6,858)
|
(1,088)
|
Operating
expenses
|
|
(14,942)
|
(15,739)
|
Profit before tax
|
|
5,635
|
12,273
|
Significant items affecting adjusted performance
|
|
|
|
Revenue
|
|
|
|
Customer
redress programmes
|
|
26
|
—
|
Disposals,
acquisitions and investment in new businesses
|
|
(8)
|
827
|
Fair
value movements on financial instruments
|
3
|
299
|
50
|
Restructuring and other related costs
|
|
(49)
|
—
|
Operating expenses
|
|
|
|
Costs of structural reform
|
4
|
—
|
(91)
|
Customer redress programmes
|
|
(50)
|
(610)
|
Impairment
of goodwill and other intangibles
|
|
(1,025)
|
—
|
Restructuring
and other related costs
|
5
|
(505)
|
(287)
|
Settlements
and provisions in connection with legal and regulatory
matters
|
|
(5)
|
2
|
Review by Noel Quinn, Group Chief Executive
|
Financial summary
|
|
|
Half-year
to
|
||
|
|
30 Jun
|
30 Jun
|
31 Dec
|
|
|
2020
|
2019
|
2019
|
|
Footnotes
|
$m
|
$m
|
$m
|
For the period
|
|
|
|
|
Profit
before tax
|
|
4,318
|
12,407
|
940
|
Profit attributable to:
|
|
|
|
|
–
ordinary shareholders of the parent company
|
|
1,977
|
8,507
|
(2,538)
|
Dividends
on ordinary shares
|
|
—
|
4,206
|
6,063
|
At the period end
|
|
|
|
|
Total
shareholders’ equity
|
|
187,036
|
192,676
|
183,955
|
Total
regulatory capital
|
|
177,242
|
176,610
|
172,150
|
Customer
accounts
|
|
1,532,380
|
1,380,124
|
1,439,115
|
Total
assets
|
|
2,922,798
|
2,751,273
|
2,715,152
|
Risk-weighted
assets
|
|
854,552
|
885,971
|
865,318
|
Per ordinary share
|
|
$
|
$
|
$
|
Basic
earnings
|
|
0.10
|
0.42
|
(0.13)
|
Dividend per ordinary share (declared in the period)
|
1
|
—
|
0.31
|
0.20
|
Net
asset value
|
2
|
8.17
|
8.35
|
8.00
|
Distribution of results by global business
|
Adjusted
profit before tax
|
||||||
|
Half-year
to
|
|||||
|
30 Jun
|
30
Jun
|
31
Dec
|
|||
|
2020
|
2019
|
2019
|
|||
|
$m
|
%
|
$m
|
%
|
$m
|
%
|
Wealth
and Personal Banking
|
1,695
|
30.1
|
4,824
|
39.3
|
3,989
|
41.3
|
Commercial
Banking
|
184
|
3.2
|
3,911
|
31.9
|
3,197
|
33.1
|
Global
Banking and Markets
|
2,548
|
45.2
|
2,735
|
22.3
|
2,396
|
24.8
|
Corporate
Centre
|
1,208
|
21.5
|
803
|
6.5
|
78
|
0.8
|
Profit before tax
|
5,635
|
100.0
|
12,273
|
100.0
|
9,660
|
100.0
|
Distribution of results by geographical region
|
Reported
profit/(loss) before tax
|
|
|
|
|
|
|
|
|
Half-year to
|
||||||
|
30 Jun
|
30 Jun
|
31 Dec
|
||||
|
2020
|
2019
|
2019
|
||||
|
$m
|
%
|
$m
|
%
|
$m
|
%
|
|
Europe
|
(3,060)
|
(70.9)
|
(520)
|
(4.2)
|
|
(4,133)
|
(439.7)
|
Asia
|
7,369
|
170.7
|
9,780
|
78.8
|
|
8,688
|
924.3
|
Middle East and North Africa
|
(26)
|
(0.6)
|
1,736
|
14.0
|
|
591
|
62.9
|
North America
|
23
|
0.5
|
746
|
6.0
|
|
21
|
2.2
|
Latin America
|
12
|
0.3
|
665
|
5.4
|
|
(265)
|
(28.2)
|
Global GBM goodwill impairment
|
—
|
—
|
—
|
—
|
|
(3,962)
|
(421.5)
|
Profit before tax
|
4,318
|
100.0
|
12,407
|
100.0
|
|
940
|
100.0
|
HSBC
adjusted profit before tax and balance sheet data
|
||||||
|
|
Half-year to 30 Jun 2020
|
||||
|
|
Wealth and Personal Banking
|
CommercialBanking
|
GlobalBanking and Markets
|
Corporate Centre
|
Total
|
|
Footnotes
|
$m
|
$m
|
$m
|
$m
|
$m
|
Net operating income before change in expected credit losses and
other credit impairment charges
|
1
|
11,251
|
7,000
|
8,178
|
48
|
26,477
|
–
external
|
|
9,684
|
7,431
|
10,105
|
(743)
|
26,477
|
–
inter-segment
|
|
1,567
|
(431)
|
(1,927)
|
791
|
—
|
of which: net interest income/(expense)
|
|
8,032
|
4,883
|
2,372
|
(804)
|
14,483
|
Change
in expected credit losses and other credit impairment
charges
|
|
(2,202)
|
(3,526)
|
(1,118)
|
(12)
|
(6,858)
|
Net operating income
|
|
9,049
|
3,474
|
7,060
|
36
|
19,619
|
Total
operating expenses
|
|
(7,346)
|
(3,290)
|
(4,512)
|
206
|
(14,942)
|
Operating profit
|
|
1,703
|
184
|
2,548
|
242
|
4,677
|
Share
of profit in associates and joint ventures
|
|
(8)
|
—
|
—
|
966
|
958
|
Adjusted profit before tax
|
|
1,695
|
184
|
2,548
|
1,208
|
5,635
|
|
|
%
|
%
|
%
|
%
|
%
|
Share
of HSBC’s adjusted profit before tax
|
|
30.1
|
3.3
|
45.2
|
21.4
|
100.0
|
Adjusted
cost efficiency ratio
|
|
65.3
|
47.0
|
55.2
|
(429.2)
|
56.4
|
Adjusted balance sheet data
|
|
$m
|
$m
|
$m
|
$m
|
$m
|
Loans
and advances to customers (net)
|
|
429,487
|
344,567
|
243,355
|
1,272
|
1,018,681
|
Interests
in associates and joint ventures
|
|
425
|
13
|
136
|
24,226
|
24,800
|
Total
external assets
|
|
814,719
|
549,530
|
1,390,006
|
168,543
|
2,922,798
|
Customer
accounts
|
|
775,870
|
418,263
|
337,573
|
674
|
1,532,380
|
Adjusted
risk-weighted assets
|
3
|
161,744
|
330,887
|
277,633
|
84,288
|
854,552
|
|
|
Half-year
to 30 Jun 20192
|
||||
Net
operating income/(expense) before change in expected credit losses
and other credit impairment charges
|
1
|
12,861
|
7,647
|
7,590
|
(283)
|
27,815
|
–
external
|
|
10,747
|
8,087
|
10,258
|
(1,277)
|
27,815
|
–
inter-segment
|
|
2,114
|
(440)
|
(2,668)
|
994
|
—
|
of which: net interest income/(expense)
|
|
8,525
|
5,466
|
2,667
|
(1,761)
|
14,897
|
Change
in expected credit losses and other credit impairment
(charges)/recoveries
|
|
(527)
|
(478)
|
(97)
|
14
|
(1,088)
|
Net
operating income/(expense)
|
|
12,334
|
7,169
|
7,493
|
(269)
|
26,727
|
Total
operating expenses
|
|
(7,551)
|
(3,258)
|
(4,758)
|
(172)
|
(15,739)
|
Operating
profit/(loss)
|
|
4,783
|
3,911
|
2,735
|
(441)
|
10,988
|
Share
of profit in associates and joint ventures
|
|
41
|
—
|
—
|
1,244
|
1,285
|
Adjusted
profit before tax
|
|
4,824
|
3,911
|
2,735
|
803
|
12,273
|
|
|
%
|
%
|
%
|
%
|
%
|
Share
of HSBC’s adjusted profit before tax
|
|
39.3
|
31.9
|
22.3
|
6.5
|
100.0
|
Adjusted
cost efficiency ratio
|
|
58.7
|
42.6
|
62.7
|
(60.8)
|
56.6
|
Adjusted
balance sheet data
|
|
$m
|
$m
|
$m
|
$m
|
$m
|
Loans
and advances to customers (net)
|
|
414,611
|
340,976
|
246,209
|
1,184
|
1,002,980
|
Interests
in associates and joint ventures
|
|
451
|
12
|
14
|
23,046
|
23,523
|
Total
external assets
|
|
729,032
|
506,223
|
1,319,642
|
148,668
|
2,703,565
|
Customer
accounts
|
|
714,969
|
354,806
|
286,867
|
505
|
1,357,147
|
Adjusted
risk-weighted assets
|
3
|
160,993
|
331,912
|
298,777
|
77,272
|
868,954
|
HSBC
adjusted profit before tax and balance sheet data
(continued)
|
||||||
|
|
Half-year
to 31 Dec 20193
|
||||
|
|
Wealth
and Personal Banking
|
CommercialBanking
|
GlobalBanking
and Markets
|
Corporate
Centre
|
Total
|
|
Footnotes
|
$m
|
$m
|
$m
|
$m
|
$m
|
Net
operating income/(expense) before change in expected credit losses
and other credit impairment charges
|
1
|
12,492
|
7,379
|
7,113
|
(352)
|
26,632
|
–
external
|
|
10,320
|
7,871
|
9,886
|
(1,445)
|
26,632
|
–
inter-segment
|
|
2,172
|
(492)
|
(2,773)
|
1,093
|
—
|
of which: net interest income/(expense)
|
|
8,769
|
5,409
|
2,533
|
(1,495)
|
15,216
|
Change
in expected credit losses and other credit impairment
(charges)/recoveries
|
|
(829)
|
(684)
|
(61)
|
20
|
(1,554)
|
Net
operating income/(expense)
|
|
11,663
|
6,695
|
7,052
|
(332)
|
25,078
|
Total
operating expenses
|
|
(7,685)
|
(3,498)
|
(4,656)
|
(609)
|
(16,448)
|
Operating
profit/(loss)
|
|
3,978
|
3,197
|
2,396
|
(941)
|
8,630
|
Share
of profit in associates and joint ventures
|
|
11
|
—
|
—
|
1,019
|
1,030
|
Adjusted
profit before tax
|
|
3,989
|
3,197
|
2,396
|
78
|
9,660
|
|
|
%
|
%
|
%
|
%
|
%
|
Share
of HSBC’s adjusted profit before tax
|
|
41.3
|
33.1
|
24.8
|
0.8
|
100.0
|
Adjusted
cost efficiency ratio
|
|
61.5
|
47.4
|
65.5
|
(173.0)
|
61.8
|
Adjusted
balance sheet data
|
|
$m
|
$m
|
$m
|
$m
|
$m
|
Loans
and advances to customers (net)
|
|
428,834
|
336,345
|
240,411
|
1,071
|
1,006,661
|
Interests
in associates and joint ventures
|
|
445
|
13
|
13
|
23,760
|
24,231
|
Total
external assets
|
|
754,369
|
496,757
|
1,233,829
|
153,539
|
2,638,494
|
Customer
accounts
|
|
735,301
|
377,691
|
285,954
|
710
|
1,399,656
|
Adjusted
risk-weighted assets
|
2
|
157,777
|
315,605
|
267,075
|
80,807
|
821,264
|
Consolidated
income statement
|
|||
|
Half-year to
|
||
|
30 Jun
|
30 Jun
|
31 Dec
|
|
2020
|
2019
|
2019
|
|
$m
|
$m
|
$m
|
Net
interest income
|
14,509
|
15,240
|
15,222
|
–
interest income
|
23,000
|
27,750
|
26,945
|
–
interest expense
|
(8,491)
|
(12,510)
|
(11,723)
|
Net fee
income
|
5,926
|
6,124
|
5,899
|
– fee income
|
7,480
|
7,804
|
7,635
|
– fee expense
|
(1,554)
|
(1,680)
|
(1,736)
|
Net
income from financial instruments held for trading or managed on a
fair value basis
|
5,768
|
5,331
|
4,900
|
Net income/(expense) from assets and liabilities of insurance
businesses, including related derivatives, measured at fair value
through profit or loss
|
(1,290)
|
2,196
|
1,282
|
Change
in fair value of designated debt and related
derivatives
|
197
|
88
|
2
|
Changes
in fair value of other financial instruments mandatorily measured
at fair value through profit or loss
|
80
|
457
|
355
|
Gains
less losses from financial investments
|
466
|
201
|
134
|
Net
insurance premium income
|
5,020
|
6,323
|
4,313
|
Other
operating income
|
471
|
2,072
|
885
|
Total operating income
|
31,147
|
38,032
|
32,992
|
Net
insurance claims and benefits paid and movement in liabilities to
policyholders
|
(4,402)
|
(8,660)
|
(6,266)
|
Net operating income before change in expected credit losses and
other credit impairment charges
|
26,745
|
29,372
|
26,726
|
Change
in expected credit losses and other credit impairment
charges
|
(6,858)
|
(1,140)
|
(1,616)
|
Net operating income
|
19,887
|
28,232
|
25,110
|
Employee
compensation and benefits
|
(8,514)
|
(9,255)
|
(8,747)
|
General
and administrative expenses
|
(4,918)
|
(6,372)
|
(7,456)
|
Depreciation
and impairment of property, plant and equipment and right-of-use
assets
|
(1,209)
|
(1,010)
|
(1,090)
|
Amortisation
and impairment of intangible assets
|
(1,845)
|
(512)
|
(558)
|
Goodwill
impairment
|
(41)
|
—
|
(7,349)
|
Total operating expenses
|
(16,527)
|
(17,149)
|
(25,200)
|
Operating profit/(loss)
|
3,360
|
11,083
|
(90)
|
Share
of profit in associates and joint ventures
|
958
|
1,324
|
1,030
|
Profit before tax
|
4,318
|
12,407
|
940
|
Tax
expense
|
(1,193)
|
(2,470)
|
(2,169)
|
Profit/(loss) for the period
|
3,125
|
9,937
|
(1,229)
|
Attributable
to:
|
|
|
|
–
ordinary shareholders of the parent company
|
1,977
|
8,507
|
(2,538)
|
–
preference shareholders of the parent company
|
45
|
45
|
45
|
–
other equity holders
|
617
|
664
|
660
|
–
non-controlling interests
|
486
|
721
|
604
|
Profit/(loss) for the period
|
3,125
|
9,937
|
(1,229)
|
|
$
|
$
|
$
|
Basic
earnings per ordinary share
|
0.10
|
0.42
|
(0.13)
|
Diluted
earnings per ordinary share
|
0.10
|
0.42
|
(0.13)
|
Consolidated statement of comprehensive income
|
|||
|
Half-year to
|
||
|
30 Jun
|
30 Jun
|
31 Dec
|
|
2020
|
2019
|
2019
|
|
$m
|
$m
|
$m
|
Profit/(loss)
for the period
|
3,125
|
9,937
|
(1,229)
|
Other comprehensive income/(expense)
|
|
|
|
Items that will be reclassified subsequently to profit or loss when
specific conditions are met:
|
|
|
|
Debt
instruments at fair value through other comprehensive
income
|
1,747
|
1,015
|
137
|
–
fair value gains/(losses)
|
2,654
|
2,141
|
(348)
|
–
fair value (gains)/losses transferred to the income statement on
disposal
|
(454)
|
(794)
|
429
|
–
expected credit recoveries/(losses) recognised in the income
statement
|
109
|
(5)
|
114
|
–
income taxes
|
(562)
|
(327)
|
(58)
|
Cash
flow hedges
|
476
|
239
|
(33)
|
–
fair value gains
|
255
|
241
|
310
|
–
fair value losses/(gains) reclassified to the income
statement
|
364
|
68
|
(354)
|
–
income taxes and other movements
|
(143)
|
(70)
|
11
|
Share
of other comprehensive income/(expense) of associates and joint
ventures
|
(115)
|
73
|
(52)
|
–
share for the period
|
(115)
|
85
|
(64)
|
–
fair value (gains)/losses transferred to the income statement on
disposal
|
—
|
(12)
|
12
|
Exchange
differences
|
(4,552)
|
109
|
935
|
Items that will not be reclassified subsequently to profit or
loss:
|
|
|
|
Remeasurement
of defined benefit asset/liability
|
1,182
|
(45)
|
58
|
–
before income taxes
|
1,703
|
(50)
|
33
|
–
income taxes
|
(521)
|
5
|
25
|
Changes
in fair value of financial liabilities designated at fair value
upon initial recognition arising from changes in own credit
risk
|
2,354
|
(1,445)
|
(557)
|
–
before income taxes
|
2,936
|
(1,816)
|
(823)
|
–
income taxes
|
(582)
|
371
|
266
|
Equity
instruments designated at fair value through other comprehensive
income
|
(123)
|
268
|
98
|
–
fair value gains/(losses)
|
(122)
|
265
|
99
|
–
income taxes
|
(1)
|
3
|
(1)
|
Effects
of hyperinflation
|
72
|
113
|
104
|
Other comprehensive expense for the period, net of tax
|
1,041
|
327
|
690
|
Total comprehensive income/(expense) for the period
|
4,166
|
10,264
|
(539)
|
Attributable
to:
|
|
|
|
–
ordinary shareholders of the parent company
|
3,043
|
8,741
|
(1,903)
|
–
preference shareholders of the parent company
|
45
|
45
|
45
|
–
other equity holders
|
617
|
664
|
660
|
–
non-controlling interests
|
461
|
814
|
659
|
Total comprehensive income/(expense) for the period
|
4,166
|
10,264
|
(539)
|
Consolidated
balance sheet
|
||
|
At
|
|
|
30 Jun
|
31 Dec
|
|
2020
|
2019
|
|
$m
|
$m
|
Assets
|
|
|
Cash
and balances at central banks
|
249,673
|
154,099
|
Items
in the course of collection from other banks
|
6,289
|
4,956
|
Hong
Kong Government certificates of indebtedness
|
39,519
|
38,380
|
Trading
assets
|
208,964
|
254,271
|
Financial
assets designated and otherwise mandatorily measured at fair value
through profit and loss
|
41,785
|
43,627
|
Derivatives
|
313,781
|
242,995
|
Loans
and advances to banks
|
77,015
|
69,203
|
Loans
and advances to customers
|
1,018,681
|
1,036,743
|
Reverse
repurchase agreements – non-trading
|
226,345
|
240,862
|
Financial
investments
|
494,109
|
443,312
|
Prepayments,
accrued income and other assets
|
197,425
|
136,680
|
Current
tax assets
|
821
|
755
|
Interests
in associates and joint ventures
|
24,800
|
24,474
|
Goodwill
and intangible assets
|
19,438
|
20,163
|
Deferred
tax assets
|
4,153
|
4,632
|
Total assets
|
2,922,798
|
2,715,152
|
Liabilities and equity
|
|
|
Liabilities
|
|
|
Hong
Kong currency notes in circulation
|
39,519
|
38,380
|
Deposits
by banks
|
82,715
|
59,022
|
Customer
accounts
|
1,532,380
|
1,439,115
|
Repurchase
agreements – non-trading
|
112,799
|
140,344
|
Items
in the course of transmission to other banks
|
6,296
|
4,817
|
Trading
liabilities
|
79,612
|
83,170
|
Financial
liabilities designated at fair value
|
156,608
|
164,466
|
Derivatives
|
303,059
|
239,497
|
Debt
securities in issue
|
110,114
|
104,555
|
Accruals,
deferred income and other liabilities
|
173,181
|
118,156
|
Current
tax liabilities
|
1,141
|
2,150
|
Liabilities
under insurance contracts
|
98,832
|
97,439
|
Provisions
|
3,209
|
3,398
|
Deferred
tax liabilities
|
4,491
|
3,375
|
Subordinated
liabilities
|
23,621
|
24,600
|
Total liabilities
|
2,727,577
|
2,522,484
|
Equity
|
|
|
Called
up share capital
|
10,346
|
10,319
|
Share
premium account
|
14,268
|
13,959
|
Other
equity instruments
|
20,914
|
20,871
|
Other
reserves
|
(301)
|
2,127
|
Retained
earnings
|
141,809
|
136,679
|
Total shareholders’ equity
|
187,036
|
183,955
|
Non-controlling
interests
|
8,185
|
8,713
|
Total equity
|
195,221
|
192,668
|
Total liabilities and equity
|
2,922,798
|
2,715,152
|
Consolidated statement of cash flows
|
|||
|
Half-year to
|
||
|
30 Jun
|
30 Jun
|
31 Dec
|
|
2020
|
2019
|
2019
|
|
$m
|
$m
|
$m
|
Profit before tax
|
4,318
|
12,407
|
940
|
Adjustments for non-cash items:
|
|
|
|
Depreciation,
amortisation and impairment
|
3,095
|
1,522
|
8,997
|
Net
gain from investing activities
|
(405)
|
(352)
|
(47)
|
Share
of profits in associates and joint ventures
|
(958)
|
(1,324)
|
(1,030)
|
Gain on
disposal of subsidiaries, businesses, associates and joint
ventures
|
—
|
(828)
|
(101)
|
Change
in expected credit losses gross of recoveries and other credit
impairment charges
|
6,875
|
1,347
|
1,665
|
Provisions
including pensions
|
277
|
1,012
|
1,411
|
Share-based payment
expense
|
195
|
288
|
190
|
Other
non-cash items included in profit before tax
|
(718)
|
(1,401)
|
(896)
|
Change
in operating assets
|
11,185
|
(114,049)
|
9,818
|
Change
in operating liabilities
|
134,734
|
136,627
|
(20,544)
|
Elimination
of exchange differences1
|
3,775
|
(10,266)
|
6,524
|
Dividends
received from associates
|
120
|
170
|
463
|
Contributions
paid to defined benefit plans
|
(335)
|
(153)
|
(380
|
Tax
paid
|
(2,373)
|
(1,347)
|
(920
|
Net cash from operating activities
|
159,785
|
23,653
|
6,090
|
Purchase
of financial investments
|
(271,830)
|
(234,762)
|
(211,145)
|
Proceeds
from the sale and maturity of financial investments
|
225,733
|
204,600
|
208,586
|
Net
cash flows from the purchase and sale of property, plant and
equipment
|
(447)
|
(532)
|
(811)
|
Net
cash flows from purchase of customer and loan
portfolios
|
244
|
435
|
683
|
Net
investment in intangible assets
|
(957)
|
(951)
|
(1,338)
|
Net
cash flow on (purchase)/disposal of subsidiaries, businesses,
associates and joint ventures
|
(409)
|
(75)
|
(8)
|
Net cash from investing activities
|
(47,666)
|
(31,285)
|
(4,033)
|
Cancellation
of shares
|
—
|
—
|
(1,000)
|
Net
sales/(purchases) of own shares for market-making and investment
purposes
|
(48)
|
27
|
114
|
Redemption
of preference shares and other equity instruments
|
(398)
|
—
|
—
|
Subordinated
loan capital repaid
|
(1,538)
|
(4,138)
|
(72)
|
Dividends
paid to shareholders of the parent company and non-controlling
interests
|
(1,204)
|
(4,271)
|
(5,502)
|
Net cash from financing activities
|
(3,188)
|
(8,382)
|
(6,460)
|
Net increase/(decrease) in cash and cash equivalents
|
108,931
|
(16,014)
|
(4,403)
|
Cash
and cash equivalents at the beginning of the period2
|
293,742
|
312,911
|
296,723
|
Exchange
differences in respect of cash and cash equivalents
|
(7,455)
|
(174)
|
1,422
|
Cash and cash equivalents at the end of the period2
|
395,218
|
296,723
|
293,742
|
Consolidated statement of changes in equity
|
||||||||||||||||||||
|
|
|
|
Other reserves
|
|
|
|
|||||||||||||
|
Called up sharecapital and share premium
|
Otherequity instru-ments
|
Retainedearnings
|
Financial assets at FVOCI reserve
|
Cashflow hedging reserve
|
Foreignexchange reserve
|
Merger and otherreserves
|
Total share-holders’ equity
|
Non-controlling interests
|
Total equity
|
||||||||||
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
||||||||||
At 1 Jan 2020
|
24,278
|
|
20,871
|
|
136,679
|
|
(108
|
)
|
(2
|
)
|
(25,133
|
)
|
27,370
|
|
183,955
|
|
8,713
|
|
192,668
|
|
Profit
for the period
|
—
|
|
—
|
|
2,639
|
|
—
|
|
—
|
|
—
|
|
—
|
|
2,639
|
|
486
|
|
3,125
|
|
Other
comprehensive income (net of tax)
|
—
|
|
—
|
|
3,506
|
|
1,654
|
|
465
|
|
(4,559
|
)
|
—
|
|
1,066
|
|
(25
|
)
|
1,041
|
|
–
debt instruments at fair value through other comprehensive
income
|
—
|
|
—
|
|
—
|
|
1,735
|
|
—
|
|
—
|
|
—
|
|
1,735
|
|
12
|
|
1,747
|
|
–
equity instruments designated at fair value through other
comprehensive income
|
—
|
|
—
|
|
—
|
|
(81
|
)
|
—
|
|
—
|
|
—
|
|
(81
|
)
|
(42
|
)
|
(123
|
)
|
–
cash flow hedges
|
—
|
|
—
|
|
—
|
|
—
|
|
465
|
|
—
|
|
—
|
|
465
|
|
11
|
|
476
|
|
–
changes in fair value of financial liabilities designated at fair
value upon initial recognition arising from changes in own credit
risk
|
—
|
|
—
|
|
2,354
|
|
—
|
|
—
|
|
—
|
|
—
|
|
2,354
|
|
—
|
|
2,354
|
|
–
remeasurement of defined benefit asset/liability
|
—
|
|
—
|
|
1,195
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1,195
|
|
(13
|
)
|
1,182
|
|
–
share of other comprehensive income of associates and joint
ventures
|
—
|
|
—
|
|
(115
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(115
|
)
|
—
|
|
(115
|
)
|
–
effects of hyperinflation
|
—
|
|
—
|
|
72
|
|
—
|
|
—
|
|
—
|
|
—
|
|
72
|
|
—
|
|
72
|
|
–
exchange differences
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(4,559
|
)
|
—
|
|
(4,559
|
)
|
7
|
|
(4,552
|
)
|
Total comprehensive income for the period
|
—
|
|
—
|
|
6,145
|
|
1,654
|
|
465
|
|
(4,559
|
)
|
—
|
|
3,705
|
|
461
|
|
4,166
|
|
Shares
issued under employee remuneration and
share plans
|
336
|
|
—
|
|
(329
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
7
|
|
—
|
|
7
|
|
Dividends
to shareholders
|
—
|
|
—
|
|
(662
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(662
|
)
|
(542
|
)
|
(1,204
|
)
|
Cost of
share-based payment arrangements
|
—
|
|
—
|
|
195
|
|
—
|
|
—
|
|
—
|
|
—
|
|
195
|
|
—
|
|
195
|
|
Other
movements
|
—
|
|
43
|
|
(219
|
)
|
12
|
|
—
|
|
—
|
|
—
|
|
(164
|
)
|
(447
|
)
|
(611
|
)
|
At 30 Jun 2020
|
24,614
|
|
20,914
|
|
141,809
|
|
1,558
|
|
463
|
|
(29,692
|
)
|
27,370
|
|
187,036
|
|
8,185
|
|
195,221
|
|
|
||||||||||||||||||||
At 1 Jan 2019
|
23,789
|
|
22,367
|
|
138,191
|
|
(1,532
|
)
|
(206
|
)
|
(26,133
|
)
|
29,777
|
|
186,253
|
|
7,996
|
|
194,249
|
|
Profit
for the period
|
—
|
|
—
|
|
9,216
|
|
—
|
|
—
|
|
—
|
|
—
|
|
9,216
|
|
721
|
|
9,937
|
|
Other
comprehensive income (net of tax)
|
—
|
|
—
|
|
(1,297
|
)
|
1,202
|
|
237
|
|
92
|
|
—
|
|
234
|
|
93
|
|
327
|
|
–
debt instruments at fair value through other comprehensive
income
|
—
|
|
—
|
|
—
|
|
1,001
|
|
—
|
|
—
|
|
—
|
|
1,001
|
|
14
|
|
1,015
|
|
–
equity instruments designated at fair value through other
comprehensive income
|
—
|
|
—
|
|
—
|
|
201
|
|
—
|
|
—
|
|
—
|
|
201
|
|
67
|
|
268
|
|
–
cash flow hedges
|
—
|
|
—
|
|
—
|
|
—
|
|
237
|
|
—
|
|
—
|
|
237
|
|
2
|
|
239
|
|
–
changes in fair value of financial liabilities designated at fair
value upon initial recognition arising from changes in own credit
risk
|
—
|
|
—
|
|
(1,445
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(1,445
|
)
|
—
|
|
(1,445
|
)
|
–
remeasurement of defined benefit asset/liability
|
—
|
|
—
|
|
(38
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(38
|
)
|
(7
|
)
|
(45
|
)
|
–
share of other comprehensive income of associates and joint
ventures
|
—
|
|
—
|
|
73
|
|
—
|
|
—
|
|
—
|
|
—
|
|
73
|
|
—
|
|
73
|
|
– effects of hyperinflation
|
—
|
|
—
|
|
113
|
|
—
|
|
—
|
|
—
|
|
—
|
|
113
|
|
—
|
|
113
|
|
–
exchange differences
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
92
|
|
—
|
|
92
|
|
17
|
|
109
|
|
Total
comprehensive income for the period
|
—
|
|
—
|
|
7,919
|
|
1,202
|
|
237
|
|
92
|
|
—
|
|
9,450
|
|
814
|
|
10,264
|
|
Shares
issued under employee remuneration and share plans
|
490
|
|
—
|
|
(475
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
15
|
|
—
|
|
15
|
|
Shares
issued in lieu of dividends and amounts arising
thereon
|
—
|
|
—
|
|
1,160
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1,160
|
|
—
|
|
1,160
|
|
Dividends
to shareholders
|
—
|
|
—
|
|
(4,915
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(4,915
|
)
|
(516
|
)
|
(5,431
|
)
|
Cost of
share-based payment arrangements
|
—
|
|
—
|
|
255
|
|
—
|
|
—
|
|
—
|
|
—
|
|
255
|
|
—
|
|
255
|
|
Other
movements
|
—
|
|
—
|
|
458
|
|
—
|
|
—
|
|
—
|
|
—
|
|
458
|
|
(96
|
)
|
362
|
|
At 30 Jun 2019
|
24,279
|
|
22,367
|
|
142,593
|
|
(330
|
)
|
31
|
|
(26,041
|
)
|
29,777
|
|
192,676
|
|
8,198
|
|
200,874
|
|
|
Consolidated statement of changes in equity
(continued)
|
||||||||||||||||||||
|
|
|
|
Other reserves
|
|
|
|
|||||||||||||
|
Called
upshare capital and share premium
|
Otherequity instru- ments
|
Retainedearnings
|
Financial assets at FVOCI reserve
|
Cashflow
hedging reserve
|
Foreign
exchange reserve
|
Merger
and other reserves
|
Totalshare-
holders’ equity
|
Non-controlling
interests
|
Totalequity
|
||||||||||
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
$m
|
||||||||||
At 1 Jul 2019
|
24,279
|
|
22,367
|
|
142,593
|
|
(330
|
)
|
31
|
|
(26,041
|
)
|
29,777
|
|
192,676
|
|
8,198
|
|
200,874
|
|
Profit
for the period
|
—
|
|
—
|
|
(1,833
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(1,833
|
)
|
604
|
|
(1,229
|
)
|
Other
comprehensive income(net of tax)
|
—
|
|
—
|
|
(462
|
)
|
222
|
|
(33
|
)
|
908
|
|
—
|
|
635
|
|
55
|
|
690
|
|
–
debt instruments at fair value through other comprehensive
income
|
—
|
|
—
|
|
—
|
|
145
|
|
—
|
|
—
|
|
—
|
|
145
|
|
(8
|
)
|
137
|
|
–
equity instruments designated at fair value through other
comprehensive income
|
—
|
|
—
|
|
—
|
|
77
|
|
—
|
|
—
|
|
—
|
|
77
|
|
21
|
|
98
|
|
–
cash flow hedges
|
—
|
|
—
|
|
—
|
|
—
|
|
(33
|
)
|
—
|
|
—
|
|
(33
|
)
|
—
|
|
(33
|
)
|
–
changes in fair value of financial liabilities designated at fair
value upon initial recognition arising from changes in own credit
risk
|
—
|
|
—
|
|
(557
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(557
|
)
|
—
|
|
(557
|
)
|
–
remeasurement of defined benefit asset/liability
|
—
|
|
—
|
|
43
|
|
—
|
|
—
|
|
—
|
|
—
|
|
43
|
|
15
|
|
58
|
|
–
share of other comprehensive income of associates and joint
ventures
|
—
|
|
—
|
|
(52
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(52
|
)
|
—
|
|
(52
|
)
|
–
effects of hyperinflation
|
—
|
|
—
|
|
104
|
|
—
|
|
—
|
|
—
|
|
—
|
|
104
|
|
—
|
|
104
|
|
–
exchange differences
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
908
|
|
—
|
|
908
|
|
27
|
|
935
|
|
Total
comprehensive income for the period
|
—
|
|
—
|
|
(2,295
|
)
|
222
|
|
(33
|
)
|
908
|
|
—
|
|
(1,198
|
)
|
659
|
|
(539
|
)
|
Shares
issued under employee remuneration and share plans
|
67
|
|
—
|
|
(20
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
47
|
|
—
|
|
47
|
|
Shares
issued in lieu of dividends and amounts arising
thereon
|
—
|
|
—
|
|
1,527
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1,527
|
|
—
|
|
1,527
|
|
Dividends
to shareholders
|
—
|
|
—
|
|
(6,768
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(6,768
|
)
|
(261
|
)
|
(7,029
|
)
|
Redemption
of securities1
|
—
|
|
(1,496
|
)
|
(12
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(1,508
|
)
|
—
|
|
(1,508
|
)
|
Transfers2
|
—
|
|
—
|
|
2,475
|
|
—
|
|
—
|
|
—
|
|
(2,475
|
)
|
—
|
|
—
|
|
—
|
|
Cost of
share-based payment arrangements
|
—
|
|
—
|
|
223
|
|
—
|
|
—
|
|
—
|
|
—
|
|
223
|
|
—
|
|
223
|
|
Cancellation
of shares3
|
(68
|
)
|
—
|
|
(1,000
|
)
|
—
|
|
—
|
|
—
|
|
68
|
|
(1,000
|
)
|
—
|
|
(1,000
|
)
|
Other
movements
|
—
|
|
—
|
|
(44
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(44
|
)
|
117
|
|
73
|
|
At 31 Dec 2019
|
24,278
|
|
20,871
|
|
136,679
|
|
(108
|
)
|
(2
|
)
|
(25,133
|
)
|
27,370
|
|
183,955
|
|
8,713
|
|
192,668
|
|
1
|
Basis of preparation and significant accounting
policies
|
2
|
Dividends
|
Dividends
paid to shareholders of HSBC Holdings plc
|
||||||||||||||||||
|
Half-year
to
|
|||||||||||||||||
|
30 Jun 2020
|
30 Jun 2019
|
31 Dec 2019
|
|||||||||||||||
|
Per share
|
Total
|
Settled in scrip
|
Per
share
|
Total
|
Settled
in scrip
|
Per
share
|
Total
|
Settled
in scrip
|
|||||||||
|
$
|
$m
|
$m
|
$
|
$m
|
$m
|
$
|
$m
|
$m
|
|||||||||
Dividends paid on ordinary shares
|
|
|
|
|
|
|
|
|
|
|||||||||
In
respect of previous year:
|
|
|
|
|
|
|
|
|
|
|||||||||
–
fourth interim dividend
|
—
|
|
—
|
|
—
|
|
0.21
|
|
4,206
|
|
1,160
|
|
—
|
|
—
|
|
—
|
|
In
respect of current year:
|
|
|
|
|
|
|
|
|
|
|||||||||
–
first interim dividend1
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
0.10
|
|
2,013
|
|
375
|
|
–
second interim dividend
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
0.10
|
|
2,021
|
|
795
|
|
–
third interim dividend
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
0.10
|
|
2,029
|
|
357
|
|
Total
|
—
|
|
—
|
|
—
|
|
0.21
|
|
4,206
|
|
1,160
|
|
0.30
|
|
6,063
|
|
1,527
|
|
Total
dividends on preference shares classified as equity (paid
quarterly)
|
31.00
|
|
45
|
|
|
31.00
|
|
45
|
|
|
31.00
|
|
45
|
|
|
|||
Total
coupons on capital securities classified as equity
|
|
617
|
|
|
|
664
|
|
|
|
660
|
|
|
||||||
Dividends to shareholders
|
|
662
|
|
|
|
4,915
|
|
|
|
6,768
|
|
|
3
|
Earnings per share
|
Profit/(loss)
attributable to ordinary shareholders of the parent
company
|
||||||
|
Half-year to
|
|||||
|
30 Jun
|
30
Jun
|
31
Dec
|
|||
|
2020
|
2019
|
2019
|
|||
|
$m
|
$m
|
$m
|
|||
Profit
attributable to shareholders of the parent company
|
2,639
|
|
9,216
|
|
(1,833
|
)
|
Dividend
payable on preference shares classified as equity
|
(45
|
)
|
(45
|
)
|
(45
|
)
|
Coupon
payable on capital securities classified as equity
|
(617
|
)
|
(664
|
)
|
(660
|
)
|
Profit/(loss) attributable to ordinary shareholders of the parent
company
|
1,977
|
|
8,507
|
|
(2,538
|
)
|
Basic
and diluted earnings per share
|
|||||||||||||||||||
|
|
Half-year to
|
|||||||||||||||||
|
|
30 Jun 2020
|
30 Jun 2019
|
31 Dec 2019
|
|||||||||||||||
|
|
Profit
|
Numberof shares
|
Amount per share
|
Profit
|
Numberof
shares
|
Amount
per share
|
Profit/(loss)
|
Numberof
shares
|
Amount
per share
|
|||||||||
|
Footnotes
|
$m
|
(millions)
|
$
|
$m
|
(millions)
|
$
|
$m
|
(millions)
|
$
|
|||||||||
Basic
|
1
|
1,977
|
|
20,162
|
|
0.10
|
|
8,507
|
|
20,124
|
|
0.42
|
|
(2,538
|
)
|
20,191
|
|
(0.13
|
)
|
Effect
of dilutive potential ordinary shares
|
|
|
58
|
|
|
|
65
|
|
|
|
—
|
|
|
||||||
Diluted
|
1
|
1,977
|
|
20,220
|
|
0.10
|
|
8,507
|
|
20,189
|
|
0.42
|
|
(2,538
|
)
|
20,191
|
|
(0.13
|
)
|
4
|
Adjusted balance sheet reconciliation
|
|
At
|
|||||||
|
30 Jun 2020
|
31 Dec 2019
|
||||||
|
Reported and adjusted
|
Adjusted
|
Currency
translation
|
Reported
|
||||
|
$m
|
$m
|
$m
|
$m
|
||||
Loans
and advances to customers (net)
|
1,018,681
|
|
1,006,661
|
|
30,082
|
|
1,036,743
|
|
Interests
in associates and joint ventures
|
24,800
|
|
24,231
|
|
243
|
|
24,474
|
|
Total
external assets
|
2,922,798
|
|
2,638,494
|
|
76,658
|
|
2,715,152
|
|
Customer
accounts
|
1,532,380
|
|
1,399,656
|
|
39,459
|
|
1,439,115
|
|
5
|
Reconciliation of reported and adjusted items
|
|
|
Half-year
to
|
|||||
|
|
30 Jun
|
30
Jun
|
31 Dec
|
|||
|
|
2020
|
2019
|
2019
|
|||
|
Footnotes
|
$m
|
$m
|
$m
|
|||
Revenue
|
1
|
|
|
|
|||
Reported
|
|
26,745
|
|
29,372
|
|
26,726
|
|
Currency
translation
|
|
|
(681
|
)
|
(281
|
)
|
|
Significant
items
|
|
(268
|
)
|
(876
|
)
|
187
|
|
–
customer redress programmes
|
|
(26
|
)
|
—
|
|
163
|
|
–
disposals, acquisitions and investment in new
businesses
|
|
8
|
|
(827
|
)
|
59
|
|
–
fair value movements on financial instruments
|
2
|
(299
|
)
|
(50
|
)
|
(34
|
)
|
–
restructuring and other related costs
|
|
49
|
|
—
|
|
—
|
|
– currency translation on significant items
|
|
|
1
|
|
(1
|
)
|
|
Adjusted
|
|
26,477
|
|
27,815
|
|
26,632
|
|
ECL
|
|
|
|
|
|||
Reported
|
|
(6,858
|
)
|
(1,140
|
)
|
(1,616
|
)
|
Currency translation
|
|
|
52
|
|
62
|
|
|
Adjusted
|
|
(6,858
|
)
|
(1,088
|
)
|
(1,554
|
)
|
Operating expenses
|
|
|
|
|
|||
Reported
|
|
(16,527
|
)
|
(17,149
|
)
|
(25,200
|
)
|
Currency translation
|
|
|
453
|
|
228
|
|
|
Significant items
|
|
1,585
|
|
957
|
|
8,524
|
|
–
costs of structural reform
|
3
|
—
|
|
91
|
|
67
|
|
–
customer redress programmes
|
|
50
|
|
610
|
|
671
|
|
–
impairment of goodwill and other intangibles
|
|
1,025
|
|
—
|
|
7,349
|
|
–
restructuring and other related costs
|
4
|
505
|
|
287
|
|
540
|
|
–
settlements and provisions in connection with legal and
regulatory matters
|
|
5
|
|
(2
|
)
|
(59
|
)
|
– currency translation on significant items
|
|
—
|
|
(29
|
)
|
(44
|
)
|
Adjusted
|
|
(14,942
|
)
|
(15,739
|
)
|
(16,448
|
)
|
Share of profit in associates and joint ventures
|
|
|
|
|
|||
Reported
|
|
958
|
|
1,324
|
|
1,030
|
|
Currency translation
|
|
|
(39
|
)
|
—
|
|
|
Adjusted
|
|
958
|
|
1,285
|
|
1,030
|
|
Profit before tax
|
|
|
|
|
|||
Reported
|
|
4,318
|
|
12,407
|
|
940
|
|
Currency translation
|
|
|
(215
|
)
|
9
|
|
|
Significant items
|
|
1,317
|
|
81
|
|
8,711
|
|
– revenue
|
|
(268
|
)
|
(876
|
)
|
187
|
|
– operating expenses
|
|
1,585
|
|
957
|
|
8,524
|
|
Adjusted
|
|
5,635
|
|
12,273
|
|
9,660
|
|
6
|
Contingent liabilities, contractual commitments and
guarantees
|
|
|
At
|
|||
|
|
30 Jun
|
31 Dec
|
||
|
|
2020
|
2019
|
||
|
Footnotes
|
$m
|
$m
|
||
Guarantees
and contingent liabilities:
|
|
|
|
||
–
financial guarantees
|
|
18,328
|
|
20,214
|
|
– performance and other guarantees
|
|
73,078
|
|
75,933
|
|
–
other contingent liabilities
|
|
1,094
|
|
1,576
|
|
At
the end of the period
|
|
92,500
|
|
97,723
|
|
Commitments:
|
1
|
|
|
||
–
documentary credits and short-term trade-related
transactions
|
|
6,201
|
|
6,316
|
|
–
forward asset purchases and forward deposits placed
|
|
91,849
|
|
56,326
|
|
–
standby facilities, credit lines and other commitments to
lend
|
|
740,023
|
|
734,966
|
|
At
the end of the period
|
|
838,073
|
|
797,608
|
|
7
|
Legal proceedings and regulatory matters
|
8
|
Events after the balance sheet date
|
9
|
Capital structure
|
Capital
ratios
|
|
|
||
|
At
|
|||
|
30 Jun
|
31
Dec
|
||
|
2020
|
2019
|
||
|
%
|
%
|
||
Transitional basis
|
|
|
||
Common
equity tier 1 ratio
|
15.0
|
|
14.7
|
|
Tier 1 ratio
|
17.8
|
|
17.6
|
|
Total capital ratio
|
20.7
|
|
20.4
|
|
End point basis
|
|
|
||
Common equity tier 1 ratio
|
15.0
|
|
601.4
|
|
Tier 1 ratio
|
17.5
|
|
400.5
|
|
Total capital ratio
|
19.2
|
|
150.2
|
|
Total
regulatory capital and risk-weighted assets
|
|
|
||
|
At
|
|||
|
30 Jun
|
31
Dec
|
||
|
2020
|
2019
|
||
|
$m
|
$m
|
||
Transitional basis
|
|
|
||
Common
equity tier 1 capital
|
128,446
|
|
123,966
|
|
Additional
tier 1 capital
|
24,031
|
|
24,393
|
|
Tier 2
capital
|
24,765
|
|
23,791
|
|
Total
regulatory capital
|
177,242
|
|
172,150
|
|
Risk-weighted
assets
|
854,552
|
|
843,395
|
|
End point basis
|
|
|
||
Common equity tier 1 capital
|
128,446
|
|
121,022
|
|
Additional tier 1 capital
|
20,914
|
|
22,525
|
|
Tier 2 capital
|
15,021
|
|
24,511
|
|
Total regulatory capital
|
164,381
|
|
168,058
|
|
Risk-weighted assets
|
854,552
|
|
865,318
|
|
Leverage
ratio
|
|||||
|
|
At
|
|||
|
|
30 Jun
|
31
Dec
|
||
|
|
2020
|
2019
|
||
Ref*
|
|
$bn
|
$bn
|
||
20
|
Tier 1 capital
|
149.4
|
|
144.8
|
|
21
|
Total leverage ratio exposure
|
2,801.4
|
|
2,726.5
|
|
|
|
%
|
%
|
||
22
|
Leverage ratio
|
5.3
|
|
5.3
|
|
EU-23
|
Choice of transitional arrangements for the definition of the
capital measure
|
Fully phased-in
|
Fully
phased-in
|
||
|
UK
leverage ratio exposure – quarterly average1
|
2,565.8
|
|
2,535.4
|
|
|
|
%
|
%
|
||
|
UK leverage ratio – quarterly average
|
5.7
|
|
5.8
|
|
|
UK leverage ratio – quarter end
|
5.9
|
|
5.7
|
|
10
|
Statutory accounts
|
11
|
Dealings in HSBC Holdings plc listed securities
|
12
|
Earnings release and final results
|
13
|
Corporate governance
|
14
|
Interim Report 2020
|
15
|
Cautionary statement regarding forward-looking
statements
|
16
|
Certain defined terms
|
17
|
For further information contact:
|
Investor Relations
|
Media Relations
|
UK
– Richard O’Connor
|
UK
– Heidi Ashley
|
Tel:
+44 (0) 20 7991 6590
|
Tel:
+44 (0) 20 7992 2045
|
|
|
Hong
Kong – Mark Phin
|
Hong
Kong – Patrick Humphris
|
Tel:
+852 2822 4908
|
Tel:
+852 2822 2052
|
HSBC
Holdings plc
|
|
|
|
|
By:
|
|
Name:
Aileen Taylor
|
|
Title:
Group Company Secretary and Chief Governance Officer
|
|
|
|
Date:
3 August
2020
|