HSBC Unveils $3 Billion Buyback Amid Q1 Profit Slip

Published 2 hours agoHSBC

HSBC Unveils $3 Billion Buyback Amid Q1 Profit Slip

HSBC has announced a $3 billion share buyback even as it reported a 25% drop in first-quarter profits. The bank saw its pre-tax profit fall to $9.5 billion, down from $12.7 billion in the same period last year. One of the contributing factors to this decline was $900 million in anticipated credit losses, partly fueled by $150 million related to global tariff tensions, as noted by Reuters.

Despite the profit setback, HSBC remains focused on returning value to shareholders with the $3 billion buyback, which forms part of a total of $7 billion in buybacks announced this year. The bank plans to complete the latest buyback by February 2026. Additionally, HSBC has declared an interim dividend of $0.10 per share, reflecting a strategic commitment to shareholder returns.

HSBC continues to pursue efficiency and growth plans, aiming to cap expense increases at 3% in 2025 and cut annual costs by $1.5 billion by the end of 2026. Investments are being redirected from non-core sectors to focus on growth opportunities in wholesale transaction banking and Asian wealth management. The bank is also conducting a strategic review of its operations in Malta, in line with its effort to optimize smaller businesses globally.

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