NYSE$HSBC

HSBC-ADR · Q4 2024 earnings

Q4 2024 earnings · · Before market open · Investor relations

Briefing

HSBC reported stable revenue with improved pre-tax profit despite notable one-time charges.

HSBC's Q4 2024 results showed revenue of $11.6 billion, a decrease of 8% year-over-year, with EPS at $0.01. Excluding notable items, EPS was $0.29. Net income was $197 million, operating income was $2.3 billion, and pre-tax profit excluding notable items grew by 10% year-over-year. The bank's financials were impacted by a $5.2 billion foreign currency translation loss related to its Argentina business disposal.

  • Q4 2024 revenue declined by 8% to $11.6 billion.
  • Pre-tax profit excluding notable items rose 10% year-over-year to $7.3 billion.
  • Net income for the quarter stood at $197 million.
  • HSBC announced a fourth interim dividend of $0.36 per share.

Headline financials

Total Revenue

$11.6B

No prior period
EPS (adj)

$1.45

No prior period
Net Income

$197M

No prior period
Operating Income

$2.3B

No prior period

Revenue & EPS history

HSBC · Revenue · Quarterly

$11.6B

Q4 2024
Beat estimate in 1 of 3 quarters(33%)
ActualEstimate

Forward guidance

HSBC expects mid-teens return on equity from 2025 to 2027 and aims for a 3% reduction in operating costs in 2025 while targeting stable revenue growth.

Tailwinds

  • Targeting mid-teens return on equity from 2025-2027.
  • Banking net interest income expected to remain around $42 billion in 2025.
  • Cost reductions of approximately $300 million expected in 2025.
  • Continued focus on capital returns, including buybacks and dividends.
  • Expansion in wealth management and international banking segments.

Headwinds

  • Global economic uncertainty may impact revenue growth.
  • Cost pressures from inflation and regulatory requirements remain high.
  • Potential continued credit impairments in commercial real estate.
  • Geopolitical risks affecting operations in key markets.
  • Ongoing restructuring costs from strategic business exits.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+41.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+0.1%

Avg return

30 days after

50%

19 / 38 earnings

Positive

+1558.1%

Q1 2023

Best reaction

-6.6%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+7.1%
Q3 2025+4.3%+4.3%+5.0%
Q2 2025-5.5%-5.0%-0.9%
Q1 2025-0.2%+0.3%+5.1%
Q4 2024-0.3%-2.1%+1.7%
Q3 2024+2.0%+2.2%+3.3%
Q1 2024+4.4%+5.4%+5.0%
Q3 2023-1.4%+2.0%+3.6%
Q2 2023-1.5%-2.4%-10.7%
Q1 2023+1558.1%+6.6%+4.4%
Q4 2022+2.5%+1.8%-10.3%
Q3 2022-6.6%-3.7%+9.4%
Q2 2022+4.0%+4.5%-1.8%
Q1 2022-3.1%-4.2%+1.9%
Q4 2021+0.2%-1.5%-7.4%
Q3 2021+2.8%+0.2%-1.4%
Q2 2021+0.2%+3.0%-3.3%
Q1 2021+4.9%+6.4%+9.0%
Q4 2020+1.0%+0.5%-2.7%
Q3 2020-0.1%+1.2%+29.0%
Q2 2020-1.6%-5.8%-5.4%
Q1 2020+2.9%-2.1%-8.6%
Q4 2019-5.6%-3.9%-24.6%
Q3 2019-4.8%-3.7%-4.8%
Q2 2019-2.8%-4.0%-6.7%
Q1 2019-0.8%-1.4%-6.2%
Q4 2018-3.1%-4.9%-4.0%
Q3 2018+5.3%+8.5%+11.9%
Q2 2018+0.0%-1.7%-7.2%
Q1 2018-1.5%-0.6%-2.1%
Q4 2017-1.7%-4.8%-10.8%
Q2 2017+2.9%-1.7%+1.2%
Q3 2017-1.9%-1.7%+1.2%
Q4 2016-4.6%+1.5%+2.3%
Q1 2017+2.1%+3.1%+5.2%
Q3 2016+4.2%+5.9%+16.0%
Q2 2016+7.1%+4.3%+7.0%
Q1 2016-3.5%
Q3 2015
Q4 2015

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