HSBC Shares Slide Despite Profit Jump as Wealth Business Stalls

Revenue for the period landed at $18.6 billion, falling short of analyst projections. The wealth division, previously a high-performing engine with double-digit growth in the first half of the year, saw revenue remain flat at $2.7 billion. This stagnation outweighed the bank's gains from net interest income and a reduction in credit impairment charges.

Group CEO Georges Elhedery defended the performance, citing consistent execution of strategic priorities and a focus on simplifying operations to boost shareholder returns. To appease investors, the bank launched a $1 billion stock buyback program. Looking forward, management maintained its guidance for $46 billion in banking net interest income for the year, banking on a broader revenue growth target of 5 percent by 2028.