British banking giant HSBC has reported pre-tax profit of $4.75bn for the first quarter of 2018, a fall of 4% compared to $4.96bn a year ago.
The bank’s adjusted pre-tax profit for the period ended 31 March 2018 was $6.03bn, down 3% from $6.21bn in the same period last year.
Compared to the previous year, the bank’s reported revenue increased 6% to $13.71bn and adjusted revenue rose 3% to $13.85bn.
Net interest income stood at $7.45bn, an increase of 10% from $6.78bn a year earlier. Total operating expenses increased 13% year-on-year to $9.38bn.
The banking group’s common equity tier 1 ratio at the end of March 2018 was 14.5%.
HSBC’s retail banking and wealth management unit reported adjusted pre-tax profit of $1.9bn for the first quarter of 2018, up 5% from $1.81bn in the corresponding quarter of 2017.
Adjusted pre-tax profit at the bank’s global private banking arm surged 53% to $113m from $74m in the previous year.
HSBC group CEO John Flint said: “Our global businesses performed well in the first quarter, maintaining momentum from the end of 2017. We continue to benefit from interest rate rises and economic growth, particularly in Asia. Our primary focus is to grow the businesses safely, and we have increased investment to deliver that aim. We intend to deliver positive jaws for 2018.”
At the same time, the bank also announced plans of a $2bn share buy-back.