HSBC has resumed its share buyback programme, planning to repurchase up to $1bn in shares. This follows the bank's strong financial performance in the second quarter of 2026, where pre-tax profit reached $10.1bn (£7.5bn).
This profit figure significantly exceeded an internal forecast of £9.5bn and represents a 60 per cent increase from the $6.3bn recorded in the same period last year. Total revenue for the quarter climbed 11 per cent to $37.7bn.
Net interest income rose eight per cent to $18.2bn, attributed to the bank's strategy of reinvesting lower-yielding hedges at current higher market interest rates. Fee income also saw a nearly 10 per cent increase to $7.3bn, driven by a 20 per cent growth in wealth management to $5.5bn.
Chief executive Georges Elhedery has also increased the bank's cost-cutting target for the end of 2026 to $2bn, up from an initial target of $1.5bn which was achieved earlier this year. The group expects to meet this new target within its original restructuring budget of $1.8bn. Total headcount has decreased by 2,559 since the end of 2025, now standing at 206,161.