HSBC aims to achieve $1.8 billion in cost reductions by 2026 under its new CEO Georges Elhedery, who is focused on enhancing returns. The bank reported 2024 earnings that surpassed market expectations and announced a $2 billion share buyback. Despite global economic uncertainties, including divergent interest rate policies across regions, HSBC remains committed to its Asian markets where it generates most of its revenue. Elhedery emphasized efficiency improvements across geographical and business lines. The bank’s 2024 profit before tax was $32.3 billion, up from $30.3 billion the previous year. HSBC plans to reduce personnel expenses by 8% over the next two years and targets a mid-teens return on average tangible equity from 2025 to 2027. The lender also declared a fourth interim dividend of $0.36 per share. — news from Reuters
