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Share Price: 720.00
Bid: 695.00
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TOP NEWS: StanChart profit up, to launch USD500 million share buyback

Fri, 29th Jul 2022 09:54

(Alliance News) - Standard Chartered PLC on Friday said it delivered a strong set of results for the first half of the year, with profit rising, and the bank also launched a share buyback.

For the six months to June 30, the emerging markets-focused lender said operating income rose 7.7% to USD8.22 billion from USD7.63 billion a year before, with net interest income up 8.0% to USD3.64 billion.

Pretax profit was USD2.77 billion, up 8.2% from USD2.56 billion.

Profit rose despite StanChart booking a credit impairment charge of USD263 million, swinging from a release of USD51 million.

Turning to returns, StanChart proposed an interim dividend of USD119 million, equivalent to 4.0 US cents per share

StanChart also announced a USD500 million share buyback to start "imminently" and plans to return more than USD5 billion to shareholders over the next three years. During the recent half, it completed a USD750 million buyback.

The latest buyback is expected to reduce its CET1 ratio by 20 basis points, which stood at 13.9% at June 30, towards the top of its 13% to 14% target range and down from 14.1% at the end of December.

Chief Executive Bill Winters said the company delivered a "strong" set of results.

"We remain confident in the delivery of the financial targets we set out in February," he added.

Shares in StanChart were up 2.1% at 578.80 pence in London early Friday.

By Lucy Heming; lucyheming@alliancenews.com

Copyright 2022 Alliance News Limited. All Rights Reserved.

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