occurrences
Standard Chartered (2888.HK) released its results report for the second quarter of 2024.
reviews
24Q2 revenue and profit both exceeded expectations:
Basic operating income grew at a year-on-year rate of 5.5%, better than the agreed forecast of +4.8%. Among them, net interest income exceeded expectations, and other income fell short of expectations:
Net interest income was +5.1% YoY, higher than the consensus estimate of +3.5%.
Other revenue was +6.05.0% YoY, lower than the agreed forecast of 6.5%.
Sector performance:
Corporate and commercial banking revenue grew -1.9% year over year, below Bloomberg's agreed forecast of +2.8%.
Wealth and retail banking revenue increased 9.6% year over year, higher than the agreed forecast of +2.8%.
The audited profit before tax was +14.3% YoY, higher than the agreed estimate of +0.8%.
24Q2 net interest spreads exceeded expectations, customer deposits exceeded expectations, and loan growth fell short of expectations:
NIM rose 22bp to 1.93% year over year, higher than the consensus forecast of 1.76%.
Total customer loans and advances were -4.9% year-on-year, lower than the agreed forecast of -1.8%.
Client deposits were -0.3% YoY, higher than the consensus estimate of -0.5%.
24Q2 Asset quality was better than expected:
Credit impairment losses of USD 0.073 billion, or -50.0% YoY, were better than the consensus estimate of USD 0.261 billion (+78.8% YoY).
Other impairment losses of USD 0.083 billion, +31.7% YoY, fell short of the agreed forecast of USD 0.008 billion (-87.3% YoY).
The non-performing loan ratio fell 7 bps month-on-month to 2.41%, better than the agreed forecast of 2.73%.
24Q2 CET1 and annualized ROE both exceeded expectations:
The core Tier 1 capital (CET1) adequacy ratio increased 60 bps year over year to 14.6%, better than the agreed estimate of 14.0%.
Annualized ROE increased 80 bps year over year to 12.90%, better than the agreed forecast of 7.38%.
risks
Global economic growth fell short of expectations; interest rate hikes fell short of expectations, and asset quality fell short of expectations.