Interim Report - 7 of 28 | RNS | Ticker

Interim Report - 7 of 28

RNS Announcement

RNS Number : 8944L

HSBC Holdings PLC

16 August 2013

Geographical regions

	Page	Tables	Page

Summary .................................................................	61	Profit/(loss) before tax .................................................	61
		Total assets ..................................................................	62
		Risk-weighted assets .....................................................	62
Selected items included in profit before tax by geographical region .................................................	62	Fair value movements arising from changes in own credit spreads ...........................................................	62
		Acquisitions, disposals and dilutions ............................	62

Europe ......................................................................	63
Economic background ................................................	63
Review of performance ..............................................	63	Profit/(loss) before tax by country within global businesses ................................................................	64
		Operating expenses in Europe .....................................	65
		Profit/(loss) before tax and balance sheet data ............	66

Hong Kong ...............................................................	69
Economic background ................................................	69
Review of performance ..............................................	69	Profit/(loss) before tax by global business ....................	70
		Profit/(loss) before tax and balance sheet data ............	71

Rest of Asia-Pacific .................................................	74
Economic background ................................................	74
Review of performance ..............................................	75	Profit/(loss) before tax by country within global businesses ................................................................	75
		Profit before tax and balance sheet data ......................	77

Middle East and North Africa .................................	80
Economic background ................................................	80
Review of performance ..............................................	80	Profit/(loss) before tax by country within global businesses ................................................................	81
		Profit/(loss) before tax and balance sheet data ............	83

North America .........................................................	86
Economic background ................................................	86
Review of performance ..............................................	86	Profit/(loss) before tax by country within global businesses ................................................................	87
		Profit/(loss) before tax and balance sheet data ............	90

Latin America ..........................................................	93
Economic background ................................................	93
Review of performance ..............................................	93	Profit/(loss) before tax by country within global businesses ................................................................	94
		Profit/(loss) before tax and balance sheet data ............	96

Summary

In the analysis of profit and loss by geographical region that follows, operating income and operating expenses include intra‑HSBC items of US$1,591m (first half of 2012: US$1,630m; second half of 2012: US$1,728m).

Profit/(loss) before tax

	Half-year to
	30 June 2013		30 June 2012		31 December 2012
	US$m	%	US$m	%	US$m	%

Europe ......................................................	2,768	19.7	(667)	(5.2)	(2,747)	(34.7)
Hong Kong ...............................................	4,205	29.9	3,761	29.5	3,821	48.3
Rest of Asia-Pacific ..................................	5,057	35.9	4,372	34.3	6,076	76.8
Middle East and North Africa ...................	909	6.5	772	6.1	578	7.3
North America .........................................	666	4.7	3,354	26.3	(1,055)	(13.3)
Latin America ..........................................	466	3.3	1,145	9.0	1,239	15.6

	14,071	100.0	12,737	100.0	7,912	100.0

Total assets⁵³

	At 30 June 2013		At 30 June 2012		At 31 December 2012
	US$m	%	US$m	%	US$m	%

Europe ......................................................	1,365,534	51.6	1,375,553	51.9	1,389,240	51.6
Hong Kong ...............................................	528,712	20.0	486,608	18.3	518,334	19.3
Rest of Asia-Pacific ..................................	325,271	12.3	334,978	12.6	342,269	12.7
Middle East and North Africa ...................	63,292	2.4	62,881	2.4	62,605	2.3
North America .........................................	473,218	17.9	500,590	18.9	490,247	18.2
Latin America ..........................................	123,032	4.7	138,968	5.2	131,277	4.9
Intra-HSBC items .....................................	(233,743)	(8.9)	(247,244)	(9.3)	(241,434)	(9.0)

	2,645,316	100.0	2,652,334	100.0	2,692,538	100.0

For footnote, see page 100.

Risk-weighted assets⁶⁵

	At 30 June 2013		At 30 June 2012		At 31 December 2012
	US$bn	%	US$bn	%	US$bn	%

Total ........................................................	1,104.8		1,159.9		1,123.9

Europe ......................................................	305.4	27.4	329.5	27.9	314.7	27.6
Hong Kong ...............................................	128.1	11.5	108.0	9.1	111.9	9.8
Rest of Asia-Pacific ..................................	285.0	25.5	303.2	25.7	302.2	26.4
Middle East and North Africa ...................	64.2	5.8	63.0	5.3	62.2	5.4
North America .........................................	236.4	21.1	279.2	23.6	253.0	22.2
Latin America ..........................................	96.7	8.7	99.8	8.4	97.9	8.6

For footnote, see page 100.

Selected items included in profit before tax by geographical region

Fair value movements arising from changes in own credit spreads²⁰

	Half-year to
	30 June	30 June	31 December
	2013	2012	2012
	US$m	US$m	US$m

Europe .........................................................................................................	3	(1,605)	(2,505)
Rest of Asia-Pacific ......................................................................................	1	(2)	(1)
Middle East and North Africa .......................................................................	(1)	(4)	(8)
North America .............................................................................................	(22)	(559)	(531)

	(19)	(2,170)	(3,045)

Acquisitions, disposals and dilutions⁵⁴

	Half-year to
	30 June	30 June	31 December
	2013	2012	2012
	US$m	US$m	US$m

Europe .........................................................................................................	(11)	-	(3)
Hong Kong ...................................................................................................	-	28	392
Rest of Asia-Pacific ......................................................................................	1,116	1,025	3,639
Middle East and North Africa .......................................................................	-	27	(45)
North America .............................................................................................	(120)	4,678	183
Latin America ..............................................................................................	27	147	13

	1,012	5,905	4,179

For footnotes, see page 100.

Europe

Our principal banking operations in Europe are HSBC Bank plc in the UK, HSBC France, HSBC Bank A.S. in Turkey, HSBC Bank Malta p.l.c., HSBC Private Bank (Suisse) SA and HSBC Trinkaus & Burkhardt AG. Through these operations we provide a wide range of banking, treasury and financial services to personal, commercial and corporate customers across Europe.
	Half-year to
	30 Jun	30 Jun	31 Dec
	2013	2012	2012
	US$m	US$m	US$m

Net interest income .....	5,250	5,073	5,321
Net fee income ............	2,969	3,023	3,146
Net trading income ......	4,339	1,851	856
Other expense .............	(1,084)	(280)	(1,382)

Net operating income²² ..................................	11,474	9,667	7,941

LICs⁵⁵ ..........................	(846)	(1,037)	(884)

Net operating income ..................................	10,628	8,630	7,057

Total operating expenses ..................................	(7,862)	(9,289)	(9,806)

Operating profit/(loss) ..................................	2,766	(659)	(2,749)

Income/(expense) from associates⁵⁶ ...............	2	(8)	2

Profit/(loss) before tax ..................................	2,768	(667)	(2,747)

Cost efficiency ratio ....	68.5%	96.1%	123.5%

RoRWA⁴⁹ ....................	1.8%	(0.4%)	(1.7%)

Period-end staff numbers ..................................	69,599	73,143	70,061
Launched two international SME funds: £5bn in the UK €1bn in France
Winner of 'Best Bank Mortgage Provider' Award (5^th year running) (Moneyfacts Awards, 2013)
Over US$340m of sustainable cost savings in the first half of 2013
For footnotes, see page 100.

Economic background

The UK economy recovered tentatively, with real Gross Domestic Product ('GDP') growing by 0.3% in the first quarter of 2013 and 0.6% in the second quarter. The labour market was resilient and employment reached new highs, while unemployment was 7.8% in the three months to May, down from 7.9% in the previous quarter. Consumer Price Index ('CPI') inflation increased slightly from 2.7% in December 2012 to 2.9% in June 2013, driven by higher transport and food costs. The Bank of England left its key interest rate of 0.5% and its stock of asset purchases at £375bn (US$560bn) unchanged.

Eurozone GDP shrank by 0.2% in the first quarter of 2013, the sixth consecutive quarter of contraction, despite a bounce in German consumer spending of 0.8%. Unemployment rose from 11.9% in December 2012 to 12.1% in June 2013. Exports continued to fall, though there were signs of stabilisation in the second quarter even in the periphery. With inflation falling from 2.5% in 2012 to 1.6% in the first half of 2013, the squeeze on real wages started to abate. In view of the weakness in economic activity and slowing inflation, the ECB cut the refi rate by 0.25% to a record low of 0.5% in May. Helped by the ECB's commitment to buy unlimited amounts of government bonds, government bond spreads in the periphery continued to narrow until late April, with only a very short-lived effect from the Italian election result and the Cyprus refinancing deal. In May and June market interest rates rose following the US Federal Reserve's suggestion that it may soon start to taper off its asset purchase programme.

Review of performance

Our European operations reported a profit before tax of US$2.8bn in the first half of 2013, compared with a loss of US$667m in the first half of 2012 (US$648m on a constant currency basis). On an underlying basis, profit before tax increased by US$1.8bn due to significantly lower operating expenses driven by a decrease in charges relating to customer redress programmes; higher GB&M revenue, which included a favourable DVA on derivative contracts; and a decline in LICs.

In RBWM, we supported the UK housing market during the first half of 2013, approving £7.1bn (US$11.0bn) of new mortgage lending to over 68,000 customers. This included £2.0bn (US$3.1bn) to over 16,000 first time buyers. The loan-to-value ratio on new lending was 59%

Profit/(loss) before tax by country within global businesses

	Retail Banking and Wealth Management US$m	Commercial Banking US$m	Global Banking and Markets US$m		Global Private Banking US$m	Other US$m	Total US$m
Half-year to 30 June 2013
UK .............................................................	804	894		1,047	132	(657)	2,220
France⁴⁶ .....................................................	130	135		302	−	(78)	489
Germany ....................................................	15	31		45	21	(6)	106
Malta .........................................................	22	29		19	−	−	70
Switzerland .................................................	−	1		1	(42)	−	(40)
Turkey .......................................................	(18)	31		72	−	(1)	84
Other .........................................................	3	(35)		82	(225)	14	(161)

	956	1,086		1,568	(114)	(728)	2,768
Half-year to 30 June 2012
UK .............................................................	(166)	521		357	108	(2,437)	(1,617)
France⁴⁶ .....................................................	29	114		330	(5)	(175)	293
Germany ....................................................	16	28		153	15	(28)	184
Malta .........................................................	21	32		16	−	−	69
Switzerland .................................................	−	−		−	66	−	66
Turkey .......................................................	5	43		50	−	−	98
Other .........................................................	3	36		137	52	12	240

	(92)	774		1,043	236	(2,628)	(667)
Half-year to 31 December 2012
UK .............................................................	509	311		(468)	127	(3,918)	(3,439)
France⁴⁶ .....................................................	106	89		184	(6)	(88)	285
Germany ....................................................	13	36		130	25	(44)	160
Malta .........................................................	18	20		15	−	−	53
Switzerland .................................................	−	2		1	67	−	70
Turkey .......................................................	(37)	28		54	−	1	46
Other .........................................................	(8)	(52)		27	50	61	78

	601	434		(57)	263	(3,988)	(2,747)

For footnote, see page 100.

compared with an average of 51% for the total mortgage portfolio.

In CMB, we launched two International SME funds in the UK and France of £5.0bn (US$7.6bn) and €1.0bn (US$1.3bn), respectively, supporting businesses that trade, or aspire to trade, internationally. We approved lending of £2.4bn (US$3.7bn) in the UK including the renewal of overdraft and other lending facilities, and €0.7bn (US$0.9bn) in France in the first half of 2013.

In GB&M, our Payments and Cash Management and Foreign Exchange businesses launched 'Global Disbursements' and 'FlexRate Payway' in the first half of 2013, providing our clients with the ability to make multi-currency payments more efficiently with foreign exchange rates guaranteed for an agreed period. In Credit, primary issuances increased, reflecting demand for financing from debt capital markets, resulting in leading positions and increased market share in both the euro and sterling markets.

The following commentary is on a constant currency basis.

Net interest income increased by 5%, driven by higher residential mortgage balances due to competitive offers in RBWM in the UK and, to a lesser extent, in France, together with improved lending spreads in the UK reflecting higher spreads on new business. Customer account balances also increased, although the benefit was largely offset by deposit spread compression in the low interest rate environment. In Balance Sheet Management, net interest income was higher, reflecting portfolio growth as deposit balances rose and reduced funding costs. CMB net interest income grew, mainly in the UK, driven by growth in average lending and deposit balances, coupled with higher new business spreads.These factors were partly offset by a decline in GPB as higher yielding positions matured and opportunities for reinvestment were limited by lower prevailing yields. Narrower lending and deposit spreads also contributed to the fall in GPB net interest income.

Net fee income decreased by US$30m, mainly in RBWM due to higher fees paid under partnership agreements, coupled with lower brokerage fees in GPB due to a reduction in client transaction volumes, in part reflecting lower market volatility and fewer large deals. These were partly offset by a rise in lending fees in CMB in the UK and higher primary market issuance fees in GB&M.

Net trading income increased by US$2.5bn to US$4.3bn. This was driven by favourable foreign exchange movements on assets held as economic hedges of foreign currency debt designated at fair value compared with adverse movements in the first half of 2012, together with a favourable DVA on derivative contracts (see page 28), a foreign exchange gain on sterling debt issued by HSBC Holdings and favourable fair value movements on non-qualifying hedges which compared with adverse movements in the first half of 2012. In addition, Foreign Exchange income rose due to increased transaction volumes which benefited from improved electronic pricing and distribution capabilities, although the rise was offset in part by margin compression. These factors were partly offset by lower Rates revenue as the first half of 2012 benefited from tightening spreads following the ECB's announcement of the Long-Term Refinancing Operation. In the current period, a strong first quarter performance was partly offset in the second quarter by more volatile market conditions. Lower adverse fair value movements from own credit spreads on structured liabilities partly offset this decline.

Net expense from financial instruments designated at fair value was broadly in line with the first half of 2012. We reported minimal movements on the fair value of our own debt, compared with adverse movements of US$1.6bn in the first half of 2012. Excluding this, net expense of US$1.0bn in the first half of 2013 compared with net income of US$662m in the first half of 2012. This decline was largely driven by adverse foreign exchange movements on foreign currency debt compared with favourable movements in the first half of 2012, with the offset reported in 'Net trading income'. In addition, there were higher adverse fair value movements from interest and exchange rate ineffectiveness in the hedging of long-term debt issued principally by HSBC Holdings and its European subsidiaries, compared with the first half of 2012. These were partly offset by higher net investment gains recognised on the fair value of assets held to meet liabilities under insurance and investment contracts than in the first half of 2012 as market conditions improved.

Gains less losses from financial investmentsdecreased by US$68m as we reported lower gains on the disposal of available-for-sale debt securities in Balance Sheet Management, mainly in the UK. This was partly offset by higher gains on disposal of equity securities in Principal Investments in GB&M.

Net earned insurance premiums decreased by 7%, mainly in RBWM in France reflecting lower sales following the run-off of business from independent financial adviser channels in the first half of 2013.

Other operating income decreased by US$534m due to a loss recognised in GPB following the reclassification of our Monaco business to 'held for sale' (see also Note 25 on the Financial Statements), coupled with a loss on sale of an HFC Bank UK secured loan portfolio in RBWM.

Net insurance claims incurred and movement in liabilities to policyholders increased by 3%, driven by net investment gains on the fair value of the assets held to support policyholder contracts in the first half of 2013. This was partly offset by lower reserves established for new business, reflecting the decline in net premium income in France.

LICs decreased by 17% to US$846m. GB&M reported lower credit risk provisions in the UK following net releases on available-for-sale ABSs, compared with charges in the first half of 2012. This was partly offset by higher individually assessed provisions in CMB on a small number of customers in the UK, and due to the challenging economic conditions in Spain.

Operating expenses decreased by 14%, driven by lower charges relating to UK customer redress programmes. We reported charges of US$412m in the first half of 2013, which included US$367m for the possible mis-selling of PPI policies in previous years. This compared with a charge of US$1.3bn in the first half of 2012, which included US$1.0bn, and US$230m (US$237m as reported), for the possible mis-selling of PPI policies and interest rate protection products, respectively. We also benefited from sustainable costs savings of over US$340m due to organisational effectiveness programmes that commenced in 2011, lower restructuring costs, and a decline in performance costs, notably in GB&M. In addition, we reported an accounting gain of US$430m relating to changes in delivering ill-health benefits to certain employees in the UK, (see page 34 and Note 5 on the Financial Statements). These factors were partly offset by higher litigation-related charges in GB&M and an operational risk provision in GPB.

Operating expenses in Europe

	Half-year to
	30 Jun	30 Jun	31 Dec
	2013	2012	2012
	US$m	US$m	US$m

HSBC Holdings ...............	612	510	1,553
UK .................................	4,760	6,195	5,798
Continental Europe ........	2,625	2,656	2,581
Intra-region eliminations	(135)	(72)	(126)

Total operating expenses .....................................	7,862	9,289	9,806

Profit/(loss) before tax and balance sheet data - Europe

	Half-year to 30 June 2013
	Retail Banking and Wealth Management US$m	Commercial Banking US$m	Global Banking and Markets US$m	Global Private Banking US$m	Other US$m	Inter- segment elimination⁶² US$m	Total US$m

Profit/(loss) before tax

Net interest income/(expense).	2,751	1,638	799	357	(310)	15	5,250

Net fee income/(expense).	1,246	844	489	397	(7)	-	2,969

Trading income excluding net interest income ...	102	26	2,958	108	538	-	3,732
Net interest income on trading activities .............	3	7	594	4	14	(15)	607

Net trading income⁵⁷ ............................	105	33	3,552	112	552	(15)	4,339

Changes in fair value of long-term debt issued and related derivatives ..........	-	-	-	-	(1,347)	-	(1,347)
Net income/(expense) from other financial instruments designated at fair value ...................	296	103	(965)	-	964	-	398
Net income/(expense) from financial instruments designated at fair value ...................	296	103	(965)	-	(383)	-	(949)
Gains less losses from financial investments ........	43	(7)	332	3	2	-	373
Dividend income .....	2	1	32	4	1	-	40
Net earned insurance premiums ............	1,519	222	-	6	(1)	-	1,746
Other operating income/ (expense) ............	(149)	(21)	(11)	(274)	343	62	(50)

Total operating income ..............	5,813	2,813	4,228	605	197	62	13,718

Net insurance claims⁶³ ...............	(1,958)	(281)	-	(5)	-	-	(2,244)

Net operating income²² ............	3,855	2,532	4,228	600	197	62	11,474

Loan impairment charges and other credit risk provisions ...........	(169)	(498)	(166)	(13)	-	-	(846)

Net operating income ..............	3,686	2,034	4,062	587	197	62	10,628

Operating expenses .	(2,731)	(950)	(2,493)	(700)	(926)	(62)	(7,862)

Operating profit/(loss) .......	955	1,084	1,569	(113)	(729)	-	2,766

Share of profit/(loss) in associates and joint ventures ......	1	2	(1)	(1)	1	-	2

Profit/(loss) before tax......................	956	1,086	1,568	(114)	(728)	-	2,768

	%	%	%	%	%		%
Share of HSBC's profit before tax ...........	6.8	7.7	11.1	(0.8)	(5.2)		19.7
Cost efficiency ratio ............................	70.8	37.5	59.0	116.7	470.1		68.5

Balance sheet data⁵³
	US$m	US$m	US$m	US$m	US$m		US$m
Loans and advances to customers (net) ...	161,966	100,117	147,463	23,095	795		433,436
Total assets ............	220,259	115,819	1,091,624	74,917	70,010	(207,095)	1,365,534
Customer accounts ..	187,725	121,334	199,750	45,950	890		555,649

	Half-year to 30 June 2012
	Retail Banking and Wealth Management US$m	Commercial Banking US$m	Global Banking and Markets US$m	Global Private Banking US$m	Other US$m	Inter- segment elimination⁶² US$m	Total US$m

Profit/(loss) before tax

Net interest income/(expense) ............................	2,643	1,607	750	428	(345)	(10)	5,073

Net fee income ....... ............................	1,317	809	421	431	45	−	3,023

Trading income/(expense) excluding net interest income ...	27	12	1,126	113	(197)	−	1,081
Net interest income on trading activities .............	3	5	729	5	18	10	770

Net trading income/(expense)⁵⁷ ..........................	30	17	1,855	118	(179)	10	1,851

Changes in fair value of long-term debt issued and related derivatives ..........	−	−	−	−	(1,165)	−	(1,165)
Net income/(expense) from other financial instruments designated at fair value ...................	194	36	488	−	(489)	−	229
Net income/(expense) from financial instruments designated at fair value ...................	194	36	488	−	(1,654)	−	(936)
Gains less losses from financial investments .........	5	(1)	449	(4)	−	−	449
Dividend income .....	1	1	37	3	1	−	43
Net earned insurance premiums ............	1,647	208	−	9	(4)	−	1,860
Other operating income ................	29	30	13	5	346	45	468

Total operating income/ (expense) ............	5,866	2,707	4,013	990	(1,790)	45	11,831

Net insurance claims⁶³ ...............	(1,933)	(223)	−	(8)	−	−	(2,164)

Net operating income/ (expense)²² ..........	3,933	2,484	4,013	982	(1,790)	45	9,667

Loan impairment charges and other credit risk provisions ...........	(187)	(412)	(431)	(7)	−	−	(1,037)

Net operating income/ (expense) ............	3,746	2,072	3,582	975	(1,790)	45	8,630

Operating expenses .	(3,840)	(1,297)	(2,531)	(738)	(838)	(45)	(9,289)

Operating profit/(loss) .........	(94)	775	1,051	237	(2,628)	−	(659)

Share of profit/(loss) in associates and joint ventures ......	2	(1)	(8)	(1)	−	−	(8)

Profit/(loss) before tax .......................	(92)	774	1,043	236	(2,628)	−	(667)

	%	%	%	%	%		%
Share of HSBC's profit before tax ............	(0.7)	6.1	8.2	1.9	(20.7)		(5.2)
Cost efficiency ratio ............................	97.6	52.2	63.1	75.2	(46.8)		96.1

Balance sheet data⁵³
	US$m	US$m	US$m	US$m	US$m		US$m
Loans and advances to customers (net) ...	157,336	101,709	156,290	29,390	720		445,445
Total assets .............	224,545	129,330	1,013,553	78,814	58,641	(129,330)	1,375,553
Customer accounts ..	181,540	116,308	171,280	59,512	889		529,529

Profit/(loss) before tax and balance sheet data - Europe (continued)

	Half-year to 31 December 2012
	Retail Banking and Wealth Management US$m	Commercial Banking US$m	Global Banking and Markets US$m	Global Private Banking US$m	Other US$m	Inter- segment elimination⁶² US$m	Total US$m

Profit/(loss) before tax

Net interest income/ (expense) ......	2,794	1,621	659	392	(198)	53	5,321

Net fee income/(expense) .................	1,305	849	611	417	(36)	−	3,146

Trading income/(expense) excluding net interest income ..........	40	14	(278)	103	222	−	101
Net interest income on trading activities .......	4	9	771	9	15	(53)	755

Net trading income⁵⁷ .......	44	23	493	112	237	(53)	856

Changes in fair value of long-term debt issued and related derivatives .....	−	−	−	−	(1,926)	−	(1,926)
Net income/(expense) from other financial instruments designated at fair value ...	576	103	585	−	(617)	−	647
Net income/(expense) from financial instruments designated at fair value........	576	103	585	−	(2,543)	−	(1,279)
Gains less losses from financial investments ...	(10)	−	(74)	1	(2)	−	(85)
Dividend income ......................	(1)	−	67	−	2	−	68
Net earned insurance premiums ......	1,503	230	−	33	4	−	1,770
Other operating income ..........	55	28	75	56	450	(54)	610

Total operating income/ (expense) ......	6,266	2,854	2,416	1,011	(2,086)	(54)	10,407

Net insurance claims⁶³ .........	(2,121)	(313)	−	(32)	−	−	(2,466)

Net operating income/ (expense)²² ....	4,145	2,541	2,416	979	(2,086)	(54)	7,941

Loan impairment charges and other credit risk provisions ......................	(160)	(697)	(5)	(22)	−	−	(884)

Net operating income/ (expense) ......	3,985	1,844	2,411	957	(2,086)	(54)	7,057

Operating expenses ........	(3,385)	(1,411)	(2,468)	(693)	(1,903)	54	(9,806)

Operating profit/(loss) ...	600	433	(57)	264	(3,989)	−	(2,749)

Share of profit/(loss) in associates and joint ventures	1	1	−	(1)	1	−	2

Profit/(loss) before tax ......	601	434	(57)	263	(3,988)	−	(2,747)

	%	%	%	%	%		%
Share of HSBC's profit before tax ......	7.6	5.5	(0.7)	3.3	(50.4)		(34.7)
Cost efficiency ratio...............	81.7	55.5	102.2	70.8	(91.2)		123.5

Balance sheet data⁵³
	US$m	US$m	US$m	US$m	US$m		US$m
Loans and advances to customers (net) ..............	170,002	105,796	156,798	29,963	881		463,440
Total assets .......	240,744	132,718	1,044,507	76,145	75,513	(180,387)	1,389,240
Customer accounts ........	191,024	121,648	184,473	57,125	739		555,009

For footnotes, see page 100.

This information is provided by RNS

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END

IR UNORROSAWAAR

RNS metadata

Title: Interim Report - 7 of 28
Time: 17:21:01
Date: 16 Aug 2013
Category: Results
ID: 8944L

Geographical regions

Summary

In the analysis of profit and loss by geographical region that follows, operating income and operating expenses include intra‑HSBC items of US$1,591m (first half of 2012: US$1,630m; second half of 2012: US$1,728m).

Profit/(loss) before tax

Total assets53

For footnote, see page 100.

Risk-weighted assets65

For footnote, see page 100.

Selected items included in profit before tax by geographical region

Fair value movements arising from changes in own credit spreads20

Acquisitions, disposals and dilutions54

For footnotes, see page 100.

Europe

Profit/(loss) before tax by country within global businesses

Total assets⁵³

Risk-weighted assets⁶⁵

Fair value movements arising from changes in own credit spreads²⁰

Acquisitions, disposals and dilutions⁵⁴