HSBC profits continue to grow in 2009

By Simon Hayes on November 10, 2009 1:03 PM |

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HSBC reported another improvement in its trading for 2009 when it published its third quarter update but did not disclose how much its profits are up.

The bank, based in Canada Square, revealed this morning pre-tax profits are "significantly ahead" of where they were for the same period last year.

But conspicuous by their absence in the bank's statement to the City were any concrete figures.

HSBC joined Wharf neighbour Barclays in reporting good news on bad loans, which have fallen to their lowest level in over a year. It also reported its global banking and market units were having a record year, while the commercial banking division was solidly profitable in all regions.

Chief executive Michael Geoghegan believes the worst of the financial crisis is over but warned there was still work to be done.

He said: "I believe the biggest jolt has now passed through the global economy, but it is too early to claim victory, especially while unemployment is rising in the west."

HSBC's stability has helped it attract new customers and Mr Geoghegan was also clear on why HSBC has managed to continue post big profits while other banks, notably Lloyds, struggle.

He said: "Thanks to a highly diversified business model, a clear and unchanged strategy and a focus on banking fundamentals, HSBC continues to deliver broadly based profits at this pivotal stage of the business cycle.

"At a time when economic conditions have remained challenging and public trust in banks has been seriously compromised, we are attracting new customers in our target segments.

"We have maintained our strong deposit base and we continue to lend to and support customers through difficult times."