February newsletter

Our Annual Results 2025

We’ve approved a fourth quarterly dividend of $0.45 per share – announced as part of our Annual Results this week.

This resulted in a total dividend of $0.75 per share for 2025 and we also completed two share buybacks in respect of 2025, worth a total of $6bn.

“We delivered strong performance and material returns for our shareholders in 2025,” Group Chairman Brendan Nelson said in our annual report.

“Dividends paid in 2025, together with a more than 49% increase in the share price, delivered a total shareholder return for the year of more than 57%.”

For the year ended 31 December 2025, profit before tax grew by 7% to $36.6bn, excluding notable items, and revenue grew by 5% to $71.0bn, excluding notable items.

Annualised return on average tangible equity (RoTE) was 13.3%, or 17.2% excluding notable items.

Setting new targets

We’re targeting a RoTE of 17% or better for 2026, 2027 and 2028, excluding notable items. This reflects momentum in our earnings and the positive progress we’re making in our strategic execution.

We’re targeting year-on-year growth in revenue from 2026 to 2028, rising to 5% in 2028, excluding notable items and on a constant currency basis.

And we maintain our dividend payout target of 50% in 2026, 2027 and 2028, excluding notable items and related impacts.

“We are becoming a simple, more agile, focused bank, one that moves with the speed our customers need to navigate the modern world,” said Group CEO Georges Elhedery.

“We are delivering growth, investing for growth and we are executing our strategy with discipline and precision. That gives us confidence in our ability to continue delivering for our shareholders.”

Georges highlighted the privatisation of Hang Seng Bank as a prime example of how we are investing for growth and a demonstration of our confidence and conviction in Hong Kong’s future growth.

Learn more about our 2025 performance in our results quick read.

We’re the #1 trade finance bank in the world

Businesses have once again voted us as the top provider of trade finance globally, in the Euromoney Trade Finance Survey.

The Euromoney Trade Finance Survey award is based on the views of more than 13,000 voting businesses in more than 100 countries and territories.

“These wins demonstrate that our strategy is working and we are delivering value for clients when they need us most,” said Vivek Ramachandran, our Head of Global Trade Solutions.

“As global connectors, innovative problem solvers, and strategic partners, we are helping businesses navigate uncertainty and seize new opportunities in an ever-changing global landscape.”

This is the ninth consecutive year we’ve been voted #1 in Euromoney’s Trade Finance Survey.

This year, we were also recognised as:

• Number one in Asia-Pacific, Latin America, the Middle East and Western Europe
• The top trade bank in 21 markets, including Hong Kong and the UK
• Number one globally for Client Service; Products; and Technology
• Top in all global categories for Large and Middle Market Corporates

In addition, respondents to the survey praised our clear guidance and international expertise.

Hang Seng Gold ETF surges past $100m AUM in first week

Hang Seng Investment has launched Hong Kong’s first gold exchange-traded fund (ETF) that supports physical gold redemption through a bank – and it surpassed US$100 million in assets under management in its opening week.

HSBC is the gold custodian for the Hang Seng Gold ETF, which is listed on the Hong Kong Stock Exchange.

The ETF opened about 15% above its issue price and closed its first day about 9% up, with turnover around HK$131 million (US$17 million).

“This marks a significant milestone in strengthening our ETF portfolio and expanding investment solutions for investors,” said Luanne Lim, Chief Executive of Hang Seng Bank.

“The gold ETF also underscores our commitment to supporting Hong Kong’s development as a leading international gold trading hub.”

Suvir Loomba, Regional Head of Securities Services, Asia, HSBC, added: “This collaboration highlights our complementary strengths and shared commitment to delivering relevant solutions for clients, faster than ever before.”

The ETF’s debut coincided with spot gold hitting record levels – demand has softened slightly since but is still tracking gold’s elevated prices.

Hang Seng Investment plans to launch a tokenised class for this product – the first non-money market tokenised ETF offering in Hong Kong.

HSBC Orion wins UK government digital bond mandate

The UK government has chosen our digital assets platform, HSBC Orion, as the platform provider for its Digital Gilt Instrument (DIGIT) pilot issuance.

This places the UK in pole position among the G7 nations to issue the first-ever tokenised sovereign bond on a blockchain.

“We want to attract investment and make the UK the best place to do business, which is why we are launching DIGIT,” said Lucy Rigby KC MP, Economic Secretary to the Treasury.

“This is exactly the kind of financial innovation we need to keep the UK at the forefront of global capital markets and I’m looking forward to working with HSBC and other parties to deliver DIGIT.”

Patrick George, our Global Head of Markets and Securities Services, added: “The UK is the sixth-largest economy in the world. HSBC is delighted to be supporting the continued development of the gilt market, market innovation, and the growth of the broader UK economy.”

Issuing digital gilts and digital corporate bonds on a blockchain has the potential to improve the debt capital markets structures, accelerating settlement times, increasing efficiency and improving liquidity.

To date, HSBC Orion has enabled the issuance of over US$3.5 billion in digitally native bonds globally.

Read more in our press release.