StanChart third-quarter profit more than doubles, beats estimates

By Selena Li and Lawrence White

HONG KONG/LONDON (Reuters) -Standard Chartered's quarterly profit more than doubled from a year ago, topping analyst estimates, as it recovered from China-related impairments while wealth and markets businesses bolstered the emerging-market focused lender's revenue. StanChart, which earns most of its revenue in Asia, said pretax profit for the third quarter reached $1.72 billion, above the $1.49 billion average of 17 analyst estimates compiled by the bank.

The profit compared with $633 million a year earlier, when StanChart took a nearly $1 billion combined hit from its exposure to China's real estate and banking sectors. The London-headquartered bank, which shook off the impact of the China-related impairments seen last year, did not announce a fresh share buyback for the quarter, unlike rival HSBC.

StanChart upgraded its forecast for return of tangible equity - a performance metric - to close to 13% in 2026 from a previous target of 12% in 2026 and onwards.

The bank is "doubling investment" in its wealth management business, and will continue to "reshape" its mass retail business to focus on future affluent and international clients, Group Chief Executive Bill Winters said in a statement.



StanChart joined European peers in making robust progress on sustaining profits amid falling rates.

HSBC reported a 10% quarterly year-on-year profit increase on Tuesday, sending its shares to an at least six-year high as investors turned bullish on its outlook.

Source: Investing.com