Hsbc Holdings Plc · LSE:HSBA
Hsbc — FY2015 Earnings Presentation
13 slides from Hsbc's earnings presentation, 2016
Slide 1: Global Banking and Markets Investor Update
Global Banking and Markets Investor Update 1 Samir Assaf Group Managing Director, Chief Executive, Global Banking and Markets
Slide 2: Important notice and forward-looking statements
Appendix Important notice and forward-looking statements Important notice The information set out in this presentation and subsequent discussion does not constitute a public offer for the purposes of any applicable law or an offer to sell or solicitation of any offer to purchase any securities or ot
Slide 3: Group highlights
Group highlights 2015 Full Year ‒ Reported PBT up 1%: net favourable movement in significant items ‒ Adjusted PBT fell 7%: 2015 ‒ Higher revenue of $0.5bn (1%) from growth in client-facing GB&M (7%), CMB (3%) Reported PBT Financial and Principal RBWM (2%) (2014: $18.7bn) Performance ‒ Higher costs (
Slide 4: 2015 Group key metrics
2015 Group key metrics 2015 Full Year Key financial metrics FY14 FY15 Target Return on average ordinary shareholders’ equity 7.3% 7.2% >10% Jaws (adjusted) - (3.7)% Positive Dividends per ordinary share in respect of the year $0.50 $0.51 Progressive Earnings per share $0.69 $0.65 n/a Common equity t
Slide 5: GB&M as a part of the HSBC Group
GB&M as a part of the HSBC Group GB&M 2015 performance compared with Group 2015 GB&M contribution (adjusted basis) vs. 2014: Adjusted Group PBT by account line 77 vs. 2014 Legacy credit 2015 Client-facing GB&M adverse favourable Revenue1 1,147 and BSM Fav 372 538 1% 25 Revenue $57,765m (139) (250) A
Slide 6: GB&M Investor day targets
GB&M Investor day targets1 RWAs ($bn) Operating expenses2,4 Revenue2, ($bn) RoRWA, (%) ($bn) GB&M ex- 4686 4016 3546 2846 16.86 14.06 Associates and ex-Legacy: 2.7% 485 GB&M ex- Associates and ex- 44 415 Legacy: 1.7% 2.6% 2.5% 360 18.1 44 5 285 9.1 8.5 9.1 8.5 15.1 5 1.6% 1.4% 371 Objectives 280 201
Slide 7: Progress to date: RWAs
Progress to date: RWAs Investor day target1, $bn Update on progress1 GB&M ex Associates Legacy Credit Client Facing GB&M RWAs: GB&M ex. Associates, ($bn) RWAs: Client facing and Legacy, ($bn) 4682 4012 3542 2842 485 492 41 456 485 44 424 415 425 30 404 390 44 29 30 44 41 359 415 30 345 29 30 44 360
Slide 8: Progress to date: Operating expenses
Progress to date: Operating expenses Investor day target1,3 $bn Update on progress GB&M ex Associates Client Facing GB&M Operating Expense: GB&M ex. Associates,1 ($bn) CER: GB&M ex. Associates, (%) 9.8 55.6 54.3 9.4 9.12 9.1 8.5 8.5 FY14 FY15 FY14 FY15 2014 2017 exit rate ‒ Positive JAWS FY15 vs FY1
Slide 9: Progress to date: Revenues
Progress to date: Revenues Investor day target1, $bn Update on progress1,3 GB&M ex Associates Client Facing GB&M 18.0 Significant deals including: 16.8 15.0 ‒ Adviser to Cheung Kong Holding on USD 26bn business 14.0 combination with Hutchinson Whampoa Limited 16.83 14.03 Event ‒ Adviser to Holcim on
Slide 10: Appendix
Appendix GB&M Investor Update Appendix 10
Slide 11: GB&M financials
GB&M financials1 Reported Adjusted 2014 2015 2015 Total Total Total Assoc. Legacy Assoc. Legacy Assoc. GB&M Legacy GB&M GB&M Legacy Credit (2) (2) 61 61 61 61 Credit 570 659 659 Rates 1,563 1,638 1,638 Foreign Exchange 2,918 2,918 2,918 Equities 1,216 1,606 1,606 Markets 6,265 (2) 6,882 61 6,882 61
Slide 12: Reported to Adjusted reconciliation
Reported to Adjusted reconciliation1 ($m) 2014 2015 4Q14 4Q15 Revenue Reported 17,778 18,233 3,308 3,447 Currency Translation (1,296) - (220) - Significant Items 328 (199) 54 199 - debit valuation adjustment (‘DVA’) on derivative contracts 332 (230) 54 186 - fair value movements on non-qualifying he
Slide 13: Issued by HSBC Holdings plc Group Investor Relations
Issued by HSBC Holdings plc Group Investor Relations 8 Canada Square London E14 5HQ United Kingdom Cover image: Tsing Ma Bridge carries road and rail traffic to Hong Kong International Airport and accommodates large Telephone: 44 020 7991 3643 container ships. At HSBC, we help customers across the w