HSBC Q1 2025 earnings

Here are HSBC’s first-quarter 2025 results compared with consensus estimates compiled by the bank.

• Profit before tax: $9.48 billion vs. $7.83 billion
• Revenue: $17.65 billion vs. $16.67 billion

The bank’s profit declined 25% on a year-on-year basis. Revenue fell 15% from last year.

Profit before tax, however, soared nearly 317% from the previous quarter.

“Our strong results this quarter demonstrate momentum in our earnings, discipline in the execution of our strategy and confidence in our ability to deliver our targets. We continue to support our customers through this period of economic uncertainty and market unpredictability, which we enter from a position of financial strength,” Group CEO Georges Elhedery said.

Last October, the bank announced a restructuring plan to split its operations into four divisions, creating separate “Eastern markets” and “Western markets” sectors. HSBC had said the reorganization will bring about $300 million in cost reductions this year.

“Despite uncertainties on global trade, HSBC’s restructuring progress should continue to bring positive impacts on cost-saving,” said Manyi Lu, DBS Bank’s equity research analyst.

There might be some headwinds from tariff and concerns on global recession, but the effect will be more prominent in the following quarters, Lu told CNBC.

The earnings do not reflect the full impact of U.S. President Donald Trump’s tariffs, with “reciprocal” levies announced in April having been suspended. However, tariffs on steel, aluminum and autos that have been in place since March.

HSBC CEO Georges Elhedery was among four United Kingdom bank CEOs who recently urged the Chancellor of the Exchequer to scrap the country’s ring-fencing rules, Sky News reported. The move was reportedly aimed at boosting the UK economy.

Ring-fencing involves isolating a bank’s consumer banking business from its riskier investment banking activities.