HSBC shares rally after 32 percent increase in profits
LONDON (AP) — Shares in HSBC are rallying after Europe's biggest bank posted a 32 percent increase in third-quarter earnings.
The London-based bank, which gets most of its profit from Asia, said net income advanced to $3.90 billion from $2.96 billion in the same quarter last year. HSBC shares rose 4 percent to 629.20 pence in early London trading.
HSBC benefited from a corporate overhaul designed to boost profitability by focusing on high-growth Asian markets while shedding businesses and workers in other countries. Asia accounted for 77 percent of pre-tax profit in the quarter.
Richard Hunter, head of markets at interactive investor, said Monday that "sustained growth into a group of this size will be a marathon rather than a sprint, but the initial reaction to these numbers suggest some signs of optimism."
