Speaker 1: We spoke to our Quinn HSPs is outgoing CEO, who
Speaker 1: told us it has been a strong performance.
Speaker 2: Really please that we've delivered a return on tangible equity
Speaker 2: of seventeen percent excluding notable items. So listen, I'm pleased
Speaker 2: not only for our shareholders, but also for the two
Speaker 2: hundred thousand colleagues around the world who have made this
Speaker 2: possible to deliver a financial performance this strong. I'm pleased
Speaker 2: with the way that they've handled the past five years,
Speaker 2: the work they've done, the transformation and the results today
Speaker 2: are testaments of the work that they've they've put in
Speaker 2: and you know, match the heritage of HSBC and the
Speaker 2: strategic promise of HSBC. The financial results now match that,
Speaker 2: and that's why I'm also very pleased today that we've
Speaker 2: announced a three billion dollar buyback program, having completed three
Speaker 2: billion dollars over the last three months. And just your
Speaker 2: manor just one thing that sometimes we tend to get
Speaker 2: is quarter by quarter. But in the last eighteen months,
Speaker 2: we've distributed to our shareholders thirty four billion dollars of
Speaker 2: capital either via dividends or buybacks and us in eighteen
Speaker 2: months and fifty four billion dollars over the past five years.
Speaker 3: So let's talk more about the earnings and specifically that
Speaker 3: share buyback number three billion dollars higher than what the
Speaker 3: market was anticipating. How do you square up the market's
Speaker 3: expectations of what you can offer in terms of shared
Speaker 3: buybacks versus say, the need to continue investing in the
Speaker 3: business or in other areas or M and A for example.
Speaker 2: Well, we said this year and last year as well
Speaker 2: that we would operate a fifty percent dividend payer ratio,
Speaker 2: So fifty percent goes in dividends, fifty percent is retained
Speaker 2: in the bank, and that it can be retained either
Speaker 2: to fund growth and or additional buybacks additional distribution to
Speaker 2: shareholders by in the way of buybacks. That second fifty
Speaker 2: percent can do both and is doing both. We're retaining
Speaker 2: sufficient to drive growth, and we're distributing any excess because
Speaker 2: we've still got a very strong capital ratio CET one
Speaker 2: ratio work quite well above our target range. Therefore, we're
Speaker 2: able to both grow and distribute via buybacks. We do
Speaker 2: not re announced buybacks. We do we are on a
Speaker 2: quarter by quarter basis. But I'm pleased that we've announced
Speaker 2: three billion dollars today and it's a function of the
Speaker 2: high returns that we generate in and the good profit
Speaker 2: performance we generate in, and our confidence for the future.
Speaker 2: The other thing we announced today is a new target,
Speaker 2: a new guidance of mid teens returns for twenty twenty five.
Speaker 2: That's a new piece of information we've put into the market.
Speaker 2: That is evidence of our confidence of our ability to
Speaker 2: continue to deliver good, strong financial performance even if in
Speaker 2: tress rates come down. We built alternative revenue growth resugees
Speaker 2: to provide us with the sustainability of returns going forward
Speaker 2: as interest rates come down.
Speaker 1: Okay, HSBC is outgoing CEO no Quinn talking to Jamana
Speaker 1: Pisci down