The Retail Banking and Wealth Management arm of HSBC has registered an adjusted pre-tax profit of $7.08bn for the year ended 31 December 2018.
This marks an increase of 9% compared to $6.48bn in the previous year.
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The unit’s net operating income also increased, with a growth of 8% from $19.25bn to $20.76bn.
Total operating expenses at the division was $13.71bn, up 7% on a year-on-year basis.
HSBC’s Global Private Banking business posted adjusted pre-tax profit of $344m in 2018, a 16% increase from $296m a year earlier.
Compared to last year, the unit’s net operating income rose 5% to $1.79bn while total operating expenses increased 3% to $1.45bn.
Overall, the banking group’s reported pre-tax profit was $19.89bn for the twelve months to December 2018.
This is a 16% surge from last year’s figure of $17.16bn.
Adjusted pre-tax profit at the group increased 3% year-on-year to $21.72bn.
The group’s reported revenue was $53.78bn and adjusted revenue was $53.94bn in 2018, both up 4% from 2017.
HSBC group CEO John Flint said: “These are good results that demonstrate progress against the plan that I outlined in June 2018. Profits and revenue were both up despite a challenging fourth quarter, and our return on tangible equity is significantly higher than in 2017.
“This is an encouraging first step towards meeting our return on tangible equity target of more than 11% by 2020.”
