HSBC’s pre-tax profits slip in 2022

Banking giant HSBC on Tuesday announced a dip in 2022 pre-tax profits last year, calling the ongoing impact of Covid-19 the main factor in its financial performance.

The Asia-focused lender said it made $17.5 billion before tax, down more than seven per cent on-year, while reported revenue increased four per cent to $51.7 billion. In a statement to the Hong Kong stock exchange, HSBC detailed the tough global economic climate international banks are facing.

It cited renewed virus outbreaks in Hong Kong and mainland China as denting last year’s economic growth. It added that global uncertainty sparked by Russia’s invasion of Ukraine, elevated inflation and rising interest rates contributed to a difficult financial environment that it expects will spill into 2023’s earnings and even eclipse the toll of the pandemic.