HSBC posts record profits for first half

HSBC Bank Malta plc and its subsidiaries recorded a pre-tax profit of Lm20.6 million for the six months ended June 30.

This represents an increase of 11.3 per cent over the Lm18.5 million earned in the same period last year.

Within this improved profit performance, HSBC's cost to income efficiency ratio improved from 47.5 per cent to 45.5 per cent.

The bank said tax on profits was Lm7.1 million, resulting in a net profit after tax of Lm13.4 million for the half year.

Total assets stood at Lm1,706 million representing a three per cent increase over December 31 last year.

Within that figure the customer focus of the bank's business improved as total loans and advances to customers increased by six per cent.

The board of directors is recommending an interim gross dividend of 5.3c per share (3.4c net of tax). This represents a gross dividend yield of 4.5 per cent on the current share price of Lm2.35 and will be paid on August 17.

Shaun Wallis, director and chief executive officer, said: "Our strong results for the first six months reflect continued business growth in all customer groups and across all product lines.

"Our focus continues to be on maximising customer relationships and introducing new and competitive products and services to meet their financial needs and increase customer satisfaction."