Company: HBCYF
Filing Date: 2025-02-20
Form Type: 20-F
Source: 0001089113-25-000040
Chunk: 595

Company: HSBC HOLDINGS PLC
Filing Date: 2025-02-20
Form: 20-F
Chunk 595
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 respective testing date. The VIU is calculated by discounting management’s cash flow projections for the CGU. The key assumptions used in the VIU calculation for each individually significant CGU that is not impaired are discussed below.

| Key assumptions in VIU calculation – significant CGUs at 1 October20241 |                            |                  |                         |              |                                  |                            |                  |                         |              |                                              |
|                                                                         | Carryingamount at1 Oct2024 | of whichgoodwill | Value inuse at1 Oct2024 | Discountrate | Growthratebeyondinitialcash flow | Carryingamount at1 Oct2023 | of whichgoodwill | Value inuse at1 Oct2023 | Discountrate | Growthratebeyond initialcash flowprojections |
|                                                                         |                         $m |               $m |                      $m |            % |                                % |                         $m |               $m |                      $m |            % |                                            % |
| HSBC UKBank plc –WPB                                                    |                     12,785 |            2,843 |                  27,118 |         10.6 |                              2.0 |                     11,167 |            2,597 |                  27,933 |         10.4 |                                          2.0 |

1 For impacts arising from the revised organisational structure effective from 1 January 2025, see Note 1.2(a) . At 1 October 2024, aggregate goodwill of $ 1,493m (1 October 2023: $ 1,599m ) had been allocated to CGUs that were not considered individually significant. The Group’s CGUs do not carry on their balance sheets any significant intangible assets with indefinite useful lives, other than goodwill.

| 432 | HSBC Holdings plcAnnual Report on Form 20-F |

Notes on the financial statements

Management’s judgement in estimating the cash flows of a CGU The Group does not consider there to be a significant risk of a material adjustment to the carrying amount of goodwill in the next financial year, but does consider this to be an area that is inherently judgemental. The cash flow projections for each CGU are based on forecast profitability plans approved by the Board and minimum capital levels required to support the business operations of a CGU. The Board challenges and endorses planning assumptions in light of internal capital allocation decisions necessary to support our strategy, current market conditions and macroeconomic outlook. For the 1 October 202