Company: HBCYF
Filing Date: 2025-04-29
Form Type: 6-K
Source: 0001654954-25-004763
Chunk: 16

Company: HSBC HOLDINGS PLC
Filing Date: 2025-04-29
Form: 6-K
Chunk 16
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 a net favourable impact of $4.8bn of notable items, primarily the non-recurrence of a $5.2bn loss in 4Q24 following the disposal of our business in Argentina.

The growth in reported revenue also reflected a rise in fee and other income from the impact of higher customer activity across Wealth products in our IWPB and Hong Kong business segments, and an increase in Debt and Equity Markets in our CIB segment. Fee and other income from Wholesale Transaction Banking also increased, primarily in Global Foreign Exchange, driven by increased market volatility in 1Q25.

NII of $8.3bn increased by $0.1bn, as the benefit of our structural hedge, the impact of lower interest rates on funding costs and a favourable movement in our asset mix were partly offset by the disposal of our business in Argentina and a lower number of days in 1Q25 than in 4Q24. The funding costs associated with the trading book decreased by $0.5bn, resulting in a reduction in banking NII of $0.4bn or 3%to $10.6bn. Excluding the impact of foreign currency translation differences and the disposal in Argentina, banking NII was stable compared with 4Q24.

On a constant currency basis revenue increased by $6.3bn or 55%, and included a $4.8bn favourable impact from strategic transactions.

ECL

Reported ECL charges of $0.9bn were $0.5bn lower than in 4Q24. ECL in 4Q24 included stage 3 charges relating to exposures in the mainland China commercial real estate sector, as well as a charge relating to a single exposure in the UK. In 1Q25, ECL included charges to reflect heightened uncertainty and deterioration in the forward economic outlook due to geopolitical tensions and higher trade tariffs.

On a constant currency basis ECL charges were $0.5bn lower than in 4Q24.

Operating expenses

Reported operating expenses of $8.1bn were $0.5bn or 6% lower, which included favourable foreign currency translation differences between the periods of $0.1bn. The reduction reflected the non-recurrence of banking levies of $0.2bn, which were mainly incurred in the fourth quarter, and the impact of the disposal of our business in Argentina. These reductions were partly offset by an increase in notable items, including restructuring and other related costs, primarily related to severance, and