logo
Plus   Neg
Share
Email

Standard Chartered Q1 Profit Climbs, Says Confident In Outlook; Stock Up

Shares of Standard Chartered Plc (SCBFF.PK,STAC.L,STAN.L) were gaining around 3 percent after the British bank reported Thursday that its first-quarter profit before taxation climbed 59 percent to $1.41 billion from last year's $886 million.

Earnings per share were 32.6 cents, up 17.7 percent from 15 cents last year.

Underlying profit before taxation was $1.45 billion, compared to $1.22 billion a year ago. Underlying earnings per share were 33.5 cents, compared to 25.4 cents last year.

Operating income declined 9 percent to $3.94 billion from prior year's $4.34 billion. Operating income was down 3 percent at constant currency and excluding a $305 million reduction in DVA.

Net interest income fell 10 percent from last year to $1.66 billion.

Looking ahead, Standard Chartered said it still expects the recovery to be volatile and uneven, even as the scale of the US fiscal stimulus and speed of vaccine roll-out have significantly lifted global economic prospects.

The company sees some of its larger markets to continue to drive the global economy out of recession over the coming quarters.

The bank said the positive backdrop reinforces its confidence in previous guidance for fiscal 2021.

The company said, "With the net interest margin having broadly stabilised, we expect income to start growing again in 2H'21 compared to 2H'20. Income is expected to be similar in FY'21 to that achieved in FY'20 at constant currency and to return to our medium-term guidance of 5-7 percent growth from FY'22."

In London, Standard Chartered shares were trading at 508.29 pence, up 2.94 percent.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT