Standard Chartered announces $500m buyback as profits rise

Standard Chartered’s second-quarter profit rose 6.5% year-on-year on stronger interest income as it announced a new share buyback program of 500 millions of dollars.

The Asia-focused bank reported a second-quarter pretax profit of $1.32 billion on July 29. Operating income rose 6.5% to $3.93 billion, driven by higher net interest income as central banks raised interest rates aggressively to combat high inflation .

Its net interest income rose 8.2% to $1.85 billion, while its net interest margin rose 0.13 percentage points to 1.35%.

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During the first half, credit impairments were $267 million, up $314 million from a year earlier. The bank said it is alert to “an unpredictable and challenging external environment, including the continued impact of Covid-19 on key markets, pressures on China’s commercial real estate sector, volatility in commodity prices and the impact of the war between Russia and Ukraine.”

“Looking ahead, while recession risks are rising in the West, we are seeing the early stages of a post-pandemic recovery in many of the markets in which we operate, which underpins our growth outlook,” said Bill Winters, CEO of Stanchart.

Write to Clarence Leong at clarence.leong@wsj.com

This article was published by Dow Jones Newswires, another title of the Dow Jones Group



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About the Author: Chaz Cutler

My name is Chasity. I love to follow the stock market and financial news!