Standard Chartered PLC (LSE:STAN) has kicked off 2025 with a strong first quarter, as earnings and income moved higher across the board.
Operating income rose 7% at constant currency to $5.4 billion, with its Wealth Solutions, Global Markets, and Global Banking all delivering double-digit growth, enabling it to beat the consensus forecast of $5.3 billion.
Underlying profit before tax climbed 12% to $2.3 billion, again coming in a sliver higher than the expected $2.15 billion. Earnings per share jumped 9.8 cents to 62.7 cents.
Return on tangible equity also moved up, rising 120 basis points to 16.4%.
The bank, which has a strong presence across Asia, as well as Africa and the Middle East, saw broad-based growth, with net interest income increasing 7% to $2.8 billion, and non-interest income also rising 7%. Excluding one-off items, non-interest income was up by a strong 18%.
Wealth Solutions led the way with a 28% boost, thanks to demand in investment products and bancassurance. Global Banking rose 17% on the back of increased deal-making, while Global Markets was up 14% as both flow and episodic income performed well.
On the cost side, expenses were up 5% to $2.9 billion, reflecting continued investment and inflation, though some of this was offset by efficiency gains.
Credit impairment charges rose to $219 million, mostly from unsecured lending in the Wealth and Retail Banking arm, as higher rates weighed on repayments.
CEO Bill Winters said the bank’s cross-border capabilities continue to deliver value during uncertain times.
Customer deposits jumped $26 billion in the quarter to $491 billion. Loans were broadly flat, while the bank’s Common Equity Tier 1 capital ratio stood at 13.8%, reflecting the $1.5 billion share buyback announced earlier this year.
Guidance for 2025 and 2026 remained unchanged, with income growth expected to track toward the higher end of the 5-7% range through 2026 and capital returns set to continue.