The stock rose 6.1% after earnings, reflecting a beat in reported performance and an upgrade to full-year guidance. Third-quarter income grew 14% and profit before tax 29%, while the bank raised its income growth and return-on-tangible-equity outlook.
- Operating income was $5.8 billion, up 14%; pre-provision operating profit rose 22% to $2.4 billion as income growth outpaced 9% expense growth.
- Full-year income growth is now expected to be above the prior 5%–7% range, excluding notable items, with RoTE around 14%, up from guidance of over 12%. The bank also expects a 2026 cost/income ratio of around 60%.
- Net interest income rose 6% year-to-date, prompting an upgrade to full-year NII growth guidance to around 4%. Management expects volume growth to moderate and term-deposit margin compression to continue.
- Wealth Solutions income increased 26% to $1.1 billion; WRB income rose 10% to $2.5 billion. WRB unsecured lending income declined 13% amid portfolio optimization.
- Credit impairment was $90 million, including a $34 million net overlay charge related to the Middle East conflict. The CET1 ratio was 13.8% at quarter-end.
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