StanChart raises goals, to start buyback as full year profit doubles | Reuters
Standard Chartered (STAN.L) raised its core profitability goals and promised shareholders extra payouts on Thursday, despite full year profit undershooting expectations, as it banks on inflation-battling rate hikes worldwide to boost lending.
CEO Bill Winters, who repaired StanChart's balance sheet and slashed thousands of jobs after he took charge in 2015, has more recently come under pressure to boost growth and lift the bank's flagging share price. The bank's London-listed stock is around 45% below the level when Winters became CEO.
StanChart's Hong Kong shares fell as much as 3.3%, the biggest daily percentage decline since late November, on a broadly lower market, as 2021 profits missed expectations and investors digested a growth strategy reliant on rate hikes and cost cutting.
The update from the emerging-markets focused lender, the first major British bank to report annual results, gave an early indication of how rising central bank interest rates will help lenders even as they battle to improve underlying performance.
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