HSBC to determine $ 1.5 billion savings

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HSBC is preparing to reveal annual cost savings of USD 1.5 billion from the radical revision of the Bank of Cheorges Elheders.

The largest lender in Europe will interpret the figures on Wednesday, February 19, for the first time when Elland Present the results of the year as a whole.

It is expected that after two people familiar with the matter, it will report 1.5 billion USD to the changes according to the unique costs.

HSBC leaned a comment.

Elhodeny announced a comprehensive restructuring in October, weeks later take overIn order to reduce duplication and take off the costs of an organization that has long had a reputation as a lumberjack.

The managing director said the plans would lead to a “simpler, more dynamic and agile organization”. The bank’s shares have increased by 30 percent since the announcement.

At the center of the plans of Elhodeny have changed changes in the organized group of the group based in London. It now has individual units that are devoted to the two core markets in the UK and Hong Kong, a unit that focuses on corporate and institutional banking business, and another for international assets and Premier Banking.

The restructuring has led to the fact that the advertising and investment banks, two of the three HSBC departments, have been mixed in their old structure.

The combination has made it possible to reduce the number of bankers that are in various geographic things, especially in the leading series of rows, and a large part of the previous ribbing comes from layoffs. He cut the number of top managers by about half.

On Wednesday, HSBC is also preparing to quantify the savings that from Elhedery’s decision to withdraw from some non-core markets.

HSBC announced in January to withdraw from the most important parts of his investment banking business in Great Britain, Europe and America, which surprises many employees in these shops. It also decided that Switch off the payments App Zing just one year after the start.

The bank quickly acts to put Elhedy’s plan into practice, but still with what is to do with its business in Mexico, eliminates the people familiar with the discussions.

As part of a more comprehensive review of non-core retail transactions, HSBC has significantly examined the Mexican business in the Mexico company, according to the Financial Times.

The bank was put under pressure to control the costs as a period of the interest rate – which increased the bank’s profits.

The net interest rate, an essential measure of the profitability of lending, decreased in the third quarter of 2024. The costs rose by 2 percent, partly due to inflation.

HSBC’s headquarters have stubbornly high in recent years despite the efforts of the predecessor of Elheder, the bank.

Former managing director Noel Quinn had previously undertaken to reduce the number of full -time employment to 200,000 by the end of 2023. At the end of September last year they had 215,180 full -time employees.