Standard Chartered delivered FY’25 underlying EPS of 229.7 cents (+37% YoY) on operating income of $20.9 billion (+6%), though reported pretax profit of $6.96 billion missed the $7.2 billion analyst consensus. The bank announced a $1.5 billion share buyback and a 65% dividend hike. Shares had surged ~80% through 2025 but the rally stalled after the February CFO departure and mixed Q4 results.
About Standard Chartered PLC
Standard Chartered PLC (LSE: STAN | HKSE: 02888) is a London-headquartered international banking group founded in 1853, with operations spanning over 50 markets across Asia, Africa, and the Middle East. The bank earns the majority of its revenue from emerging markets, serving corporate, institutional, and affluent retail clients through two core segments: Corporate & Investment Banking (CIB) and Wealth & Retail Banking (WRB).
As of February 2026, Standard Chartered carries a market capitalisation of approximately $53 billion (GBP ~£38.7 billion) and trades at a trailing P/E ratio of roughly 10.3x. Its current share price is approximately 1,815 GBX on the London Stock Exchange. The bank employs over 80,000 people globally. Standard Chartered’s dividend yield stands at approximately 2.4%, following the 65% increase in the full-year dividend to 61 cents per share. Among UK-listed banks, Standard Chartered’s P/E of ~12.7x sits between NatWest (9.4x) and Lloyds (14.6x).
Top Financial Highlights
- Underlying operating income reached USD 20.9 billion, rising 6% year over year and 8% excluding notable impacts related to Ghana hyperinflation and Egypt foreign exchange revaluation.
- Net interest income totaled USD 11.2 billion, increasing 1% year over year, with higher lending volumes offset by margin compression linked to interest rate movements.
- Non net interest income amounted to USD 9.7 billion, growing 13% year over year and 17% excluding notable items, supported by record performance in Wealth Solutions, Global Banking growth of 15%, and Global Markets growth of 12%.
- Operating expenses stood at USD 12.3 billion, up 4%, reflecting strategic hiring initiatives and performance related compensation, partly offset by efficiency savings under the Fit for Growth program.
- Credit impairment charges were USD 676 million, equivalent to a 19 basis point annualised loan loss rate, compared to USD 557 million in the previous fiscal year.
- Underlying profit before tax reached USD 7.9 billion, representing an 18% increase year over year.
- Reported profit before tax totaled USD 6.96 billion, rising 16% from USD 6.01 billion, although below the USD 7.2 billion market consensus.
- Underlying earnings per share increased to 229.7 cents, up 37%, supported by improved profitability and a reduction in share count.
- Underlying return on tangible equity improved to 14.7%, rising 300 basis points and exceeding the 13% three year target ahead of schedule.
- The CET1 ratio stood at 14.1%, compared to 14.2% at the end of 2024, remaining above the stated 13% to 14% target range.
- Customer deposits increased to USD 530 billion, reflecting 14% growth or 12% on an underlying basis.
- Full year dividend reached 61 cents per share, representing a 65% increase, alongside a newly announced USD 1.5 billion share buyback, bringing total distributions since FY2023 to approximately USD 9.1 billion.
- Wealth Solutions revenue increased 24%, supported by double digit growth in investment products and bancassurance, addition of 275,000 new affluent clients, and USD 52 billion in net new money.
- For 2026, reported operating income growth is expected at approximately 5%, at the lower end of the 5% to 7% range, with net interest income projected to remain broadly flat, statutory return on tangible equity above 12%, and operating costs broadly stable.
Beat or Miss?
Standard Chartered’s full-year reported pretax profit of $6.96 billion missed the $7.2 billion consensus compiled by 16 analysts. The Q4’25 underlying pretax profit of $1.24 billion also fell short of the $1.38 billion Bloomberg consensus. The annual net income of $4.56 billion came in below the $4.77 billion analyst forecast.
| Metric | Reported (FY’25) | Consensus Estimate | Difference |
| Reported Pretax Profit | $6.96 billion | $7.2 billion | Miss (~3.3%) |
| Net Income (Ordinary Shareholders) | $4.56 billion | $4.77 billion | Miss (~4.4%) |
| Q4 Underlying Pretax Profit | $1.24 billion | $1.38 billion | Miss (~10%) |
| Operating Income (Underlying FY) | $20.9 billion | ~$20.9 billion | Broadly in line |
| Underlying RoTE | 14.70% | 13% target (exceeded) | Beat (+170bps above target) |
The underlying performance was strong, but restructuring charges ($937 million, including $531 million for Fit for Growth) and a softer Q4 in Global Markets trading dragged reported figures below expectations.
What Leadership Is Saying?
CEO – Bill Winters, “2025 was another year of strong momentum. We achieved an underlying return on tangible equity of 14.7%, exceeding our three-year plan a full year early. We have made a good start to the year and continue to benefit from a supportive business environment. We are seeing robust growth in our larger markets, and structural shifts in global trade and investment play to our distinctive strengths serving our clients’ cross-border and affluent banking needs.”
Interim CFO – Pete Burrill, “We delivered strong performance in 2025 reflecting sustained successful execution of our cross-border and affluent banking strategy which helped our clients navigate an uncertain external environment. The continued strategic focus on areas of our distinctive competitive advantage helped us deliver an underlying return on tangible equity of 14.7% in 2025, surpassing our 13% underlying return on tangible equity target a year earlier than planned.”
Historical Performance
FY’25 vs FY’24
The year-over-year comparison shows broad-based improvement across revenue, profit, and efficiency metrics, despite higher credit impairment charges.
| Category | FY’25 | FY’24 | Change (%) |
| Operating Income (Underlying) | $20,894m | $19,696m | +6% |
| Operating Income (Reported) | $20,942m | $19,543m | +7% |
| Operating Expenses (Underlying) | $12,347m | $11,790m | +5% |
| Operating Expenses (Reported) | $13,304m | $12,502m | +6% |
| Credit Impairment | $676m | $557m | +21% |
| Underlying Profit Before Tax | $7,900m | $6,811m | +16% |
| Reported Profit Before Tax | $6,963m | $6,014m | +16% |
| Net Income (Ordinary Shareholders) | $4,558m (reported) | $3,593m (reported) | +27% |
| Underlying EPS | 229.7¢ | 168.1¢ | +37% |
| Reported EPS | 195.4¢ | 141.3¢ | +38% |
| Cost-to-Income Ratio (Underlying) | 59.10% | 59.90% | -80bps |
| RoTE (Underlying) | 14.70% | 11.70% | +300bps |
Q4’25 vs Q4’24
| Category | Q4’25 | Q4’24 | Change |
| Operating Income | $4.8 billion | ~$4.8 billion | Broadly flat (+3% ex-notables) |
| NII | $3.0 billion | ~$3.0 billion | -1% at ccy |
| Underlying PBT | $1.2 billion | ~$1.0 billion | +19% |
Competitor Comparison
| Category | Standard Chartered (FY’25) | HSBC (FY’25) | Barclays (FY’25) |
| Revenue / Operating Income | $20.9 billion (+6%) | $68.3 billion (+4%) | £29.1 billion (+9%) |
| Reported Pretax Profit | $6.96 billion (+16%) | $29.9 billion (-7%) | £9.1 billion (+12%) |
| Operating Expenses | $13.3 billion (+6%) | $36.4 billion (+10%) | CIR: 61% |
| RoTE | 14.7% (underlying) / 11.9% (reported) | 13.3% (17.2% ex-notables) | 11.3% |
| CET1 Ratio | 14.1% | 14.9% | 14.3% |
| Share Buyback | $1.5 billion | $6.0 billion (total for 2025) | £1.0 billion |
| Dividend | 61¢/share (+65%) | $0.75/share | £0.056/share |
| 2026 RoTE Guidance | >12% statutory | ≥17% (ex-notables) | >12% (>14% by 2028) |
HSBC’s reported pretax profit declined 7% due to $4.9 billion in notable items (including BoCom-related losses and restructuring), though constant currency pretax profit excluding notables rose to $36.6 billion. Barclays saw a solid 12% rise in pretax profit to £9.1 billion and raised its medium-term RoTE target to above 14% by 2028. Among the three, Standard Chartered posted the strongest underlying RoTE improvement (+300bps), while HSBC had the most ambitious forward guidance at ≥17% excluding notables.
How the Market Reacted?
Standard Chartered shares experienced a turbulent February 2026. After surging approximately 80% through 2025, the rally unravelled following the surprise departure of CFO Diego De Giorgi on 10 February, who left to join Apollo Global Management. The stock had been trading at around 1,815 GBX as of 23 February 2026, with a year-to-date change of roughly -0.4%.
In Hong Kong, shares were trading at HK$193.50, up 0.78% on the day of results. The overall market sentiment was mixed. While the $1.5 billion buyback and 65% dividend increase were welcomed, the Q4 profit miss, downgraded income guidance (from the upper to lower end of the 5-7% range), and reduced Fit for Growth savings target ($1.3 billion vs. $1.5 billion previously) tempered enthusiasm.
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