HSBC Holdings Plc announced a new $3 billion buyback program after it reported profit that missed estimates in the third-quarter, while costs rose.
The London-headquartered bank reported a pretax profit of $7.7 billion for the three months through September, which fell short of the $8.1 billion estimated by analysts tracked by the company.
Operating expenses increased by 2% from the same period a year earlier due to higher technology spending and performance related payouts. It’s also planning to increase performance awards for some staff, resulting in higher costs. The move comes as the UK proceeds with plans to scrap a cap on bonuses for bankers, going ahead with plans unveiled by Liz Truss’s government last year.
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