Standard Chartered 2888 share buy-back

Standard Chartered 2888 share buy-back

Standard Chartered Announces Share Buybacks Amid Strong Earnings Performance

Standard Chartered PLC (HK:2888) has announced a new share buyback program, continuing its efforts to return capital to shareholders following robust earnings results. The bank revealed a $1.3 billion buyback in July 2025, building on a $1.5 billion repurchase program announced in February 2025. These initiatives are part of a broader strategy to return at least $8 billion to shareholders between 2024 and 2026.

The bank's second-quarter adjusted pretax profit for 2025 reached $2.4 billion, surpassing Bloomberg estimates of $1.9 billion. This outperformance was driven by strong performance across key divisions. Net interest income rose 6% year-on-year to $2.6 billion, while the wealth solutions unit saw a 20% revenue increase, fueled by $28 billion in affluent net new money during the first half of 2025. Trading income also surged by 47% in the quarter, benefiting from heightened market volatility linked to geopolitical developments.

Standard Chartered upgraded its 2025 operating income guidance to growth of at least 5%, up from a prior range of below 5%-7%. The bank maintained its net interest income outlook of $10 billion to $10.25 billion. Additionally, it declared an interim dividend of 9 cents per share, up from 6 cents in the prior year.

The buybacks follow a decade-long cost-cutting initiative dubbed "Fit for Growth," which aims to enhance operational efficiency. CEO Bill Winters emphasized that cost-reduction efforts, including property rationalization and exiting non-core businesses, remain central to the bank's strategy.

Standard Chartered's shares have risen over 30% in 2025, trading at approximately £13.70 in London as of July 2025. The bank's resilience in wealth management and global banking has offset challenges in its Asian markets, where credit activity remains subdued due to ongoing property sector pressures.

With these measures, Standard Chartered continues to position itself as a key player in emerging markets, balancing capital returns with strategic operational adjustments.