HSBC Holdings PLC (HSBA) - HSBC Bank Malta 3Q Interim Directors' Statement
RNS Number : 9814Q
HSBC Holdings PLC
13 November 2012
The following is the text of an announcement made today by HSBC Bank Malta
plc, a 70.03 per cent indirectly held subsidiary of HSBC Holdings plc.
13 November 2012
HSBC BANK MALTA P.L.C.
INTERIM DIRECTORS' STATEMENT
HSBC Bank Malta p.l.c. (HSBC Malta) is required to publish the following
Interim Directors' Statement covering the period from 1 July 2012 to 13
November 2012 (the date of the statement) under Listing Rules 5.86 and 5.88 of
the Malta Financial Services Authority.
HSBC Malta delivered an improved performance during the period 1 July 2012 to
13 November 2012 (the "period"), primarily resulting from higher profitability
in the life insurance business reflecting the rally in the investment markets
during the period. Gains on disposals of available-for-sale securities
contributed to the improved performance.
Operating expenses for the period were higher than the comparable period in
2011 primarily as a result of restructuring costs. Underlying costs, excluding
restructuring costs for the period were broadly in line with the levels
reported in the comparable period in 2011.
HSBC Malta continues to provide support to borrowers and security for its
depositors. The bank has seen a slight softening in loan demand during the
period as the economy slowed. During the period, corporate and institutional
deposits increased. Retail deposit levels were broadly unchanged during the
period in spite of significant competitive pressures, including from local
government bond issuance.
The bank continues to focus on building a high quality asset base. It is
encouraging that loan impairments, although slightly higher than in the
comparable period in 2011, remain below expectations. The available-for-sale
portfolio remains well diversified and conservative. The bank maintained both
a strong liquidity position and a stable loans-to-deposits ratio during the
period. Its capital ratio remains above minimum regulatory requirements.
HSBC Malta's management of its capital and risk positions continues to be
conservative and the bank is well placed to meet future challenges.
Mark Watkinson, Director and Chief Executive Officer of HSBC Malta, said:
"Clearly market conditions have been particularly difficult in recent months
and it seems that the world is becoming more uncertain by the day. We are
satisfied with the bank's positive performance during the period under review
but we are mindful of the significant and growing challenges faced by the
"We have a clear strategy focused around simplifying our business, reducing
bureaucracy and improving efficiency. As part of the world's largest
international banking organisation, we are well placed to service the needs of
our customers and to support the local economy."
Notes to editors:
1. Basis of preparation
This statement is based on the unaudited management accounts of HSBC Bank
Malta p.l.c. up to 30 September 2012 and other financial information.
2. HSBC Holdings plc
HSBC Holdings plc, the parent company of the HSBC Group, is headquartered in
London. The Group serves customers worldwide from around 6,900 offices in over
80 countries and territories in Europe, the Asia-Pacific region, North and
Latin America, and the Middle East and North Africa. With assets of US$2,721bn
at 30September 2012, the HSBC Group is one of the world's largest banking and
financial services organisations.
This information is provided by RNS
The company news service from the London Stock Exchange
MSCLIFSALILVLIF -0- Nov/13/2012 11:30 GMT
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