Hang Seng Bank Shares Sink After Jump in Property Impairments

Hang Seng Bank Ltd., a Hong Kong lender controlled by HSBC Holdings Plc, posted a jump in impairments in the first half, as the city’s commercial property downturn continues to inflict pain on its banks.

Hang Seng Bank’s credit impaired loans to Hong Kong commercial real estate rose to HK$25 billion ($3.2 billion) as of June 2025, an 85% jump from HK$13.5 billion a year ago. Nonperforming loans reached 6.69% due to “ongoing credit pressure” in the property sector, the lender said. Its shares slumped as much as 7.6% in Hong Kong trading on Wednesday, set for the biggest drop since February.