‘We continued to provide stability’ – HSBC Malta registers profit increase in first half of 2021

Earlier today, HSBC Malta published its interim condensed financial statements for the first six months of 2021 which, amongst other things, show that the company registered a €15.6 million profit increase when compared to the first half of 2020.

This means that from 1st January 2021 to 30th June 2021, HSBC Malta registered €17.5 million in profit before tax. The company attributed this increase to the positive performance reported by its life insurance subsidiary as well as its lower expected credit losses (ECL) in relation to the bank’s lending portfolio.

“During the first half of the year, we continued to provide stability and continuity of service to our customers in a highly uncertain environment,” HSBC Malta CEO Simon Vaughan Johnson said.

“We have invested in new customer journeys with the aim of improving customer experience and successfully launched two-factor authentication via HSBC Malta’s existing mobile banking app, thereby providing customers with ease of execution,” he continued.

Compared to the same period last year, HSBC Malta also registered a 16 per cent revenue increase. The company said that this was driven by favourable market movements positively impacting the life insurance and subsidiary results.

Excluding the insurance subsidiary, HSBC Malta’s revenue decreased by five per cent because of lower interest rates and subdued demand for corporate borrowing, credit cards, and personal loans.

Mr Johnson maintained a positive outlook for the rest of the year, saying that “despite the challenging external environment, there are many opportunities ahead for a bank with HSBC’s competitive strengths.”

“We remain focused on delivering these services to the Maltese market, as we strive to open up a world of opportunity,” the CEO concluded.