HSBC’s net income rise 22% during first half of 2013

HSBC’s net income rise 22% during first half of 2013Global financial giant, HSBC Holdings has said that it has recorded an increase of 22 per cent in net income during the first half of the year.

The Europe’s biggest bank said in a statement yesterday that its income rose due to lower loan impairments recorded in the US economy. However, the total net income was lower than $10.57 billion estimate by five analysts polled by Bloomberg. The lender warned that the emerging markets have been slowing as mainland Chinese market recorded a slowdown in the first quarter while Latin American growth fell due to lower consumer spending.

Chief Executive Officer Stuart Gulliver said, “There has been a slowdown in faster-growing markets in recent quarters. Even emerging markets go through business cycles, and this has impacted our revenue and our profit growth.”

The shares of the company fell both in London and in Hong Kong after the bank said that it is facing slowdown in emerging fast-growing economies. The shares fell 4.4 per cent in London, recorded its largest fall since November 2011, while shares were headed for their largest fall in a year in Hong Kong.